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Microcap & Penny Stocks : DCI Telecommunications - DCTC Today -- Ignore unavailable to you. Want to Upgrade?

To: Bill Brogan who wrote (13125)	12/29/1998 7:12:00 PM
From: LT	Read Replies (4) \| Respond to of 19331

Hello Bill, The $10 figure you refer to is the original amount that Murphy said he would get for this company in an acquisition once our revs went over 100mil per year. We are totally on track to run in excess of 40 this year and well over 100 next. The IXC deal is much larger than most even imagine. We still have some obstacles to overcome as we need some agreements signed(which is what I think the last QP was about until IXC entered the picture). After the signing of those agreements, we have a chance to be a full service, LD phone company where prepaid phone cards are an add-on feature, not the bulk of our revenues as they currently are. What is all this worth? Depends on several factors. If we get a buyout offer prior to the installation and activation of the European switches, 10 isn't unreasonable in a stock swap deal. Once the switches are installed and activated....the price goes up. What could make this deal really soar is our price being more appropriate to our value(which will get us more shares on the swap). At that point, 10 is a distant memory......we shall see... Lou

To: Bill Brogan who wrote (13125)	12/29/1998 7:24:00 PM
From: James Harold Alton	Read Replies (1) \| Respond to of 19331

Bill, From a basic fundamental value of DCI, I believe we should look at the revenues per share, since this is the basis on which the company will eventually be sold. With a 100 million/year run rate on about 25 million shares and applying a revenue multiple of between 2-3, we find that based on our upcoming run rate, that DCI could be worth between $8-12/share to a buyer. Factor in the fact that DCI has signed contracts to add another $200 million + in the mid-term and has plans laid out to generate 1 billion 2 years out and it's pretty easy to see that numbers North of $10/share could easily be in DCI's future on a purely fundamental basis...with or without a buyer for that matter. James