Analysts International Corp (ANLY)

(A Top Pick June 7. Down 10%.) Got hit because it was merging with Computer Horizons (CHRZ-Q) which was not a bad deal, but the shareholders of the other company killed the deal.

Paid $2.82 in Dec/03. In the IT field, do a lot of staffing with about $300 million in sales. Basically in a break even mode. In the midst of a merger or takeover with Computer Horizons (CHRZ-Q) which does about $250/280 million sales. Both companies have pristine balance sheets with virtually no debt. Will probably lose money because of the merger costs. Longer term they have a chance to be bigger players in the industry. A long term play.

Consultants software programming helping companies' outsourcing. Got hit by the collapse of the tech bubble and outsourcing to places like India. Now appears to have turned the corner. Have made money the last 3 quarters. Made an acquisition that will give them some presence in the voice over IP. Good relationship with Cisco.

The industry was very hard hit by the outsourcing phenomena. Over $300 million in sales. Very modest market cap. No debt. Have now made a bit of money.

Clean balance sheet. No long-term debt.