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Strategies & Market Trends : Roger's 1998 Short Picks -- Ignore unavailable to you. Want to Upgrade?

To: Richard F. Hubbell who wrote (14979)	11/1/1998 5:39:00 PM
From: RockyBalboa	Respond to of 18691

Yes. I covered well beyond 5 to cash in and free margin. Two days ago I shorted half the position at 7 11/16. I posted that on the thread. techstocks.com There is a slow ladder out ie. to put another position each 5/8. Why? Did you receive any news about Able Telecom? C.

To: Richard F. Hubbell who wrote (14979)	11/1/1998 6:04:00 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 18691

Yes. I covered well beyond 5 in the 2nd wave (6 1/8, 12 Sept) to cash in and free margin, then it went off records till now when it emerged from sub five to almost 8. On Thu I shorted half the position at 7 11/16. I posted that on the thread. techstocks.com There is a slow ladder out ie. to put another position each 5/8. Why? Did you receive any news about Able Telecom? The only thing which was brought to me recently was that FMNX intended to sign a contract with ABTE sub MFS. biz.yahoo.com The newest S1 from Oct 22 1998 registered a maximum of 15 Mill new common shares, most of them for the Preferred stock Series B. But some of them are for MFSCC demanding a conversion a $7. So the recent run-up. For now and according to the S-1 glimpses, ABTE is almost dead: "As of September 30, 1998, approximately $30.0 million of principal and $0.6 million of accrued and unpaid interest were outstanding under the WorldCom Note. We must repay the WorldCom Note in full on December 15, 2000. The WorldCom Note bears interest at 11.5% per year, payable every three months commencing November 30, 1998. The principal amount of the WorldCom Note is to be prepaid in part by applying a portion of certain fees (i) due to us by WorldCom and (ii) received by us in connection with the sale and installation of certain conduit projects. We have pledged all of the shares of capital stock in New MFSNT to WorldCom and MFSCC to secure our obligations under the WorldCom Note. Other than our pledge of our stock in New MFSNT, our obligations under the WorldCom Note are junior to those under the Secured Credit Facility (as defined below) and our 12% senior subordinated notes due January 6, 2005 (the "Senior Notes"). If we default on our obligations under the WorldCom Note, it is expected that WorldCom will be able do any or all of the following: Accelerate all principal and interest we owe WorldCom under the WorldCom Note Acquire all of our stock in New MFSNT Keep all principal and interest we may have already paid on the WorldCom Note Require us to pay an 18% annual default rate of interest as long as we are in default Cause WorldCom Network to apply 12% of the payment WorldCom NS owes us at the time of default under the WorldCom Master Services Agreement, described below, to the outstanding principal and interest under the WorldCom Note In addition, if we do not repay the WorldCom Note in full by December 15, 2000, it is anticipated that WorldCom also will be able to: Reduce the minimum yearly and aggregate revenues we would otherwise receive under the WorldCom Master Services Agreement Refuse to give us additional work under the WorldCom Master Services Agreement while we are in default Nothing more to say, so far. C.