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Technology Stocks : Source Media SRCM -- Ignore unavailable to you. Want to Upgrade?

To: Kevin Podsiadlik who wrote (2525)	5/24/1999 2:11:00 PM
From: MW	Read Replies (1) \| Respond to of 3015

kev; Interesting. Let me see if I understand you right. <<Point to one piece of information that suggests that the deal is in trouble other than the fact that it's not done yet. \|\|\|\|\|\|\|\|\|\| VVVVVVVVVV Look in this direction. See that yellow box with the words "Last Trade"? The number contained in that box is, at the moment, smaller by 4 5/8 than it was at the time of the Apr 27 CC, >> So you are saying that the recent price action of the stock reflects growing investor uncertainty that the deal with TV Guide will get done. OK. I gree with that. Then you go on.. <<thus leaving it only 4 points above $14.25. You do know the significance of $14.25, do you not? The upshot being, that $150 million they were bragging about at the TV Guide CC is now, roughly...(tap-tap-tap)...$70 million. That just might, mind you, make them a little less confident about their margin of safety in the deal. 842,000 shares is a lot to unload>> Now you're saying that because the price of the stock has dropped TV Guide may somehow be less inclined to complete the transaction. That's an interesting concept. Now I'm not as smart as you shorts but it seems to me more likely that if the stock price of srcm was a significant factor in the deal AND the very act of completing the deal would send srcm's stock back up as the uncertainty is lifted , the smart thing for TV Guide to do would be to complete the deal. But hey that's just my opinion. <<So what's the short argument gonna be once this deal does get done? Do I need to go over the concept of dilution again? >> One question kev. Would you rather own 100% of a co. worth 200 million $, or 60% of a co worth a few billion??? Dilution isn't the issue here, the value of the jv is the issue. Which brings us to this. <<I may owe you an apology here, MW, I thought you might be making up that Boylan comparison of the $10 million JV to @Home. It may be that Boylan is that stupid after all. >> How much do you know about @home? How many homes are connected to @home service thru their TV sets? Not computer, TV set. How many carriage agreements does @home have with mso's for their service to the television? Now compare that to TV Guide. <<TULSA, Okla., May 17 /PRNewswire/ -- Already the industry's leading interactive program guide and navigator for digital cable, TV Guide Interactive has surpassed 2 million subscribers and continues to grow by more than 5,000 homes per day.>> <<Boylan added, ''We are also very pleased with AT&T's recent announcement to acquire Media One and the positive impact that transaction will have on TV Guide Interactive's distribution, pursuant to our affiliation agreement with AT&T.''>> <<TV Guide Interactive is currently distributed by more than 25 MSOs in over 1,000 cities and towns in the U.S. and Canada. All of the top 10 MSOs have deployed TV Guide Interactive as an interactive program guide for their digital cable service.>> <<TV Guide Interactive now passes approximately 34 million cable homes and is available in more than 75 percent of the top 25 DMAs in the country. >> <<Additionally, TV Guide has amassed a substantial intellectual property portfolio that now surpasses over 100 issued and pending patents with over 3800 claims worldwide.>> So please explain to me again why a comparing TV Guide to @home is so outrageous.