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Strategies & Market Trends : Joe Copia's daytrades/investments and thoughts -- Ignore unavailable to you. Want to Upgrade?

To: Joe Copia who wrote (8928)	10/22/1998 9:58:00 AM
From: JohnO	Read Replies (1) \| Respond to of 25711

Referenece EASY It appears the "stand-still" period which ends end of this month didn't prove to be as positive as EASY was hoping for. They weren't able to get enough money from credit line or the credit line was cancelled. Portion of EASY 10Q filed August 1998 As of June 30, 1998, the Company had approximately $0.1 million in cash and cash equivalents and a $10.0 million revolving accounts receivable line of credit. The line of credit expires on February 27, 1999 and is secured by the assets of the Company. At June 30, 1998, the Company had $0.7 million of borrowings outstanding under this line of credit and additional availability of approximately $5 million. Principally due to the reserve provisions recorded in the second quarter of 1998, the Company would not have been in compliance with its tangible net worth bank covenant as of June 30, 1998 had the bank not waived such covenant. In conjunction with the waiver, the line of credit was reduced to $6.0 million. The Company is currently negotiating a revised covenant with the bank. As of June 30, 1998, the Company's principal commitments consisted primarily of the above-mentioned line of credit, secured equipment financings, trade payables to Primax, a note payable to Logitech and a lease for its office facilities. The Company and Primax are currently in negotiations with regard to the net balance of trade payables due to Primax and a related payment plan. In conjunction with such discussions, both parties agreed to a "stand-still" period extending through early September 1998. To date, the Company has not invested in derivative securities or any other financial instruments that involve a high level of complexity or risk. The Company expects that, in the future, cash in excess of current requirements will be invested in investment grade, interest-bearing securities.