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Technology Stocks : Creative Computers(MALL) -- Ignore unavailable to you. Want to Upgrade?

To: Kenneth Yeh who wrote (414)	11/21/1998 8:08:00 PM
From: Kenneth Yeh	Respond to of 1634

Shorting MALL shares has no effect on UBID shares. I thought that was pretty obvious but I wanted to clear it up some more. If you short MALL shares, that will have no direct effect on UBID price. If UBID's bid/ask looks like this: Bid: 14 3/4 Ask: 15 Shorting 100 shares of MALL at the bid will NOT make the last trade of UBID 14 3/4. Similarly, buying 100 shares MALL at the ask will not make the last trade of UBID 15. UBID's FLOAT IS STILL 1.58 million shares...not the 4.6 million that Tom suggests. YOU STILL CANNOT SHORT UBID until 30 days after the IPO. According to Charles Schwab, I can place orders to BUY UBID SHARES. In fact, I've already placed a buy market order on UBID though I will probably regret it when it opens at a very high price. (But its a very small order so I'm not worried). But I tried shorting it but cannot do it. Oh well. -Ken

To: Kenneth Yeh who wrote (414)	11/21/1998 8:17:00 PM
From: RockyBalboa	Read Replies (1) \| Respond to of 1634

Tom meant exactly that: There are 3.2 Mill uBid shares packed into the 4 Mio MALL float. Mall shares trade as a proxy for uBid - before and after the ipo, while neglecting the influence MALL stub on MALL share price. Arbs will keep the price ratio between uBID and MALL fairly constant. There are no official short shares in the 30 day period. However MM's are usually short as well as long during the day and just have to maintain their settlement requirements for the trading day (when carrying a short position they would offend the rules). Tom thinks, that uBID is much more a deferred spin-off, as WCAP/COOL CCEE/SWRX was in part and DBCC/MKTW will be. Sure, value has been uncovered due to a market valuation of uBID. uBID can therefore not be compared with eBAY where no shares of a selling company - here with the written indication to distribute and complete the spin-off - were tradeable. C.