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Technology Stocks : IFLY - travel sales on the web pure play -- Ignore unavailable to you. Want to Upgrade?

To: Ron Kline who wrote (2666)	11/30/1998 8:24:00 PM
From: M.R. Davis	Read Replies (1) \| Respond to of 4761

BASIC INFO ON IFLY FOR NEWCOMERS: IFLY is a new, growing and profitable travel agency that is about to launch a ground-breaking website to add to the powerful business model they have already developed with their telephone sales unit. The management has shown they can grow sales while containing costs - they have two profitable quarters behind them and the next quarter will show even greater net income. The new interactive website, which is being tested by several of the investors who post on this board, is unique and brings benefits specific to the Internet travel sector. The interactive element of the website is a secure CHAT session with a travel agent on the other end. Having entered all your personal information and itinerary details the agent can then quote you the best prices they have through the CHAT session. Specific and unique benefits: 1/ IFLY travel agents can quote lower prices than are permitted to be published over the internet. 2/ Commissions on tickets are capped at $100 as a travel agent is quoting you a price - vs $10 commission cap for computer quoted prices over the Internet. 3/ Transaction time (compared to telephone sales) is cut dramatically as information is entered by the customer and feeds directly into the computer system. 4/ Travel agents are able to handle more than one customer at once. 5/ Customers are more likely to buy over the Internet with a real human being on the other side of the website who is attending to their needs and questions - more sales are closed per visitor than on other Internet travel websites. While other Internet travel sites like PTVL have focused on marketing, IFLY has focused on it's relationships with the airlines and with the company that supplies the reservation system (SABRE) and also focused on developing technologies that bring important efficiencies to the reservation process. They have negotiated excellent ticket prices and good commissions. Add to that that the travel sector is set to grow enormously on the Internet - AND that the company is already profitable and in the top 100 travel agencies (they quote very low prices in general) - and you get a very potent mix. +++++++++++++++++++ Website is due for full release to the public by end of the year, according to the CEO, Mark Mastrini. For more information go to the corporate page of their current website at: www.lowairfare.com.

To: Ron Kline who wrote (2666)	11/30/1998 10:15:00 PM
From: SkyDart	Read Replies (1) \| Respond to of 4761

Good Question; And one that I had about AMEN warrants on 11/25. Warrants theoretically should trade AT LEAST the intrinsic value, ie the difference between the market price and the strike price. Call options almost always do; Right? Yes. But why then did AMEN warrants that have a strike at 5 3/4 trade at 2 1/2 on Wednesday 11/25/98 when the stock closed at 10 1/2. By all rights they should have traded at 10 1/2 less 5 3/4 or 4 3/4. right? Not necessarily. If we had a perfect arbitrage situation where an arbitrager stepped in and execised the warrant, then it would drive the warrant price UP to 4 3/4. However, since so many people had purchased these warrants under one dollar one day prior, they were willing to part with their warrants for almost 1/2 price. And the MM's were willing to take the deal. The next day the warrants caught up to theoretical value only at the end of the day when the stock of AMEN closed at 20+ and the warrant closed at 13+. The intrinsic value would have placed it at 14+, but it was much closer. My advice would be to buy the warrant when it is underpriced and take advantage of the inequity rather than letting the MM's s---- you out of it. You could apply this situation to IFLY, and exercise the warrant to get the intrinsic value out of it, rather than giving it away to the MM. Good luck, Jeff