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To: StockDung who wrote (755)	2/16/1999 9:01:00 PM
From: Eric Fader	Respond to of 1591

Thanks for finally giving us something substantive to chew on. Honestly, though, I don't see that omitting the anticipated need for future financing (and the other Business Plan assumptions) from published projections of sales is "fraud." Most start-up companies require fresh capital in the first few years, and if the product is successful, the stock price will rise and make any ensuing dilution insignificant. Margins, inventory turnover rate, etc., are what they are. The press release dealt primarily with projected sales of the products and strategic alliances, and did not purport (in my view) to disclose all underlying assumptions. In any event, to refer to the omissions as an attempt to mislead investors imputes an intent that simply isn't objectively demonstrable, even if (contrary to my belief) it actually existed.