As  GOFH shareholder, the recent announcement of GOFH collecting $10
million in private capital selling, among other things, certificates
for over 3 million shares at $1.75 per share including full-ratchet
anti-dilution protection, in addition to others at 1.60/share, is
concerning.

It tells me that GOFH is desperate for funding, as shares have never
been publicly offered at such a low price, nor has the stock market
price ever fallen so low.  It also tells me what management thinks
that the shares are worth at present, which is not much.  With full
ratchet anti-dilution protection, no less??

Presumably much of the money will cover the BOLT acquisition among
other things, but GOFH is consuming larger amounts of money.  They
already went through $3 million 1Q 2007.  However, one could say the
same for google -- yahoo -- and other internet stocks which had no
good revenue source for years.

On the good side, if GOFH can make it to NASDAQ -- as it has applied
for -- its value should increase considerably.  Also, GOFH is
succeeding in attracting much more traffic.  Alexa.com ranks
GOFISH.COM as the #819th most popular internet site: not bad for a
site that just launched in November 2006.  It is up to #713 within the
last week.  (Comparison: youtube.com is #4, myspace.com is #6,
facebook.com is #17, walmart is #417, netflix is #483).  GOFISH.COM
also ranks highly in international internet traffic.  They have signed
good licensing and other agreements which should help them bring in
more money.

GOFH has also been rapidly developing its content.  Within the past 3
months, they have added several major new initiatives.  The content is
expanding rapidly, which can only bode favorably for its popularity.
Although Not too much can be said for GOFISH's script writers, and
none of their content has the level of intelligence or humor that one
finds in other MFI programming such as s "Goodnight Burbank." The
"Hidden Celebrity Webcam" is just plain crude and "Seduce a Celeb"
leaves much to be desired -- recent additions such as the mixed
martial arts network add better content. It remains to be seen whether
GOFISH developers are capable of adding content that will appeal to a
wider audience beyond rather simplistic sports, sex appeal, and
slapstick humor.  Not that other ventures in those directions alone
have not done well, but gofish.com is not currently a site which can
currently be considered either family-friendly or intellectual.  This
makes it less likely to be an attractive acquisition target for a
major internet player, which is perhaps its best hope for a big stock
return (a la youtube.com).  Broadening its horizons in those
directions would certainly help.  It is not clear how long GOFH can
continue to put out the money it is currently spending on developing
content, when it has very little ad revenue.  In comparison to, for
instance, google, GOFH's content is pricy to develop, and there is not
the same potential for advertising.  The revenue economics are also
not as good even as humble youtube's, because it is much more
expensive for a firm to develop its own internet programming rather
than simply hosting content that others develop and collecting the
revenue fees for banner ads.  I could be wrong, but it seems to me
that only big-name corporate sponsors, partnerships, or acquisition
seem likely to make GOFH ultimately profitable.

Today's announcement, at least, seems to peg an anticipated lower
limit to the stock price which we can believe will only increase.  It
seems like a good time to buy, although the long-term future of GOFH
seems likely to be volatile with great potential rewards but also
considerable risk.  Time will tell.

I just looked at the NASDAQ listing requirements:
http://www.nasdaq.com/about/nasdaq_listing_req_fees.pdf

And, if I understand them correctly, they don't look too good for
GOFH.  By the desparate selling of private shares for as little as
$1.60 each, they have damaged their stock price and thus the market
cap value.  Requirements include:

Market value of publicly held shares and Shareholders' equity - $70
million

They could have done this a couple weeks ago, but not now.  Now the
market cap is only $44 million.  Stock prices would have to jump big
to make it worthwhile.

Bid price must be at least $5, which fails three of the four options
for listing standards.  The only other option, marketplace rules,
cites lots of codes which aren't listed, but it is difficult to
believe that a new speculative company like GOFH with virtually no
revenue would meet those rules.

Sorry, but it looks to me like GOFH's initial NASDAQ application will
almost certainly be rejected.  And looking at current stock prices --
and the company's desparation to attract capital by making second-wave
dilutional offerings at bargain-basement prices -- it will likely be a
long time before GOFH will be able to be considered for NASDAQ listing
at all.

Finally, doing some research tonight on competitors - metacafe.com,
revver.com, and others -- I have to say that the gofish.com is the
least professional and has the lowest resolution of the major video
sites.  The videos are fuzzy and they are hard to see.  Others can
evaluate the options and draw their own conclusions.

..ratu.....I appreciate much of your commentary....

I do want to point out something very clearly though.....when dealing
with firms of this type...especially OTCBB....you are by definition
opening yourself up to dealing with the lowest common denominator out
there.  However, in terms of the NASDAQ listing, I think you are
obsessing with a form over substance argument.

You WANT to be traded on the NASDAQ, because it implies [in fact
requires] strict and regulated standards, it requires the profile of a
firm that is an ongoing concern, and, to the layman, it argues that
the firm is closely being monitored by "big brother".

What struck me about the GOFH guys is that they are approaching the
set-up of this business by the book.  They are dealing with all
established players on the Street and in the PE community, including
legal counsel, so as a result, they may not look as rosy as some
others, BUT you can be sure that the likelihood of what you are seeing
is closer to reality than some other "creative" financial types out
there.

You can look at this new cash infusion as cutting both ways....the
terms suggest something lower than the rosy predictions, but you are
offered an arms-length/third party assessment of the company that has
been disclosed publicly......it really is not so bad [unless you paid
$6.10 a share several months ago].

So, what now?  I would focus on future revenue streams...in other
words...look at the advertising on the site....if you see a lot of
"passion.com" then head for the hills.  If you see legitimate
companies willing to put their established reputations on the line to
be listed next to GOFH content, then that is a positions sign.

Let's get the Bolt acquisition completed and move on....

Disclaimer:  do not consider this commentary as a solicitation to buy
or sell securities.  Do not rely on any of the opinions discussed
here.  You cannot substitute these opinions for your own independent
research.

A few notes:

- With the share sales deal, GOFH has basically shot itself in the
foot as far as NASDAQ is concerned.  It has gone from a $122 million
market cap company to a $26 million market cap company now...Its
shares have lost 83% of their value from earlier highs.  GOFH has also
shot itself in the foot regarding shareholders who will be upset at
being treated so badly.

- The need to sell more stocks under such draconian bargain-basement
terms (for the company) suggests that the firm is NOT able to achieve
a good credit line from major banks, in contrast to other firms like
IRBT (see IRBT's credit line acquisition here:
http://www.forbes.com/feeds/ap/2007/06/19/ap3837563.html )

- GOFH's revenue model is questionable at best.  Looking through the
site, I can't see how they plan to start earning revenue except for
the occasional banner ad.  Of course, search engines generate far more
banner ad traffic -- and the product they offer (search) is not nearly
as costly or memory-intensive as GOFH's videos.  I really cannot
determine how they plan to become profitable.

But...people said that about youtube, yahoo, google, etc...

- Looking at the bright side, GOFH is clearly gaining ground on its
most prominent competitor, METACAFE.COM.  Metacafe was sold to a
private equity group for $200 million last December, if I recall.
GOFH has nearly half the traffic of metacafe.com and is steadily
gaining.  Metacafe.com uses a very similar revenue model to GOFH.  If
GOFH's traffic is worth as much per visitor as metacafe is, this would
mean that GOFH has about a $100 million value.  Even after the new
shares issued in their private financing deal, that would put the
value of GOFH shares at about $3.75 each.  And that doesn't even
include the value of bolt.com that GOFH recently acquired.  So the
current prices around $1.10-$1.30 are very, very conservative and
offer a good entry point for those considering GOFH.  There is still
lots of buffer for risk built into the current stock price.

On the down side, GOFH's content may cost more to produce than that of
other sites because they make more original videos.  I suspect that
they will be cash-strapped for a long time.  On the plus side, they
are attracting increasing amounts of user generated content, have good
distribution deals with other firms, and their original content can
give them an added draw.

The Bolt acquisition has not closed yet, only the deal was announced.
I have yet to see consolidated results.

They disclosed that part of the financing will be used for the
closing.  I am wondering if they are waiting for a round date, such as
June 30th, to close, in order to ease reporting.

If we push past the end of the month, I begin to wonder why.......

Well....we have a closed transaction, so I will expect consolidated
results.  I assume these guys are going to follow the standard QSB
timeline a file their 6/30 at or near 8/15.  I did notice that they
properly avoided making public news releases during the period that
would be construed as a "blackout" around this announcement.

Maybe their financials are crap, but they certainly are trying to look
like they are playing by the rules.  I give them credit for doing the
basics correctly here [or at least their lawyers].

We are watching.......step it up!  Being public cuts both ways....so
produce, and now!

Well....we have a closed transaction, so I will expect consolidated
results.  I assume these guys are going to follow the standard QSB
timeline a file their 6/30 at or near 8/15.  I did notice that they
properly avoided making public news releases during the period that
would be construed as a "blackout" around this announcement.

Maybe their financials are crap, but they certainly are trying to look
like they are playing by the rules.  I give them credit for doing the
basics correctly here [or at least their lawyers].

We are watching.......step it up!  Being public cuts both ways....so
produce, and now!

what is going on with this company? first they need to fix up their
website. Why is it running soo slow compare to other video content
websites??? they should fix up their website with all the money they
are spending. Also, it says that they've spent some money on
advertising.. where????? START ADVERTISING!

I'll tell you something.  Something must be percolating, because GOFH
has moved away from the "wire release du jour".  I assume it is a
combination of several things.

#1 they have more sophisticated hands calling the shots now, and these
babyfaced tech geeks and graying media types have to suck it up.

#2 if they are upgrading the site and building the infrastructure,
then they specifically do not want to draw attention to the platform
in its current state.

#3 things have been dormant for about 6 weeks.

Clock is ticking.......I don't care that the All-Star Game is down the
street, GET BACK TO WORK!

It is difficult being the only on line video site that has a stock.
The value is not easily appreciated.  If their was an IPO of a similar
stock, that would help.

I do not agree that the site is slow at all.  In fact if you compare
youtube to gofh, you can seep up any video in gofh but you can not in
youtube until it loads, which is slow.  Videos are way faster with
gofh.

tas:

I hate following these thinly traded stocks when there is no news.
Someone out there is dumping shares - probably a third-party given
shares in exchange for services in lieu of cash payment - but without
news, there is no ready buyer and essentially the potential for almost
a limitless pushdown in price.  I guess it ultimately depends on how
greedy the market maker is, and what they believe they can inidcate
without raising too many eyebrows.

What do you make of the date change for the Bolt deal...they moved the
date only a couple of days, from July 13 to the 20th.    8K released
today.  That to me is positive, indicating that the deal will happen.

There is no positive, just NOT negative.  The date move is likely a
technicality.  People involved likely didn't appreciate that you
simply snap your fingers and transact.  People have to move "paper"
from here to there, and lawyers love to build in various caveats.  All
of a sudden your stated drop-dead date moves close and you run out of
time.  These California tech geeks and gray haired media geezers don't
appreciate discipline when it is foist on them.  Maybe if they spent
more time downing Snapples and Cheetos while pounding out some code
they would have a better performing company and website.  Instead they
are guzzling wine in Napa and being neo-Keseys in some kind of 21st
Century Electric Kool-Aid acid test.

WHY DON'T YOU PAY YOUR EMPLOYEES IN STOCK AND NOT ALLOW ANY INSIDER
SALES UNTIL YOU ARE CASH FLOW POSITIVE?

I guess the "...full ratchet-down protection..." will need to be
exercised :-P

tas: do you know what is good news?  The fact that the private
placement note holders have the right to "put" their notes back on
GOFH.  Discipline breeds motivation breeds efficiency and ultimately a
"going concern".  Capitalism works.  Some has to have a big stick to
whack these guys so they lay off the ecstasy on the weekends.

I agreee. It is often difficult to gauge a company's ongoing
managerial and strategic health when the flow of information is so
obstructed. But GoFish probably put out too many releases early on and
raised expectations unnecessarily. Now that market is voicing its
displeasure with the lack thereof. At this point, GoFish is the only
way to play the strong growth in the internet video vertical. It is
painful to do what you should do, as opposed to want you want to do,
which tells me management is very serious about its responsibilities
in running a public company. It takes a lot of stomach and discipline
to be a contrarian investor. But these are the levels at which real
money is made. Finally, I firmly believe the team at both GoFish and
Bolt are just as committed as ever to finalizing their deal. But when
the GoFish valuation see such a precipitous decline, things have to be
reworked. And that takes time.

What should really excite everyone is this, Bolt and ostensibly
GoFish, are behind the new company, WikiYou. Which I believe, has the
potential to be worth more than both companies combined, and then
some.

I am not as optimistic.  Over the past month, I sold all my GOFH stock
at a big loss - I'm down about 15K on this one, which I can only blame
on poor judgment on my part.

Stock is trading now in the $0.68-$0.72 - it's come a long way down.
No chance of listing on NASDAQ whatever.

Firm has no assets, high overhead, and an inadequate revenue plan
(banner ad revenue) given their high overhead costs for film
production.

They are eating through money like nobody's business and last quarter
their income was less than 1% of their expenses.  Even a huge increase
in revenue, this company is a loser.  It would be one thing if the
revenue and expense figures were close, but they are two full orders
of magnitude different.  That should be a big warning sign to anyone.

They are also going to have a very tough time raising any future
capital, given the low stock price and lack of revenue.  With full
ratchet antidilution in their prior agreement, they are not going to
be able to realistically make new offers for less than the $1.60/
share.  Given that the stock is trading below half of that value, I
don't see a snowball's chance in the Mohave Desert of that happening.
The analyst reports on this one also seem to be quite negative.

I think GOFH is headed for disaster.  Definitely not a value
investment! I will not be surprised if they turn up their belly and go
bankrupt within 2-3 years.  In fact, I will be surprised if they are
still around.

I really enjoyed reading your post. It is people like you, that keep
companies honest and tightly focused
by simply using the sheer weight of cogent analysis. But here is my
concern with your logic. Not only
do you use your personal loss on the stock as a barometer of its
value, you seem to fail to recognize
content as an actual asset ( and a very valuable one at that).
GOFH was overvalued at $6 per share, and now it is undervalued at
$0.70. A company's burn-rate can
be corrected. And revenues can be grown, either organically or via
acquisition. What would cause me
greater concern is to have an increasing share of a diminishing
market. That is not the problem that management
faces here. I'm in the entertainment space, and content is one of the
most consistently valuable asset classes around.
Just ask Fox, ABC, NBC, Viacom, or Time Warner. And MFI (Made-for-
Internet) productions, which are not to be
confused with user-generation content, is where GOFH has elected to
plant its flag. Its a smart business move.

Tabreez Verjee, GOFH's current president, until they find a suitable
replacement, is connected to a firm (GA Capital I believe) that has
access
to a ton of capital. He is not there so much to run the business as to
right the ship. There will be growing pains with this company to be
sure. And
I for one will keep a share eye on the many great points raised in
your email, but with GOFH, there is a there, there. The Market, by its
very nature
is imprecise. It is not always right, in fact, we make our biggest
gains when we play the space between the Market's perception, on the
one hand
and the fundamental reality, on the other.

I'm digging very deep on this company (research wise), as I believe
there is a ton of money to be made here. I don't yet own it. But when
I see a
company that is being shorted by a bunch of day-traders ( who tend to
follow the herd, not lead it), I sit up and take notice. I'd like to
see it stabilize
a bit before taking a position, but  I am going to put my money where
my mouth is, where this company is concerned.

You are focusing on the objective and quantitative, while I'm tracking
more of the subjective and qualitative. In terms of the "numbers"
Myspace
thought they were only a $580 Million company. Rupert knew better. Let
that be a lesson to us all.

But when

Brooke:  you cannot short this stock...it is OTC and nobody holds
sufficient inventory that will lend it at reasonable terms...the only
short positions could be taken by the market makers, and that would be
cause for litigation from GOFH

Chicago:
This is exactly what I love about this process. It corrects itself
through volume of participants. But, am I hearing
that you're making a practical distinction, and not a legal one? Are
you saying that a personal cannot legally short
an OTC stock? Or, that the costs of doing so, make it impractical?

If so, then the market may be more imprecise on GOFH than I originally
thought. What is not
being reflected here is, why. We all know THAT the stock is being
sold. But I want to know WHY the
stock is being sold. It appears to me that a lot of ( but not all )
the WHY, is simply because, ..."the other guy is selling".

So the question becomes, am I following people over a cliff, who have
invested no real time in understanding the business
or the opportunity? That is a big question for me.

I have unearthed some very interesting information on GOFH. But I need
to verify it before feeling comfortable enough
to post it here. Stay tuned.

Brooke:

I only speak from my expertise and experiences in the capital markets
and trading in previous OTCBB stocks.  As of right now, this stock
trades on air - it is thinly traded and has no concrete fundamentals
except burn rate.  As such, it is prone to wild swings.  It keeps
selling off because there is no buyer, and if someone is out there
attempting to unload a position, the market maker(s) have to buy the
shares and place them in their inventory.  You pay a heavy price for
force feeding shares to people that don't want them.  This stock has
no reason to go up unless material information is disclosed.

Realize that GOFH has stuffed a lot of people's pockets with their
shares.  If anyone wants money, they need to go to the market maker
and get rid of this paper.  Why sell now?  People who are being paid
in shares [insiders and employees that have free-to-trade paper] and
third parties paid in shares or with free-to-trade shares want cash,
even if it is just to diversify their exposure.

I think a number of people have bloody noses right now, and GOFH/Bolt
are in serious trouble becuase they may have an employee retention
problem unless they start to fork over more cash and/or shares.

It's just logic.  If seen it in the past.

Thank You Chicago! (Follow his posts folks..he's whip smart)

You can bet I will be asking a lot tougher questions going forward,
because of
your posts. Very helpful. I'm talking to a lot of people on GOFH,
within the
entertainment and advertising community, and there is a real belief in
the people
behind this company (Peter Guber is one of them). Completing the Bolt
acquisition would really help the outlook
right now, but don't expect that to happen immediately. They simply
can't afford them
at present levels. The consensus on Bolt is that they are probably
doing about
$7 Million to $9 Million a year in revenues. GOFH will find a way to
get this
transaction done, and from what I'm hearing, they may have an ace up
their sleeve
in this regard.

Unfortunately, there is not much that can be done concerning those
who've had their
nose bloodied by this stock. But I'm not interested in the "stock",
I'm interested in
the "company". And that mindset may make all the difference in the
world.

I can not overstate this enough. Markets are imperfect. Logic is very
important here. But
logic, or rationale, dictates that I look at ALL the information...pro
and con.

Brooke:

No.  How about the fact that the stock has gone continually downhill
since February/March, with days with up to 50% losses -- and almost no
up days?

I kept thinking that the stock has hit bottom, and then it would only
reach new lows.  Then I realized that, for a speculative stock like
this, there is NO bottom, as the stock has NO intrinsic value.

It is perhaps easy for you to be optimistic on the boards when one has
nothing invested in a company.

When they are able to turn content into revenue, it will be an asset.
Until then, it is a liability.  It consumes resources but has not come
close to paying for itself with revenue.

How many dot-com busts have there been for every MySpace or YouTube?

I have detailed in previous posts how GOFH is different in many ways
from MySpace or YouTube.  It is not family-oriented but is rather
crude and adult oriented, and is thus a very poor acquisition target
for any firm.  The content quality is also poor.  GOFH is not the next
YouTube.

A call for documentation.  I see NO evidence that gofish stock conveys
any interest in WikiYou.  Wiki You is indeed a venture initiated by
the Bolt founder, but it does not appear to constitute part of GOFH's
acquisition.

Keep in mind - GOFH is a speculative stock.  Visions of potential are
far removed from performance and financial results.  Of every hundred
seemingly promising startup companies, few do well.

My concern is emphatically not just stock price.  It is that, after my
comprehensive evaluation of the data, I believe that GOFH is simply
not a good company.  Their revenue model, in my opinion, is wholly
inadequate to meet their expenses.  I see little indication that GOFH
will make it, and many to the contrary.  Perhaps the stock will turn
around -- but it is unlikely that this will happen in a time frame
that is relevant.  I can scarcely justify buying remote speculative
hypothetical stock like GOFH clinging to a distant hope of "making it
big," when there are so many other stocks of better companies that are
producing very well for me.

Your correct! I have nothing invested in the GOFH. But I'm using this
crazy and radical approach: I thought I might take a thorough look at
this
company BEFORE I invested my money.

I started paying attention to them in February of this year. First, I
did my
homework on the business vertical. That was not too difficult, as
online
video is growing by leaps and bounds. Then, it was on to flow of ad
dollars
toward this growing medium. Was it real? And, more importantly, was
it
sustainable? Again, the evidence was overwhelming. So then comes the
harder question to answer. Who benefits? Of course there are some
obvious
answers here: Google's YouTube, Revver, News Corp's MySpace, etc. But
I
didn't see the opportunity to turn $25,000 into $250,000 over 24 to 36
months
with those choices. You could certainly make money...but you can also
do
that with a nice conservative mutual fund.

After literally months of patience and due diligence on the company,
the space, the
advertisers, the content producers, I picked an entry valuation. I did
not want to
get into GOFH while it was valued at more than $15,000,000. No
exceptions.

All the while, I would watch the message boards, anemic as they were,
and marvel at
the indignation of some ( not all of course ) of the stock's
purchasers. Much of what I read
can't be repeated here, because of the language that was used. But to
my everlasting
shock...the vast majority of those on the boards, never talked about
anything on which a
shrewd investor, would hang his/ her hat. Furthermore, no one was
asking tough questions.
They were simply damning the precipitous drop is the stock. My view
is: Why did you not
know this was bound to happen? Answer. Because some people were
following the herd on
GOFH. I think people like you and Chicago are the exception here. But
even the two of
you, who I respect because of your reasonable, well thought out
points, seem to have taken
measure of this company, out of context.

Here is what I've discovered so far. GOFH is not managing their stock.
They are rightly focused
on managing a company. And to do that, you need to have an operational
framework. How can I
manage a business, without knowing implementing order. That takes
time. But if investors had
taken the time to look into the professional experiences/ expertise,
of the people GOFH was
bringing on board, you would have discovered, a guy well regarded for
financial acumen.
Mr. Verjee is not there to be a long-term president, he is there to
instill financial discipline.
The effects of which, were not going to begin to be felt until the 3rd
and 4th quarter of this year.

They've brought on people ( at least 2 that I know of ) from Yahoo who
really understand the medium.
And one of them was responsible for the front page of Yahoo. Aaron
Cohen, of Bolt, is as an unassailable
executive, and really understands the advertising business. And is
well known within it.

I am not here to convince anyone that I am right and they are wrong.
What I do hope to do is contribute
to a robust and informative discussion group. I will learn things
here. In fact, I already have.

But to say that this company ( stock ) has NO intrinsic value is both
vague and misleading. That seems
too visceral, too personal. We ( your readers ) can't learn from you
if its too emotive. Your loss might color
your personal opinion. But your personal opinion should never color
your loss.

My invocation of MySpace was not for matters of comparing the two
companies. But rather, to illustrate
how widely perceptions and value can differ, when looking at the same
set of facts. It isn't your doubt about
GOFH that concern me, but instead, your certainty of that doubt.

I think the reason I will make money off of GOFH, is because the only
thing that I certain of...
is that I don't know everything. And so I'll just keep asking
questions.

Bear in mind, Bolt was in a superior strategic position to GOFH and
they were nuked.  Also, most prudent management teams "get the house
in order" before they hit the public markets.  The shuffling now
ostensibly appears as damage control.  As for Verjee, I see one thing
as a distant observer......HE'S 31 YEARS OLD :(
No reverse age-ism here, but time and time again I've seen people so
young lack the real gravitas and commanding presence needed to right
the ship.  I want this company to work, but there are many things
about this situation that feel "Web 1.0" to me.