ÿDoug, here is a brief review of ALA. It is clear to me that ALA tanked
in Sept 1998 because ALL of ASIA and Russia tanked.
ÿÿÿÿ PARIS -(Dow Jones)-ÿ French engineering and telecommunications
ÿÿÿÿ conglomerate Alcatel SA Thursday reported a 15% drop in operating profit
ÿÿÿÿ on a 29% decline in revenue in the first half and warned that profit
ÿÿÿÿ this year will be below expectations for an 8% rise.
ÿÿÿÿ The news rattled the French stock market and sent Alcatel shares
ÿÿÿÿ plunging. Traders said Alcatel's profit warning spooked the market amid
ÿÿÿÿ deepening concerns that the impact the Asian and Russian crises are
ÿÿÿÿ having on French companies' earnings was grossly underestimated. "This
ÿÿÿÿ is all about Asia and Russia," said Jean Faivre, of brokerage house CLC
ÿÿÿÿ Bourse. "Alcatel's profit warning proves that this is truly a global
ÿÿÿÿ crisis and that any company with an exposure to those regions is going
ÿÿÿÿ to take a big hit."ÿ
ÿÿÿÿ siliconinvestor.com
Here is the combo SI chart, clearly shows everything was down,ALA, CSCO, LU, Dow Jones
We were in the middle of Asia / Russian crisis. Had nothing to with ALA.
You are comparing apples with oranges,
siliconinvestor.com
Read on ALA 's transformation. This company with NN
will clean house IMHO,
TA
-------------------------------------------------
Message 5105587
Salomon lists 15 favored stocks the broker considers to be especially attractive for the coming year.
Alcatel Alsthom (NYSE:ALA).is one
------------------------------------------------
July 7, 1998:$40: New High
Message 5119725
To: Tom Brush who wrote (101)
ÿÿÿÿ From: Mike K
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Tuesday, Jul 7, 1998ÿ 3:20 PM ET
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Respond to Post # 102 of 285ÿ
New high today!!!ÿ
--------------------------------------------
siliconinvestor.com
To: Mike K who wrote (102)
ÿÿÿÿ From: Steve Fancy
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Wednesday, Jul 8, 1998ÿ 12:13 PM ET
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Respond to Post # 103 of 285ÿ
ÿÿÿÿ From 7/13/98 Business Week...
ÿÿÿÿ THE GLOBAL 1000 (int'l edition)
ÿÿÿÿ The Year of the Dealÿ
ÿÿÿÿ The market is applauding the turnaround at France's Alcatel (ALA), but its
ÿÿÿÿ hard-driving chief executive, Serge Tchuruk, isn't about to sit back yet. Investors
ÿÿÿÿ are so pleased with Tchuruk's efforts to restructure the once troubled telecom
ÿÿÿÿ equipment maker that they have nearly doubled its market value--to $34.9
ÿÿÿÿ billion--in the past year. Tchuruk's goal, though, is to make Alcatel a world leader
ÿÿÿÿ in new technology and equipment for Internet communications. So in early June,
ÿÿÿÿ he took a big step, using his fat share price to buy Texas-based DSC
ÿÿÿÿ Communications Corp. (DIGI) in a $4.4 billion stock deal.
ÿÿÿÿ Expect to see many more moves like Tchuruk's in the coming age of the global
ÿÿÿÿ deal. Alcatel's absorption of the American telecom company places it among a
ÿÿÿÿ growing list of deals in the global consolidation sweepstakes.ÿ
ÿÿÿÿ <snip>
---------------------------------------
siliconinvestor.com
UPDATE) Investors Applaud French Alcatel's Metamorphosis To High-Tech Firm
To: Doug who wrote (123)
ÿÿÿÿ From: Steve Fancy
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Friday, Aug 7, 1998ÿ 1:05 PM ET
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Respond to Post # 124 of 285ÿ
ÿÿÿÿ UPDATE) Investors Applaud French Alcatel's Metamorphosis To High-Tech Firm
ÿÿÿÿ Dow Jones Online News, Friday, August 07, 1998 at 12:36
ÿÿÿÿ By Douglas Lavin, Staff Reporter of The Wall Street Journal
ÿÿÿÿ PARIS -(Dow Jones)- Investors world-wide are betting heavily on
ÿÿÿÿ European corporate restructuring. And one of their favorite companies is
ÿÿÿÿ Alcatel-Alsthom SA, France's once-struggling
ÿÿÿÿ trains-to-telecommunications conglomerate that is reinventing itself as
ÿÿÿÿ a high-tech company.
ÿÿÿÿ But a look at Alcatel's (ALA) transformation over recent years offers
ÿÿÿÿ a sobering lesson for investors hoping for a European remake of
ÿÿÿÿ America's economic resurgence: Restructuring in Europe, though very
ÿÿÿÿ real, isn't as fast, bold or bloody as in the U.S.
ÿÿÿÿ It is true that changes at Alcatel have been dramatic by European
ÿÿÿÿ standards. The company has sold off vineyards and magazines, has partly
ÿÿÿÿ spun off its train and turbine unit and is expanding its satellite
ÿÿÿÿ operations. The divested businesses represent a total of about 40% of
ÿÿÿÿ Alcatel's revenue.
ÿÿÿÿ But Alcatel can't sell off its 44.1% share of Framatome, the French
ÿÿÿÿ maker of nuclear-power plants, because the state doesn't want it to. Nor
ÿÿÿÿ can it shed low-margin parts factories without inviting uproar from its
ÿÿÿÿ unions. Efforts to focus the company on technology have been balanced by
ÿÿÿÿ retaining huge investments in unrelated but stable businesses.
ÿÿÿÿ Of course, there are plenty of reasons to bet on changes in Europe.
ÿÿÿÿ The continent's economies are growing, inflation is low, notions of
ÿÿÿÿ shareholder value are spreading, and it looks as though deregulation and
ÿÿÿÿ restructuring will accelerate with the birth next year of the euro,
ÿÿÿÿ Europe's common currency.
ÿÿÿÿ But corporate restructuring won't change the bottom line in Europe as
ÿÿÿÿ much as in the U.S. American restructuring in the 1980s helped push
ÿÿÿÿ return on equity - a common measure of performance - to a level of about
ÿÿÿÿ 20% today, from about 10% in the early 1980s, says Peter Sullivan,
ÿÿÿÿ European equities analyst at Goldman, Sachs & Co. in London. Sullivan
ÿÿÿÿ says he expects European profit levels to remain in the mid-teens for
ÿÿÿÿ the next five years, thanks to what he describes as "more evolutionary"
ÿÿÿÿ restructuring efforts here.
ÿÿÿÿ When Alcatel Chairman Serge Tchuruk took over in 1995, he told senior
ÿÿÿÿ management "what this company needs is discipline and new ideas. I'll
ÿÿÿÿ provide the discipline." In transforming Alcatel from a conglomerate
ÿÿÿÿ into a high-tech company, Tchuruk is implementing a commonsense strategy
ÿÿÿÿ that proved successful when he was chairman of Total SA, the French oil
ÿÿÿÿ company: shift emphasis within the group toward higher-profit and
ÿÿÿÿ higher-growth areas.
ÿÿÿÿ "A management team can only really focus on one business," Tchuruk
ÿÿÿÿ said, explaining decisions at Alcatel to sell off part of a turbine
ÿÿÿÿ company, a vineyard and two of France's most prominent news magazines,
ÿÿÿÿ L'Express and Le Point.
ÿÿÿÿ The restructuring began in 1994, before Tchuruk's arrival, when
ÿÿÿÿ Alcatel began scrapping a system of regional fiefs and reorganized along
ÿÿÿÿ product lines. But change has accelerated under Tchuruk, culminating
ÿÿÿÿ when Alcatel in June sold off most of its interest in its trains and
ÿÿÿÿ electricity joint venture with Britain's General Electric Co. PLC, as
ÿÿÿÿ part of the venture's $3.75 billion stock flotation that created what is
ÿÿÿÿ now Alstom SA.
ÿÿÿÿ Alcatel also announced the purchase of DSC Communications Corp. of
ÿÿÿÿ the U.S. for $4.4 billion in stock. And it put the finishing touches on
ÿÿÿÿ a new satellite company formed through the merger of its satellite
ÿÿÿÿ operations with those at defense-electronics company Thomson-CSF and
ÿÿÿÿ French aeronautics leader Aerospatiale SA.
ÿÿÿÿ The refocusing effort won praise from analysts and investors.
ÿÿÿÿ Alcatel's stock, which closed at 451.80 French francs ($76.13) on May
ÿÿÿÿ 31, 1995, when Tchuruk was named chairman, has since more than doubled
ÿÿÿÿ in value, closing at 1,136 francs in Paris trading Thursday. Similarly,
ÿÿÿÿ Alcatel's earnings of 4.7 billion francs ($792 million) last year are
ÿÿÿÿ far from its 1995 record loss, the largest ever posted by a French
ÿÿÿÿ company, of 25.6 billion francs.
ÿÿÿÿ Last month, Salomon Smith Barney named Alcatel one of its 15 global
ÿÿÿÿ stocks of the year, largely on the strength of its efforts to reshape
ÿÿÿÿ itself, and Morgan Stanley Dean Witter & Co. has picked Alcatel for a
ÿÿÿÿ key European portfolio.
ÿÿÿÿ But what is remarkable is how much remains untouched. At a time of
ÿÿÿÿ booming growth in the world-wide telecommunications market, Alcatel's
ÿÿÿÿ growth in the first half was sluggish. Revenue rose 2.4% from a year
ÿÿÿÿ earlier, while Finnish rival Nokia Oy reported a 36% increase in
ÿÿÿÿ first-half revenue. (Alcatel, like many French companies, reports
ÿÿÿÿ earnings only annually.) Cables and components, a catch-all Alcatel
ÿÿÿÿ division, last year reported revenue that was more than half as large as
ÿÿÿÿ the company's key telecommunications activity. Alcatel still makes parts
ÿÿÿÿ for antilock-braking systems and batteries for aircraft. And Alcatel
ÿÿÿÿ still has roughly 500 subsidiaries.
ÿÿÿ Even Tchuruk himself seems uncertain whether to talk the talk of bold
ÿÿÿÿ change that foreign investors like to hear, or the reassuring patter of
ÿÿÿÿ "sticking to the calendar" and "meeting forecasts" that plays better
ÿÿÿÿ domestically. Tchuruk defends the idea that Alcatel is focusing on
ÿÿÿÿ telecommunications but describes the company as a "trimaran" that gains
ÿÿÿÿ stability by retaining big stakes in Thomson's defense-electronics
ÿÿÿÿ business and Alstom's train and power activities. "We have gone very
ÿÿÿÿ fast, without disruptions in the company," he says.
ÿÿÿÿ Before this summer's transfer of staff to the Alstom spinoff, Tchuruk
ÿÿÿÿ had shaved the work force only about 1%, to 189,500 at the end of 1997,
ÿÿÿÿ from 191,800 when he arrived in 1995.
ÿÿÿÿ Contrast Alcatel with AT&T Corp., which spun off Lucent Technologies
ÿÿÿÿ Inc. two years ago, has laid off tens of thousands of workers, and is
ÿÿÿÿ reshaping its core business through plans to buy cable-TV giant
ÿÿÿÿ Tele-Communications Inc. Lucent has emerged as the focused high-tech
ÿÿÿÿ company Alcatel talks about becoming.
ÿÿÿ The DSC acquisition has done little to fix the two glaring holes in
ÿÿÿÿ Alcatel's lineup-mobile-phone and Internet products. Alcatel relies on
ÿÿÿÿ Cisco Systems Inc. of the U.S. to provide it with key Internet
ÿÿÿÿ technology, even though Jozef Cornu, Alcatel's chief operating officer,
ÿÿÿÿ admits that developing such technology in-house is a priority.
ÿÿÿÿ Alcatel has avoided dramatic change despite the fact that its
ÿÿÿÿ past-selling trains, phone switches and turbines to public rail, phone
ÿÿÿÿ and power monopoliesleaves it poorly adapted to compete globally.
ÿÿÿÿ "There's a strong culture and a history of working in monopoly markets,"
ÿÿÿÿ said Francois Kornmann, an analyst at French consulting firm Idate.
ÿÿÿÿ Alcatel is still a marginal cellular equipment supplier, supplying
ÿÿÿÿ only about 5.5% of the handsets in Europe, according to market-research
ÿÿÿÿ firm Dataquest. And Alcatel's first-half cellular-equipment sales fell
ÿÿÿÿ from a year earlier, according to Global Mobile, an industry newsletter.
ÿ ÿÿ Tchuruk, however, is happy with his company. "The advantage of a big
ÿÿÿÿ firm is its power, its diverse technical abilities and its immense
ÿÿÿÿ markets. The disadvantage is a relatively slow reaction time," he said.
ÿÿÿÿ "What we've created is a small structure that can surf on the surface of
ÿÿÿÿ Alcatel in a completely selfish way, while taking advantage of its
ÿÿÿÿ size."
ÿÿÿÿ Copyright (c) 1998 Dow Jones & Company, Inc.
ÿÿÿÿ All Rights Reserved.ÿ
--------------------------------
Message 5611206
Market tanks and pulls ALA down
ALA #30
To: Ali Shahbaz who wrote (136)
ÿÿÿÿ From: Dave
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Friday, Aug 28, 1998ÿ 3:06 AM ET
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Respond to Post # 137 of 285ÿ
ÿÿÿÿ Ali:
ÿÿÿÿ Dow down 300+ points, Nasdaq down 80+ points, S&P down 40+ points and, furthermore, DSC just approved the merger...
ÿÿÿÿ dave
-----------------------------------------
siliconinvestor.com
To: Charlie Smith who wrote (168)
ÿÿÿÿ From: Steve Fancy
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Thursday, Sep 17, 1998ÿ 10:35 AM ET
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Respond to Post # 169 of 285ÿ
ÿÿ ÿÿ France's Alcatel Stuns Investors With Profit Decline, Weak Outlookÿ
ÿÿÿÿ Dow Jones Online News, Thursday, September 17, 1998 at 10:12
ÿÿÿÿ PARIS -(Dow Jones)-ÿ French engineering and telecommunications
ÿÿÿÿ conglomerate Alcatel SA Thursday reported a 15% drop in operating profit
ÿÿÿÿ on a 29% decline in revenue in the first half and warned that profit
ÿÿÿÿ this year will be below expectations for an 8% rise.
ÿÿÿÿ The news rattled the French stock market and sent Alcatel shares
ÿÿÿÿ plunging. Traders said Alcatel's profit warning spooked the market amid
ÿÿÿÿ deepening concerns that the impact the Asian and Russian crises are
ÿÿÿÿ having on French companies' earnings was grossly underestimated. "This
ÿÿÿÿ is all about Asia and Russia," said Jean Faivre, of brokerage house CLC
ÿÿÿÿ Bourse. "Alcatel's profit warning proves that this is truly a global
ÿÿÿÿ crisis and that any company with an exposure to those regions is going
ÿÿÿÿ to take a big hit."ÿ
ÿÿÿÿ Alcatel expects sales for the full year to rise about 10%, but said
ÿÿÿÿ it will be hard hit by reduced capital spending by telecommunications
ÿÿÿÿ operators and the financial crises in Asia and Russia.
ÿÿÿÿ First-half net profit rose to 15.2 billion francs ($2.7 billion) from
ÿÿÿÿ 1.5 billion francs a year ago, but only after tacking on 13.7 billion
ÿÿÿÿ francs in gains from spinning off its Alsthom unit in the $3.75 billion
ÿÿÿÿ stock flotation that created what is now Alstom SA, the engineering
ÿÿÿÿ company whose flagship product is the high-speed train known as the TGV.
ÿÿÿÿ Part of the gain came from the sale of Alcatel's Cegelec unit to Alstom.
ÿÿÿÿ Alstom is a former joint venture of Alcatel and General Electric PLC of
ÿÿÿÿ the United Kingdom. Alcatel and General Electric still have 24% stakes
ÿÿÿÿ in the concern.
ÿÿÿÿ Chairman Serge Tchuruk said that operating profit from the group's
ÿÿÿÿ telecommunications activities would fall well shy of analysts'
ÿÿÿÿ expectations. He said, however, that operating profit from those
ÿÿÿÿ activities would show a gain for the full year comparable with the rise
ÿÿÿÿ in first-half operating profit. In the first half, operating profit from
ÿÿÿÿ telecom sales rose 33% to 800 million francs from 600 million francs.
ÿÿÿÿ Alcatel's telecom operations in 1997 posted an operating profit of
ÿÿÿÿ 3.1 billion francs. A comparable rise would put full-year 1998 operating
ÿÿÿÿ earnings around 4.1 billion francs.
ÿÿÿÿ In Paris Thursday, Alcatel's shares plunged 272 francs, or 29%, to
ÿÿÿÿ 655 francs before trading was suspended for a second time. In the U.S.,
ÿÿÿÿ trading in Alcatel's American depositary shares (ALA) was delayed, with
ÿÿÿÿ indications that they would open in the range of $18 to $20, down from
ÿÿÿÿ Wednesday's close at $31.25.
ÿÿÿÿ The rush to dump Alcatel shares in the wake of the profit warning
ÿÿÿÿ also reflects the fact that the company graced the top-10 recommendation
ÿÿÿÿ lists of many investment banks in both the U.S. and France at the
ÿÿÿÿ beginning of the year. "When you have a star like Alcatel that issues a
ÿÿÿÿ profit warning in the midst of a crisis, the effect is dramatic," said
ÿÿÿÿ Bruno Eudes, a salesman at the brokerage house Meeschaert-Rousselle in
ÿÿÿÿ Paris.
ÿÿÿÿ Tchuruk downplayed rumors of a merger with any other major
ÿÿÿÿ telecommunications supplier, such as Lucent Technologies Inc. (LU).
ÿÿÿÿ "There are rumors that they will take over us, Nokia and (German's)
ÿÿÿÿ Siemens," the chairman said. "I say bon appetit."
ÿÿÿÿ He said the company would continue to look for acquisitions in the
ÿÿÿÿ U.S. particularly in the Internet sector but he said that those
ÿÿÿÿ acquisitions would be for small companies or start-ups with specialized
ÿÿÿÿ activities.
ÿÿÿÿ Turning to Alcatel's 44% stake in nuclear power plant manufacturer
ÿÿÿÿ Framatome SA, Tchuruk repeated Alcatel's long-standing desire to reduce
ÿÿÿÿ its stake in the company and said that he would try to increase pressure
ÿÿÿÿ on the French government to allow Alcatel to adjust its shareholding.
ÿÿÿÿ Alcatel is Framatome's majority shareholder.
ÿÿÿÿ Copyright (c) 1998 Dow Jones & Company, Inc.
ÿÿÿÿ All Rights Reserved.ÿ
=============================
You said:
To: zbyslaw owczarczyk who wrote (17245)
ÿÿÿÿ From: Doug
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Friday, Feb 18, 2000ÿ 4:15 PM ET
ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Reply #ÿ of 17312
ÿÿÿÿ Z.O: It does appear that anyone be it me or the media who has a differing view from you or a question is manupulative.ÿ
ÿÿÿÿ I have first hand experience when DIGI was taken by ALA on a stock swap. On announcement, ALA dropped like a brick and those wanting to cash out
ÿÿÿÿ suffered. The ALA chart can be verified.
ÿÿÿÿ All this is part of my dd to ensure my bases are covered . |
