S.A. Advisory E-Mail Update

August 20, 1997

After a 7% correction the market continues to power ahead with greater interest in the secondary and third tier investment opps. We believe that the Dow will remain in a trading range for the time being,that is, 7800-8300. The techs continue to be the most valuable and most rewarding place to invest for great stock appreciation in the current market environment. The low-priced investment opps in recent weeks have firmed up and we believe that this trend will continue. In our opinion, astute investor types should consider diversifying into this investment arena.

1. Our main focus of this E-mail will be the presentation of an opportunity that in our opinion has risen from the DEAD and may become a gold-strike for speculative as well as risk-oriented accounts.

The reasons why we believe that (gegi)offers investors a very attractive upside potential with a very limited downside.

1. .The 'shell' is ready for sale.
2. .The size of the issue is extremely attractive,that is, only 2.9 million shares outstanding. It is estimated that there is over 1000 shareholders. The stock price has from 1995 to present ranged from a high of $45.00 to a low of $.125. This alone is extremely Bullish due the fact that most shareholders purchased this issue when it was in full operations at much higher prices. When an aquisition is announced-this stock will find little resistance on the upside,which ofcourse is what we like!
3. At present there is atleast 14 market-makers in this issue. This is very positive for visibility as well as liquidity.
4. At present the company has $ 11. million NOL. This could be extremely attractive for a merger candidate due to the ability to reduce taxes for many years.
5. The company has an asset that could be sold and adds to the attractiveness of the 'shell'. The property is located in Camden, N.J. on the water-front-there is a building as well as 10 acres of land. On the books this property is valued at $.00. This is very attractive.
6. The company has a sued a firm, CRG in FL for the sum of $677K. We donot know whether any of this money will ever be recovered, but if it is- shareholders of record prior to a merger will receive any funds that are recovered prior to a merger as well as after a merger is announced ( one must be a shareholder now in order to take advantage of this unique twist).
7. The company is also the plaintiff in litigation against certain parties with respect to the illegal sale of two S-8 registration statements filed with the SEC during 8 2 96 to 9 19 96. The amount of shares that were sold illegally is in excess of 1 million shares. The actual amount of money that potentially could be recovered is in excess of $3.8 million ( this could also include the purchase of large amounts of stock from the open market). Again, any monies that are recovered would be distributed to shareholders of record prior to an announced merger or aquisition. This works out to be over $1.00 in cash/share. This has the potential to be extremely rewarding for shareholders.
8. The company is fully reporting and is current with its filings. The latest 10K will be filed by the 10th of Sept. 1997.
9. The comapny has announced that numerous merger candidates have been located and reviewed and that during the fourth quarter of 1997 that a choice will be made.. The current shareholders will own atleast 20% of the new company.
10. GEGI had a 30 for 1 reverse stock-split during June 1996.
11. The Camden property is worth atleast $350K. Upon sale of the property shareholders of record prior to a merger are entitled to any monies that are received from the sale of.
12. If all monies are recovered- the amount equals over $1.50/share,which would be distributed to shareholders of record prior to an announced merger. When one considers all the above positives that are presented-one has to take a serious look at the potential upside-not only dramatic stock appreciation, but also the potential of a monitary distribution. This situation is not for everyone, but for those that like calculated risk investment opportunities- this one has all the thrills!

• Corporate contact: 212-755-1122

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1. ALMI-We believe that this situation is getting ready to rock! We understand that the company has numerous investment banking firm meetings in NY during the last week of August. In addition, the news that continues to stream out of the company is extremely BULLISH! As mentioned before in past newsletters as well as E-mails -You have to own an internet investment opportunity and this is our first choice within the micro-cap arena. Broker-Mike Chesler 18003311355.
2. HIRE- Earnings report just released on Friday blew the street away- It is to bad that the street does not know that this situation exists. Sales for the six months- revenues expanded to over $16 million and earnings of $.48. Sales could reach over $35 million this year and earnings of over $1.00/share. Not bad for a company that only has 1.7 million shares outstanding. Secondary anticipated --this stock should easily double from current levels near-term.
3. IEHC-You have take a look at the recent news that was released on this opportunity.. As you may recall,we featured this stock in our last newsletter @ around .31 --company has just reported record sales and earnings.-- Could earn .10-15 this year. Broker contact: Mike Chesler 8003311355.
4. SGI,UTEK,ISSI,DEC,ANET(most recent recommendation),EMC and RDRT looking great.
5. Templeton Dragon Fund (TDF) looks attractive selling way-below NAV.
6. INTK- earnings were great-stock still looks super cheap.
7. EVEN- Earnings due out by the end-of-the-week--stock has been firming.

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