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Technology Stocks : Newbridge Networks
NN 13.85+6.9%Nov 25 3:59 PM EST

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To: Doug who wrote (15397)12/6/1999 6:09:00 PM
From: James Calladine  Read Replies (2) of 18016
 
"FIXING" THE TM EGO:

A situation in which such an ego might feel the impetus to change is:

1) You screw up in your delivery and you turn in a series of missed quarters and destroy NN financial credibility

2) By default you put your organization "in play"

3) First, you find yourself in a "friendly" takeover situation but you end up not liking the price or other details, so no offers come to fruition because of your opposition. Your Board and your management however may see it a different way.

4) You next find yourself in an "unfriendly" takeover situation but you are the only one who really wants to fight.

5) You fold, take your money and walk into whatever kind of a sunset you have organized.

I think that although TM will push for the maximum number of dollars (for which I am grateful) but because of the high share prices of the potential acquiring companies, the cost of NN to them will ultimately be cheap.

Myself, I would cheerfully exchange 1 NN for 1 NT. I don't
need cash, marketable securities are fine!

Best wishes,
Jim
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