I read with interest the article by Greg Crouch on American Mobile System (Valley Business, April 19).
I am the attorney who represented Richard Somers, William Young and their company, Autotel Communications Network (Autotel) in the transaction whereby AMS acquired the assets of Autotel. I would like to take the opportunity to set the record straight on several points.
First, the article depicts AMS' service as second-rate competition to cellular mobile telephone service. This is not the case. AMS is in the two-way dispatch communications business and offers mobile telephone service as a feature to the dispatch service, enabling its customers to use their two-way radios to place and receive telephone calls in addition to their primary function of communicating directly with the customer's base station.
Second, the vast majority of the losses which were suffered by AMS occurred under former management and prior to the commencement of Mr. Somers' and Mr. Young's involvement with AMS in September, 1987. Further, the facts are that any losses which investors may have suffered also resulted from that prior era and the efforts of that management. Since Mr. Young and Mr. Somers became consultants and, more recently, became officers and directors, AMS, a company which had been in a serious financial situation, has begun its turnaround and, as your article states, expects to begin making an operating profit sometime this year.