A.I.M. Value Line Stocks

[OldAIMGuy]

Hi Pete, Re: culling some stocks from PIC......

I think your idea is a good one. Let's "sell" all of ERICY, LEG, MKL, PLAB, SCH, TLAB, VOL, VPI and ZQK and take the cash and equity sales proceeds and put them into a new holding. We'll call this new holding "CASH_" and put in 10 shares at $1/share and the remainder into the cash reserve for that stock. This account would currently be worth about $110,000.

So, then all the cash from close outs would go to this part of Newport. Any time we buy a new issue, like ROST, we'll take cash from the CASH_ account by using the TRADE window and the REDUCE CASH feature. We'd be reducing it by $10,000 since that's what our initial positions always are.

I also like the idea of backdating the transactions to the beginning of 2004 for all new investments we've made this year. That would reduce the total in the CASH_ holding to a more reasonable level.

This should also help to cut down on your workload as we'd have final close-out images of those nine stocks. Then next week you would have that number fewer issues to review.

In the future, as any of the remaining stocks reach a point where their 3-5 year potentials drop to below what is acceptable, we'll cull those as well and feed the CASH_ account.

Let me know if this is okay. I'll finalize the culled stocks and footnote everything in the HTML page if you'd like.

Best regards,
Tom