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Non-Tech : NetBank(NTBK)-formerly Atlanta Internet Bank -- Ignore unavailable to you. Want to Upgrade?

To: AugustWest who wrote (1321)	4/7/1999 8:10:00 PM
From: Triffin	Read Replies (1) \| Respond to of 2414

Auggie..Mike I'm as excited as the next guy about the long-term prospects for internet banking and do feel that NTBK and TBFC have a 'jump' on the industry and that there is a 'value' to getting there first .. but I am getting a little nervous about the valuation relative to assets .. we need to see asset growth of 100% annually to justify a MCAP of 100% of assets as we have now .. The 'best' most profitable banks on the planet rarely earn more than 2% of assets and valuations greater than 30% of assets are almost unheard of .. The stated plan of these i-net banks is to pass-on most of the savings realized by not having a branch system to their depositors in the form of higher yielding CD's and checking accounts etc. therefore, I doubt that even the i-net model for banking will yield NTBK / TBFC net profits exceeding 2% of assets on a consistent basis. Or to put it another way .. would you be willing to pay $790 million now for a bank that should have at least $2.633 billion in assets and hopefully earning $52.66 million in net profits ????????? Just thinking out loud .. Jim in CT .. Long on NTBK and TBFC