S.A. Advisory E-Mail Update

October 14, 1997

Dear E-mail Subscribers:

As you may recall, on August 20, 1997 we featured an E-mail recommdation namely, Global Spill Management, Inc. ( GEGI-Nasdaq BB) @ .375. Global at that time was a "SHELL" corp.. For further explaination of GEGI please revisit our web-site and "click" the FREE update BAR and review the August 20th, 1997 E-mail.. This will totally refresh one's memory..

GEGI on or about Sept 17, 1997 announced that it was negotiating to acquire BioFarm Holdings S.A. a U.K.-based holding company which conrols BioFarm S.A. in Romania. The company anticipates sales of $16 million for 1997 ending Dec. The company was incorporated in Romania in 1920 and produces more than 220 drugs for both human and veterinary uses. BioFarm has nearly 700 employees in three manufacturing sites situated in central Bucharest.

On October 13, 1997 GEGI announced that it had signed a definitive Letter of Intent to aquire BioFarm S.A.. Global will aquire BioFarm in exchange for a Global Convertible Debenture ( remmember that GEGI shareholders will own 15% of the company after the aquisition). It is our understanding that BioFarm has no intent to convert it's Debenture any time soon because if it does it will not be entitled to use the $11 million NOL. This NOL is extremely attractive due to ability to reduce taxes for many years!!!

At present there is only 3 million shares outstanding fully diluted--This will be used for our fundamental figuring.

Closing of the transaction will be effected upon the delivery of BioFarm audited financial statements and the filling thereof with the SEC on Form 8-K.. BioFarm's "Big Six" accounting firm will submit such audited financials to GEGI's accountants within the next 60 days.

Important: The audited BioFarm financials will not include ACQUISITIONS intended to be concluded By BioFarm within the near future. Each such proposed acquisition will be subject of a separate audit, with full consolidation to accur at Dec. 31 1997.

Assume that BioFarm itself acquires other pharmaceutical companies,and further assuming that the initial 2 such proposed acquisitions have a combined sales totaling $10 million and further assuming a continuation of a 8% profit margin; BioFarm's revenue would approach $26 million and net income would equal $2.1 million..Based upon the three million shares that are currently outstanding--the net income/share equal an extremely attractive .70/share. (One could consider this scenario,but it's not a true picture! If we ssume that all the Debenture was converted promptly, which is highly nlikely,then we would have a total of 20 million shares outstanding. If this was the case then based upon the net income/share before taxes GEGI would earn .105/share. This is believable because the company wants to use the $11 million NOL..)

If this company actually shows the net income as promised( stipulated as part of the conditions for BioFarm's closing) then GEGI is only trading at a PE of 1X 1997 earning estimates. This sounds extremely attractive to us any way you slice,dice,carve or chew it!

If you would like to get a handle on the opportunities that exist in Romania, please secure a copy of Sept 22, 1997 Forbes magazine and see pages 128-131. You will be totally shocked by what you see!!

Within the chart located on page 130-one of the companies mentioned is a pharmaceutical that has stated sales of only $4.5 million and net income/ share of .02--70 million shares outstanding--the share price is $1.15..

If GEGI were to trade at 60X earnings -then its share price could approach $42. This ofcourse is ridiculous, but GEGI could trade at 10-15X 1997 estimated earnings and trade at $7.00 to $10.50 based upon the 3 million shares currently outstanding.. If we are even more conservative and assume a PE valuation of only 5X, then we still get a share valuation of$ 3.50 -- and far-cry from current levels, that is $.70..

GEGI since first exposed has appreciated quite nicely from the .375 level, but it is in our opinion that once the story gets out to the masses that GEGI will appreciate rapidly from current levels of .70.

If we also look at PSR --the listed company in Forbes currently sports a PSR of 15X-- an extremely over-priced variable.. When we look at GEGI and base it's PSR on either 3-20 million shares- we get an attractive value of .08 to .54---values that indicate severe undervalued pricing..

In our opinion, GEGI should trade at much higher levels if all that is promised holds true.. There ofcourse are risks, but the rewards in our opinion outshine any downside! Remmember, according to the E-mail dated August 20, 1997--shareholders of record are promised certain recovered assets from pending litigations..

We like GEGI and continue to hold our position for further capital GAINS!! For "NEW" investor types :GEGI offers international exposure, rapid growth potential,liquidation rites prior to closing and a fundamentally cheap and obscure investment opp.

Broker contact: Mike Chesler 1-800-331-1355 Corporate #: Desiree Pierson 1-610-495-8413

How our recent small-cap are doing!! Most of you will be pleasantly surprised!!

stock symbol    initial price        current price        status

vtpi               .10                   .44              sold half .82
seto               .07                   .08                B
plfm               .08                   .25                H
iehc               .31                   .75                B
dale               .375                  .625               H/B
hir              $5.00                $10.00                B
inti               .18                   .15                B/H
ctdvb              .40                   .65                H
intk               .94                 $1.00                B
gegi               .375                  .75                B
tcgn               .31                   .40                B/H
recent E-mails
lyng Lynton Group  .69                 $1.25                B/H
bnswf            $1.00                 $1.75                B/H
The results is quite impressive! The stocks that we are featuring and recommending are not only cheap, but the interest by investors in investment vehicles of this size adds to the upside potential..The main theme-- regulators by trying to protect the small investor has made smaller companies obscure to the small-cap investor-thereby creating opportunity for you and me..

Next S.A.Advisory stock advisory newsletter coming within a few weeks! website---http://www.saadvisory.com

Yours Truly William Velmer

Hotline--1-888-711-7338( $2.00/minute) open account 1-614-439-7375($10 start up-fee)

Copyright © 1997 S.A. Advisory