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Technology Stocks : VALENCE TECHNOLOGY (VLNC) -- Ignore unavailable to you. Want to Upgrade?

To: FMK who wrote (5475)	11/22/1998 3:57:00 PM
From: Larry Brubaker	Read Replies (2) \| Respond to of 27311

<<These are good times. Let's enjoy them!>> I am amazed at the level of optimism. The company has a working capital deficit that grows every day. In its latest 10-Q, it says it probably has enough money to last through December. By this time, the working capital deficit is likely to be $8 million or so. After 6 YEARS of failure to produce a product, it now must produce a material contract within the next 2 MONTHS or face not just a floorless conversion, but also a distinct possibility of bankruptcy. Given the obvious peril of their situation, it would have been nice for the CEO to give some assurances to shareholders that they have made sufficient progress to secure a material contract by 1/27. Instead, the CEO was remarkably evasive when questioned about the status of gearing up the production line, and refused to acknowledge the production line is even producing samples for OEM testing. He also acted as if there isn't a variable conversion option. Maybe these are good times and the faithful are soon to be rewarded. However, you sure wouldn't know it by what the company is telling us, either in the SEC filings or the conference calls.