Here is a posting I found in Yahoo - Very interesting! A very well written letter to COMS investors relations. Good luck to all of us.
>>>>>>>>>>>>>>>>>>>>>>>
Hello,
This past January, after reading the forward looking statements about 3 COM turning the corner, I felt that investing in 3 COM
was a safe investment with very good potential for growth. At the time, my indecision was whether to invest in 3 COM or
Cisco. As it turns out I made the wrong decision.
I own a Palm III and think it is an excellent tool. Most of the computers that I have opened, have had your NIC cards. My
modem, is USR Sportster.
Based on the forward looking statements made by your executives about turning the corner, as well as the fact that I was
happy supporting your company by purchasing your products. I decided to invest in COMS rather than CSCO. This has been
the worst decision that I have ever made.
While your executives made out very well, I like a fool was purchasing shares; While I am only a small investor, owning only
750 shares, I find it simply amazing that some of your executives own even less. According to the information freely available
on Yahoo…..
Name: MANIRE ROSS W
Title: Senior Vice President of the Carrier Systems Business Unit
Company: 3Com Corp
Shares Remaining: 654 Common as of 29-Jan-99
Sold: 333,062 shares on 1/29/99 @ 45.97
Sold: 725,000 shares on 1/28/99 @ 45.63
Sold: 275,000 shares on 1/27/99 @ 45.66
Name: GRAHAM JEFFREY
Title: Director
Company: 3Com Corp
Shares Remaining: 100 Common as of 21-Jan-99
Sold: 5,000 shares on 1/21/99 @ 47.63
Name: EDSON RICHARD
Title: Divisional Officer, Senior Vice President, Client Access Products New Business
Company: 3Com Corp
Shares Remaining: 770 Common as of 13-Jan-99
Sold: 101,000 shares at 46.00 12/24/98 (Merry Christmas)
Sold: 50,000 shares at 48.31 1/6/99
Sold: 10,000 shares at 47.00 1/11/99
Sold 40,000 shares at 44.84 1/13/99
Conversely, like a fool, I believed in 3 COM and
Bought: 200 at 46.75 on 1/13/99
Bought: 150 at 34.18 on 2/22/99
Bought: 200 at 28.375 on 3/2/99
Bought: 200 at 24.25 on 3/3/99
As of today's close, I have LOST 25.6% of the monies I invested in 3 COM.
While, I realize that investing in 3 COM was my decision, no matter how poor, to invest in your company. I am surely
disappointed in the management. How could they be making such positive statements in December and January; only to
announce in March how you were going to miss the quarterly numbers by a full third.
I am truly disappointed in how such a rosy picture was painted and then such dismal performance for that very quarter.
At this point, I don't even expect an acknowledgment that this was received - let alone read. But, I want you to know, my Palm III
is now in a drawer. I WILL purchase a WinCE palm top before I ever purchase another Palm Pilot.
Any computers that I purchase, will not have your NIC Cards. Motorola, Zoom or anyone other than USR will replace the
modem when needed.
I am stuck holding stock in your company until the price comes back up. And believe me, as soon as it does, I will dump
whatever I own in a heartbeat. |
