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Technology Stocks : Newbridge Networks

NN 15.87

+2.5%

Dec 5 9:30 AM EST

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To: Thomas Scharf who wrote (8518)	12/14/1998 3:13:00 PM
From: Bruce Evans	of 18016

The UB manufacturing situation was very strange. They were owned by Tandem, and they had all their manufacturing handled by Tandem manufacturing, who subcontracted it to Solectron in So. California somewhere (I think). When NN bought UB, they bought manufacturing services from Tandem, and who knows what games may have been being played. NN looked over the cost of the units (on a component by component basis) and announced that they (NN) had a great purchasing organization (supposedly Siemens wanted to get some parts through NN, they were so good); and thus the cost would plummet. All in my opinion only?

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