How to read multiple lines in text file

Hi,
I have an Auto IT script which writes to a text file stored in a shared PC on the network. When the script is done, it writes to lines to the text file. One line contains “go=1” the other line contains “1000.” The “1000” will be incremented by one each time the script runs. I need to have my applescript by able to read the first line of the file, execute, and then read the second line. Would something like this work?

set filecontents to read file “filename”
return word 1 of paragraph 2 of filecontents --will this read “1000” from the second line?

And then could I just read line one like:
return word 1 of paragraph 1 of filecontents

Thanks,
Adam

Let me make this a little more clearer. If the first line of the text file is “go=1” and the second line is “1000”. Can I use the following lines to read the individual lines?

set filecontents to read file “filename”
return word 1 of paragraph 1 of filecontents
–do some code
return word 1 of paragraph 2 of filecontents --will this read “1000” from the second line?
–wait until next loop

Thanks