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Technology Stocks : Vixel (vixl), a fibre channel company!
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To: Tom Hua who wrote (84)10/3/1999 9:07:00 AM
From: sam  Read Replies (1) of 377
 
I agree. Issuing warrants to clients is quite common. And not necessarily a bad thing. Especially if its triggered by some event.

That said, VIXL's problems may have something to do with the info found in this post (quoting VIXL's recent S1A dated September 1, 1999): Message 11329278

"A COMPONENT USED IN OUR TRANSCEIVERS HAS EXPERIENCED AN ABNORMALLY HIGH FAILURE RATE WHICH HAS ADVERSELY AFFECTED AND COULD IN THE FUTURE AFFECT OUR SALES."

Now, problems like this are not uncommon. And reserves have been set aside. VIXL is doing what it must to rectify the problem. Still, I'm not so sure I wouldn't be a bit careful here.
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