November 24, 1998 Volume I, Issue 12

Email : info@otcjournal.com
URL : http://www.otcjournal.com

To OTC Journal Subscribers:

1999 is setting up well for Small and Micro Cap stocks. The rebound in the large cap stocks over the last month has been incredible. Yesterday, the DOW hit an all time high. The Russell 2000, a better measure of performance is our arena, is still 25% below its previous high. This divergence will eventually correct itself. Money will start to flow into small and micro cap stocks, narrowing this divergence. This bodes well for 1999 to be a great year for our subscribers that like micro cap stocks.

Our On-Line Referral Program is up and functioning perfectly now. You can go to our home page at OTC Journal and get your Referrer ID number, and check the Top 10 standings. Remember, we are giving away $5,000 in prize money to the winners at the end of February. Throughout the length of the contest we will be giving away other prizes to participants.

Here is one idea for you technology savvy subscribers to recruit subscribers directly off the Internet. There are a great number of Stock Chat rooms all over the Internet. Almost every stock traded has a chat room on the Yahoo quote site, which is accessible at Yahoo Quotes.

You can create a link which you can post in the stock chat rooms which will have your referrer ID number automatically entered. Simply cut and paste the following link into an E-Mail message: http://www.otcjournal.com/form.asp?refid=XXXX. Then replace the four XXXXs at the end with your ID number. When clicked on, this will link anyone directly to the OTC Journal Registration page and your ID number will be at the bottom.

Let other investors know that we will be beginning a Virtual Stock Picking Game with $5,000 in prizes by mid December. People will want to play this game, and should be easy to refer as subscribers.

There are a few other new features our subscribers should be aware of. On the menu bar on the left side of the home page are links to Daily and Weekly Market Commentary. You will find opinions from two of Wall Street's top analysts at these links.

The most exciting new feature we have added is called "Research Central", which can be found on the right side of the home page. If you enter the ticker symbol of any stock, you will get a page with every bit of information available on the Internet on the stock you entered.

In other news, our most recent profile, Engineering Power (OTC BB: EGPSF) announced fiscal year end results on November 19th. Results were completely in line with expectations. The following is a table of their year end numbers:

                            1998                        1997 Revenues          
$33.6 million               $8.7 million
Gross Profits     $4.8 million                 $1.7 million
SG&A              $8.5 million                 $4.8 million
Loss                 $4.3 million                 $2.4 million
Loss Per Share     $.14
All numbers are in Canadian Dollars.

The full financial statement should be up on their Corporate Web Site today. The address is http://www.epsx.com. One interesting note on their financials: the company reported that they invested $3.1 million in blue prints and development costs associated with the Power Barge Project. Remove that expense, and the Company only lost $1.2 million. This is an investment in the future of the Company. Management assures us that they are on track to launch the Power Barge project in the first quarter of 1999. Look for better performance out of this stock once this project is underway. This means $200 million in higher margin revenues for the Engineering Power (OTC BB: EGPSF) in the first year.

DISCLAIMER

The OTCJournal.com Newsletter is an independent electronic publication committed to providing our readers with factual information on selected publicly traded companies. All companies are chosen on the basis of certain financial analysis and other pertinent criteria with a view toward maximizing the upside potential for investors while minimizing the downside risk, whenever possible. All statements and expressions are the sole opinions of the editors and are subject to change without notice. This profile is neither an offer nor solicitation to buy or sell any securities mentioned. While we believe all sources of information to be factual and reliable, in no way do we represent or guarantee the accuracy thereof, nor the statements made herein. The editor, members of the editor's family, and/or entities with which they are affiliated, may own stock in and have other financial dealings with the companies who appear in the publication. A company which should be considered an affiliate of OTC Journal.com has received the following compensation from Engineering Power Systems Group, Inc: 50,000 options with an exercise price of $1, and 100,000 options with an exercise price of $2. The affiliate company that received compensation from Engineering Power Systems Group, Inc has retained the OTC Journal.com newsletter to release this profile on behalf of Engineering Power. The affiliate Company may exercise the aforementioned options anytime at its sole discretion. The OTCJournal.com critiques may contain forward looking statements relating to the expected capabilities of the companies mentioned herein.

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