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Biotech / Medical : ARIAD Pharmaceuticals -- Ignore unavailable to you. Want to Upgrade?

To: Biomaven who wrote (368)	11/13/1998 6:15:00 PM
From: Madharry	Read Replies (1) \| Respond to of 4474

I read some more of the release and it appears that the preferred shareholders have committed to purchase additional preferred stock under similar terms at a future date upon the company's demand. If so at least the company knows it has access to additional funding in an emergency. DId someone else read it like this or did i misunderstood. I confess that my gut reaction to reading this announcement was also to sell. But I will wait to hear what the company has to say.

To: Biomaven who wrote (368)	11/13/1998 9:24:00 PM
From: John Metcalf	Read Replies (1) \| Respond to of 4474

That's a good thought, Peter, that Ariad has a plan to redeem this convertible, and that it's just a temporary financing mechanism. I may be missing something, but the details of the HMR agreement indicate (to me) that they have $25mm more available in loans from HMR. Perhaps the agreement precludes them from using it now, or using it for the support of general corporate purposes. But -- if available -- I don't understand issuing $5mm in floorless cv instead of drawing on the credit extended.