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Technology Stocks : Diamond Multimedia
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To: Kashish King who wrote (3558)5/2/1998 12:58:00 AM
From: Jonathan Quick   of 4679
 
Rod,

Pricing trends in the industry suggest that there may be problems with your "second rinse" approach to DIMD.

With the additon of Mr. Schraith, and other changes commented on in the past, Diamond has improved over the years. The problem is that the industry is becoming increasingly cost competitive to the point where I suspect Diamond is finding it difficult to make up lost margin solely with volume increases.

Oppenheimer previously indicated that DIMD would be an earnings superstar. Glad they woke up to reality.

Jonathan
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