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To: Elliot Puritz who wrote (3463)	4/16/1999 9:31:00 AM
From: jackhach	Respond to of 13797

Clearly they are (or already have) negotiating financing arrangements as we sit here and post. The company must have something cooking, simply because they were granted extensions on defults/loan covs till 3/15/00. I can't see why the banks would be so permissive to allow for such liberal extensions unless good-faith negotiations are taking place with a cash source/partner. The likely lender would probably require ALTS selling its rights to most, if not all, of its technology (i.e., EB, Tie, etc...)as collateral for borrowing. In addition the equity partner/friend will be issued stock/paper. Conflictatory, although oddly encouraging -- is the fact that they still have 80+ employees without announcing layoffs or the like. Given the cash on hand situation -- they are obviously operating with the assumption of an imminent cash infusion. -JH

To: Elliot Puritz who wrote (3463)	4/16/1999 10:00:00 AM
From: Greg h2o	Read Replies (1) \| Respond to of 13797

If I recall correctly, if you take out the one-time write-offs, they only lost about $700k. Much better than I thought. My only concern is JH's post regarding the financing. I hope it doesn't become too dilutive. Often times when a stock is bashed like this, there can be some interesting "creative" financing that through a backdoor can be beneficial to some of those creating the financing deal and very dilutive to other shareholders....should hold water today. greg