TATRADER GIZZARD STUDY--Stocks 12.00 or Less..... Message Board

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To: Chisy who wrote (9759)	6/26/1999 8:49:00 AM
From: RMP	of 59857

Regarding ELN warrants: Sorry for the delay in my response but I was away for the day (and obviously missed the rumors that any buyout that had been proposed may now be moot). Regarding the terms of the warrant, I believe the strike price (if you allow the analogy to calls) is 37.50 or thereabouts. Therefore whatever the warrant is selling for plus 37.50 will entitle the warrant owner to two shares of common stock. Ideally the price of the warrant and the common stock should move two for one, for every one dollar move in the stock upwards there should be a corresponding two dollar move in the warrant. On the upside this is favorable. However on the down side... If you believe ELN is underpriced here, as I do, the warrants provide better leverage. RMP