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To: Nietzsche who wrote (61683)3/15/1999 12:46:00 PM
From: JeffA  Respond to of 119973
 
Careful SOTM pick



To: Nietzsche who wrote (61683)3/17/1999 7:45:00 AM
From: Paul M.  Respond to of 119973
 
Small-Cap Stock Of The Month *PENC*, part 1
Company: Pen Interconnect
Symbol: PENC
Exchange: NASDAQ
Recent Price: $1.03
****************************

PEN Interconnect (NASDAQ: PENC) has become a major player in the total turnkey contract manufacturing business. The company has recently moved to a new facility in Irvine, CA that is capable of higher-volume production and can generate $50 million per year. PENC's InCirT and Powerstream divisions are experiencing strong sales and unique product demand. Sales for the first quarter of 1999 for InCirT have grown by over 40%. Revenues are increasing and additional contracts are propelling PENC's electronic component manufacturing and design into a new range of profitability.

While PENC is a competitive and successful company we feel the company's greatest opportunity lies beyond its current day to day operations. This opportunity presents itself in the proposed merger with Transdigital Communications Corporation (TCC). In early December PENC signed a letter of intent to merge with TCC, a privately held designer and developer of state-of-the-art products and services for the airline, cruise line, and transportation industries. TCC has over $50 million in outstanding business proposals and has signed a contract with Monarch Airline. TCC's contract with Monarch Airlines represents the first coordinated effort between TCC and PENC, and it demonstrates the potential of their combined forces. TCC has been awarded evaluation contracts from Disney and American, and is in final negotiations with a major Southern California engineering firm for the exclusive marketing rights for the aircraft satellite antenna. TCC and PENC form a brilliant combination and a perfect model of vertical integration. The opportunities TCC is developing is amazing and once the acquisition is complete PENC's business will increase dramatically. PENC possesses 22 years of industry experience. They have received the NSAI-9002 Certification, CSA Certification, UL Certification and they have recently obtained their FAA approval for the development of airline products. PENC's expertise and focus on quality manufacturing and installation places them as the primary supplier to TCC's new contracts.

Continued ...

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To: Nietzsche who wrote (61683)3/17/1999 7:47:00 AM
From: Paul M.  Respond to of 119973
 
PENC part II
TCC will focus on implementing VideoFile and AudioFile Technology in the transportation industries. This technology is being widely praised since it replaces the currently poor and troublesome audio and video entertainment technology with a high quality advanced digital solution. This technology has already been implemented on Monarchs Airbus A-330 aircraft and has redefined the expectations of modern transportation entertainment. To further this technology TCC has identified a core business unit named "Transnet". TCC is in the final stage of negotiations with a major media company as well as worldwide multi billion dollar airlines for the Transnet network. TCC Transnet will link onboard aircraft entertainment with a broadcasting feeds (television programs), however commercial programming will be reset to correspond with locations for aircraft arrivals. Advertising agencies are ecstatic about Transnet and its ability to target decisive geographic travelers. TCC is a pioneer to a new generation of transportation entertainment and Transnet will be at the forefront to benefit from this $9 billion advertising industry.

The combination of TCC and PENC will bring two promising business entities together in a formation that should propel them to unbelievable new highs. While the merger has yet to be finalized we view the Monarch deal as a precedent toward the commitment of these companies in their effort to work together. With the increased revenue through new contracts and the potential of a merger in the near future, we proudly announce PENC as our Small-Cap Stock Of The Month.

Additional Research on PENC:
virtualir.com
pen-interconnect.com
virtualir.com
www2.techstocks.com



To: Nietzsche who wrote (61683)3/17/1999 7:49:00 AM
From: Paul M.  Read Replies (1) | Respond to of 119973
 
PENC Article coming true "PRESS RELEASE"
Company Press Release
SOURCE: Pen Interconnect, Inc.
Pen Interconnect Receives $4 Million Contract
Contract Increases Annual Revenues By Over 25 Percent
IRVINE, Calif., March 17 /PRNewswire/ -- Pen Interconnect, Inc. (Nasdaq: PENC - news) announced today that it has signed a new contract manufacturing agreement for circuit board assembly at its InCirT division for over $4 million in annual revenues. This contract is for turnkey services where InCirT is providing the board and system assembly, testing, packaging and shipping for its OEM customer. Pen had earlier announced its intentions to focus on its core business and this order reflects that direction.

Steve Fryer, President and CEO of Pen commented, ''The business activity at our InCirT facility is increasing substantially. We currently have more than $18 million in proposals outstanding with several different companies and expect to announce a number of new contracts in the near future. With this one order we have already replaced the revenue that we spun off with the sale of our unprofitable Cable division in February.''

Pen Interconnect, Inc. provides the total manufacturing solution including circuit design, board design from schematic, mechanical and product design, prototype assembly, volume board assembly, system services and end-user distribution. Pen Interconnect, Inc. has manufacturing support facilities in California, Utah and China. For a complete package on the Company's product data, visit their web site at pen-interconnect.com