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Microcap & Penny Stocks : DCI Telecommunications - DCTC Today -- Ignore unavailable to you. Want to Upgrade?

To: Grantcw who wrote (15821)	4/24/1999 1:23:00 PM
From: Colin Cody	Respond to of 19331

Grant, What you have posted would, IMO, strike the FEAR OF G-D in a foreign shorter, and they would do everything possible to hurt the Company to make it impossible to buyout/buyback the convertible debt. IMO, "we" can not force the shorts to cover now. The shorts are extremely well financed at this time. Money Talks. The short position rules you referred to are for USA retail investors. For professionals and for foreigners those restrictive rules are fairy tails. ? Furthermore, why can't we force them to cover by going to the correct regulators to get them to cover? The Nat'l Securities Clearing Corp only intercedes when a broker holding a Sale to Receive complains that he has yet to receive. If/when that happens the foreigner merely buys shares on the market to cover in an arranged sale that is evidenced by an equal offsetting short sale. a/k/a a rolling short position. If you are a well financed professional you can continue rolling your short position indefinitely.

To: Grantcw who wrote (15821)	4/24/1999 1:29:00 PM
From: James Harold Alton	Read Replies (1) \| Respond to of 19331

Grant, Per your post: "What you're guessing is that the holders of the convertible are shorting shares at prices of around 3 or 4 in hopes that Murphy won't buy back the convertible with cash. This happens often and is the danger of the floorless. Fortunately, I have faith that Murphy will live up to his statements and buy back the floorless, leaving these supposed shorters (if they are in fact shorting) in the lurch. " Consider the possibility, that the series F holders have already requested conversion and thereby know how many shares that they felt they would have coming to them if not bought back. This IMO establishes an upper limit to the size of a short from this group, they in effect would no longer be "floorless". If this group has already shorted out every share that they feel they will have coming (my hunch), then I personally would rather see Murphy delay the repurchase of those shares until such time that the company has established debt financing that is favorable to shareholders. If this process is rushed, we could well end up floating more shares somewhere than if we just took the hit now. If we were to assume that we had to put down about $700,000/switch, (a guess) this money would allow the installation of 4+ switches. The switches build revenues/earnings providing the credibility the company needs to get it's debt financing (and perhaps a listing) and the money is then easily (since this company does not have any current debts) available to buyback the series F assuming that is an option. If it is not, then we hand them their converted shares to cover with, accept some dilution and move on. What is important I believe is future EPS, and it appears to me that the best chance this company has of running some nice numbers is via it's expansion into the LD arena...focus all resources there.. The fact that our battered stock rose from the .67 range (under very heavy shorting IMO) to it's current levels (in what is currently a fairly negative time with what has been going on) and stabilized, plus the fact this stock can run up almost 50% without appreciable overhead tells me that our shorters have pretty much lost their ability to hold this stock down. If the ITEL deal goes through, or $$ become available to easily buyback the series F, we could potentially see buying coming into this stock of the likes, that well just do the math! (GGG) We have bigger fish to fry than to worry about the series F at this point IMO. (GG) I believe we can all help this situation somewhat by being willing to pick up shares when some group throws news at us intended to crash our stock (consider the source) when it is already weak. Last week with the low volume and the news of the lawsuit, the potential existed for us to have significant panic driven selling, but it never happened. I believe that there is still shorting going on but that unlike in the past this group needs our share price down from time to time to cover. So long as the company continues to grow and prosper, the shorting will eventually have to stop and could potentially represent a massive amount of forced buying if the right events happened. IMO we should forget about wasting resources on the frivilous lawsuits, the series F and just about everything else that we can back burner and get our switches installed and put this company on the map... Just my opinions.. James