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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: Druss who wrote (32181)	4/22/1999 8:17:00 PM
From: Jim Spitz	Respond to of 122087

Here's some nice DD on RRRR from RB: ragingbull.com Happy reading. Know the stocks you participate in. jimS

To: Druss who wrote (32181)	4/22/1999 8:31:00 PM
From: RobbRacer	Read Replies (1) \| Respond to of 122087

Hello Everyone, Thanks for bringing RRRR to my attention. Heres my take so far. Air condiitoning company which was taken over in Reverse Merger(not good) for naz listing. Got some semi-decent people in it but they are it it for themselves first. Carefully timed 144 sales in large blocks as recently as yesterday. Just filed S-3 for 2.5MM shares (big coincidence). does 5MM is sales in 98(losses like 17MM), huge float(30MM) about to get larger, and no proven track record for bringing internet companies public. The 75MM is a letter of intent and not done yet, and they didn't disclose details about there aquisition today. Insiders have been selling at 5 bucks and now it is 20 on super star volume of 25MM. That kind of volume should have brought this thing to 40 if there wasn't heavy selling fighting it. Big rise today was result of daytraders running it up due to powerlunch, announcement of aquisition, and t-mex pick? Now someone mentions a possible floorless in the s-3. Give me details about the floorless and I'm smacking this into yesterday! Give it to Me, Rob P.S. i forget it currently has a market cap of 700MM

To: Druss who wrote (32181)	4/22/1999 8:35:00 PM
From: xcr600	Read Replies (1) \| Respond to of 122087

Druss, sounds like conversion can begin anytime, with the floorless kicking in July 27, or maybe "unless certain events occur earlier" - don't know what those may be. Hmmm.. s-3 last week and runup this week... Looking at the chart and the original financing, doesn't appear to have been much, if any shorting. (Capital did the private debentures and they also filed an s-3 to sell 2.5mln shares last week.) Infostream did some lengthy dd on RRRR earlier in the year. See if we can track him down. We need to put together how all these events correlate with one another. I'm sure today's run wasn't unexpected. I would like someone else's opinion. I am just a novice at trying to understand the in and out's of a floorless. here is a snipit from the 10k file 4/1/99 x edgar-online.com The Private Placement of Convertible Debentures and Warrants to Capital Ventures International. Pursuant to the terms of a Securities Purchase Agreement, dated as of January 28, 1999, Capital Ventures International agreed to purchase from the Company in a private placement of securities, in two tranches, 8% Convertible Term Debentures of the Company in the aggregate principal amount of $6,000,000 (the "Convertible Debentures") and five year warrants to purchase an aggregate of 693,642 shares of common stock at an exercise price of $5.27 per share, subject to reset (the "Warrants"). The first tranche of the transaction closed effective January 28, 1999, at which time Capital Ventures International purchased Convertible Debentures in the aggregate principal amount of $3,500,000 and Warrants to purchase 404,625 shares of common stock. Upon the timely satisfaction of the conditions to the closing of the second tranche, Capital Ventures International will purchase the remaining Convertible Debentures and Warrants. The term of the Convertible Debentures is four years. The principal amount of the Convertible Debentures plus accrued interest thereon at 8% per annum are convertible, at the option of the Selling Securityholder, into shares of common stock at a conversion price equal to $5.27 per share until July 27, 1999 (unless certain events occur earlier) and, thereafter, at a per share price equal to the lowest of (i) $5.27, (ii) 105% of the average closing bid price of the common stock for the lowest two trading days during the 15 trading days ending on July 27, 1999, and (iii) 92% of the average closing bid price of the common stock for the lowest two trading days during the 15 trading days ending on the trading day immediately preceding the applicable conversion date, but in no event less than $2.49 per share, subject to adjustment (the "Floor Price"). In the event that the common stock trades below the Floor Price for a certain period of time, the Company has the right to prepay the Convertible Debentures at an amount equal to 120% of principal plus accrued interest. Except under certain limited circumstances, Capital Ventures International is not entitled to convert the Convertible Debentures or exercise the Warrants to the extent that the shares to be received by Capital Ventures International upon such conversion or exercise would cause Capital Ventures International to beneficially own more than 4.9% of the outstanding common stock.