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Microcap & Penny Stocks : MGMA is in a position to make you a lot of money -- Ignore unavailable to you. Want to Upgrade?

To: Dante Sinferno who wrote (30)	11/5/1998 8:24:00 PM
From: M&A West, Inc.	Read Replies (1) \| Respond to of 175

Alternative Entertainment's CEO to Appear On CNBC CEO Ralph Amato to Appear on CNBC's "Investing in America" Nov. 7, 1998 at 2:00 p.m. EST LA JOLLA, Calif.--(BUSINESS WIRE)--Nov. 5, 1998--Alternative Entertainment (OTC BB:BOYS) is pleased to announce that the Company's CEO, Ralph Amato, will appear on CNBC's Investing in America with Emmy award winning host, Michael Jackson. Amato will discuss exciting investment opportunities in the adult entertainment industry. Alternative Entertainment, Inc. (the ''Company'') has positioned itself as an Internet aggregator and a wholesale distributor of media content to the Adult Entertainment Industry. Specifically, as a virtual Internet content provider of advanced online media for E-Commerce on Adult Internet Sites. Additionally, the Company plans to acquire, develop and operate Upscale Gentlemen's Clubs. Its first club, a 15,000 square foot facility in San Francisco, will be open in January 1999. The clubs will provide a portion of the Adult Content that will be distributed through Webmasters to the more than 45,000 adult Internet sites. On line Adult Internet Sites exceed $1.2 Billion in annual subscription revenues with margins as high as 70%. In 1996, Adult Internet E-Commerce transactions represented the single largest segment of Internet revenues (60%). The Company has an extremely strong management team comprised of several key executives from the Gentlemen's Club Industry. --------------------------------------------------------------------------------

To: Dante Sinferno who wrote (30)	11/5/1998 11:25:00 PM
From: Walter Morton	Read Replies (1) \| Respond to of 175

Thanks Robert. If you want me to I will promise not to ask you anymore questions after these three: I was trying to understand this Reg S securities stuff when I found this: "The Series A Shares are convertible at a rate of 100 shares plus accrued dividends per week at 80% of the 15 day average closing bid price. These shares are subject to a 24 month mandatory conversion feature. For the quarter ended August 29, 1998, 700 shares and accrued dividends were converted into 280,059 shares of the Company's common stock." www4.edgar-online.com With the 80% and 15 day average requirement it does not seem too bad until you figure out how many new shares are outstanding by the time all 2,175 Reg S (Series A Shares) are converted. My estimate is 800,000 within the next year or two. ____________________ Then I found this (which you may have already read and posted): "...the Company entered into two 8% convertible debentures totaling $500,000. Both notes are due on March 23, 1999, in either cash or common stock, at a conversion rate of $2.25 per share... ...the Company entered into an 8% convertible debenture totaling $200,000. The note is due on July 1, 1999, in either cash or common stock, at a conversion rate of $2.25 per share... The $1,000,000 debenture matures on July 31, 2000. Interest is payable on a quarterly basis. The holder of the debenture is entitled to convert after 120 days of the agreement, the principal value into the Company's common stock at a discounted market price as is defined in the agreement... ...the Company issued 400,000 warrants to purchase the Company's common stock at $1.50 per share commencing April 20, 1998 exercisable over 5 years." ___________________ So, now, the total possible additional shares outstanding has gone from 800,000 to about 1.6 million. If I am reading that correctly, then the stock price will be diluted by as much as 27% by July 1999. What I want to know is this: When MGMA projected $.40 per share earning in fiscal year 1999 did they take into consideration all of the additional shares outstanding? If no, the earnings per share would be $.29. If yes, then there is no problem. Am I on the right track here, Robert? ________________________________ Is the following good or bad: "...the Company acquired ... Fanzine... for a preliminary purchase price of $7,500,000... The acquisition price consists of $4,000,000 cash, and 1,000,000 restricted shares of the Company's common stock with put option rights at $8.00 per share to be exercised by the selling shareholder's during the second year on a quarterly basis, if certain minimum earnings, as defined, are met. However, during Fanzines' first year of operations, the Company has the right to call the shares at the greater of $6.00 per share or 75% of the market price. The acquisition agreement, also, provides for a reduction in purchase price if Fanzine's results of operations do not meet certain minimum earnings."

To: Dante Sinferno who wrote (30)	9/24/1999 2:55:00 PM
From: Walter Morton	Respond to of 175

I know you don't care anymore, but it seems that you predicted this: METRO GLOBAL MEDIA, INC. 1999 FORM 10-KSB FILING DELAYED --Cranston, Rhode Island, September 14, 1999: Metro Global Media, Inc. (NASDAQ: MGMA), an international multimedia and adult entertainment enterprise, today announced that it did not timely file its 1999 Annual Report on Form 10-KSB by September 13, 1999, as required by SEC Rule 12b-25. Due to its recent change in accounting firms, Metro has experienced delays in the start and completion of the annual audit of its financial statements. Metro also announced that it expects to report a loss from operations for its fiscal year ended May 31, 1999, primarily due to a material decrease in the revenues and operating income of its Fanzine subsidiary for the fourth quarter, as compared to the prior quarters of fiscal 1999, and to interest expense related to the valuations of warrants issued in the connection with debt primarily related to Metro's acquisition of Fanzine. Metro further announced that it expects to restate its financial statements and reduce its earnings (loss) per share for fiscal 1998, 1997 and 1996 primarily due to recording of embedded interest related to Metro's convertible preferred stock and debentures, recalculation of amortization on Metro's film library and reclassification of a related party transaction. CONTACT: Metro Global Media, Inc. Jennifer St. Cyr, (888) 463-8764 www.METROGLOBAL.com