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Technology Stocks : Silicon Graphics, Inc. (SGI)
SGI 91.83-1.9%10:38 AM EST

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To: Justin Banks who wrote (1181)4/22/1997 5:28:00 PM
From: Marc Schiler   of 14451
 
Justin, Alexis,

I am pleased to hear that Toshiba is licensing MIPS. But I was excited when Nintendo64 was successful, only to find that MIPS had been sold so cheaply that there would be "negligible effect" on the bottom line. Sure enough, Nintendo64 is wildly successful; net effect on SGI is nil.

Again, I have lost 15% of my total stock holdings because of the portion invested in SGI, and am admittedly disgruntled, and maybe I should just be happy that the rest hasn't tanked as badly, but I am interested in the fundamentals of the firm, and cannot understand why a company with decent products cannot make any money. It just sounds like lousy management to me. The underlying problem is that the stock will continue to tank until management has changed.

Any advice?
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