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To: risk-averse who wrote (36370)1/16/1999 3:12:00 PM
From: Rick D.  Read Replies (1) | Respond to of 50264
 
Risk,

Okay, okay, I'll get off the lawyer kick after one last parting shot. Name me one other company that lets its lawyers write its press releases.

About the $1.50 option price. To me, it seems possible that the explanation for that price has little to do with expectations about future appreciation. Maybe the deal was structured such that the option price would be equivalent to the closing price on January 15. Such arrangements are not uncommon. Obviously, both Digitcom and Teltek believe share prices will rise, but I don't think there's anything magic about $1.50. In fact, in light of the "correction," it wouldn't surprise me to see another drop on Monday, probably filling the gap at about $1.25 to $1.31. If so, great buying opportunity, IMO.

Rick



To: risk-averse who wrote (36370)1/16/1999 3:39:00 PM
From: bullmarket  Respond to of 50264
 
I agree with your point completely.
I think some investors are (and rightly so) so perturbed by the fact that there was a correction and may not be focusing on what is written in the correction.

let's just focus on the content of the correction (as if it were included in the initial release) and ask ourselves:

is the information good or bad?

I think it is good. Others will have to make their own decisions.