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Technology Stocks : QUANTUM
QNTM 10.60+5.1%Dec 9 3:59 PM EST
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To: MKL who wrote (7406)2/26/1998 1:29:00 PM
From: Frodo Baxter  Read Replies (1) of 9124
 
>They are typically depreciated over 7 years with very low risk... Most of these equipment have to be replace (converted) anyway when product changes! Current DD product cycle is less than 2 years.

Wow, I thought depreciation schedules were secret. Where do you get these numbers?

>So, equipment breakdown is not a major issue.

If you followed my silly exercise in this and the other thread, you know (or should have guessed) that I wasn't really saying that the machines that the food chain folks buy break down. Instead, they are no longer able to produce a product that their customers would pay for (i.e. they are no longer able to print money).
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