It all comes down to what you want to do with it.  If you reallyl want to 
create a story, and then go back and say "Okay, this one diverges from the 
last one at Ch 4" go for it.

Authors using their own works as sources in other works isn't new.  The 
Eyrie guys do it all the time.  John Biles has done it once or twice, I 
think Chris Davies did it in Together Again....  Now that I think of it, I 
did it with my own works.  (Think about it, Turn the Page incorporates 3 of 
my other works as source, but is an AU from all of them.)

Hell, take a look at some pro authors:

Michael Moorcock's Eternal Champion books
LE Modesit Jr. is the grand master of cross contamination
Mercedes Lackey does it now and then in her Serrated Edge books

If you really want to be silly, there's the whole Highlander TV series (not 
to mention the movies :D)

--
Christopher Angel

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