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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: Kerry Lee who wrote (18835)	10/27/1998 5:14:00 PM
From: Eleder2020	Respond to of 29386

>>In reality, there is much less than $7 million of stock to be sold/converted because they have already been "sold short" against the box.<<< I'd say the majority if not all of the shorts are from the Reg D conversions.Naked shorts would have covered already over the last few months. It looks like worst that if every short was at $1 we'd have only 4.8 million left to absorb over a minimum of 3 months.Since that is not the case because the Reg D holders were shorting in the $3 and $4 range in July and probably higher in earlier months the average is probably somewhat higher. I'd guess the average short could be as high as $2.50 but to be on the safeside I'll go with $1.50. That comes to $3.3million that the Reg D holders could have pulled before they converted their stock. So worst case if the $7 million is correct is that we have $4.8 million to convert. More likely we have something like $3.7 million to convert and possibly as low as $2 million. Some will come to them in the next conversion and they probably short as much as they can at these levels to increase the amount they can take out in cash next month. After that it looks like the worst is over if it isn't already. The Reg D holders have 1 possibly 2 runs at the share price of Ancor, following the method they have previously employed. Also not taking into account the Reg D holders that were supposedly long termers. If that is true it could spell good news for the middle of next month. Greg-I know your out there somewhere with a calculator honing the numbers. Ed

To: Kerry Lee who wrote (18835)	10/27/1998 6:27:00 PM
From: THOMAS GOODRICH	Read Replies (1) \| Respond to of 29386

Kerry, ANCR short interest is higher than I would have estimated at this price level. Do you suppose folks are holding out for a return to the low $1's? Tom