Advalorem,
I love it, what a drama, even a maestro couldn't have written such an opus. People are no different to animals, they possess the same herd mentality as the wilderbeast. When a pride of lions decides that the timing is right to make a move on a quarry of wilderbeast they invoke confusion and in the midst of all this chaos make their kill.
As I have said, knowledge is power and patience is more rewarding than ingeniousness, that means facts and poise should be the essence of our conversation not opinions about a Eric B, a Jewish Algerian national that graduated from college in his late teens. 3Com is not EB and will never be EB, he is an integral part of the company and IMHO he must have done something right to be elected CEO. Just because he has made a few mistakes he is not deserving of the reproach indited against him. Just because he is not a Chambers/Welch/Gates is not indicative of his incompetence, nor are past mistakes indicative of ones abilities. We all have 20/20 hindsight and I find it incredibly cheap for those of us who enjoy reproaching others for their own mistakes. If any of you think EB is as terrible as he is why do you continue to torment yourself by investing in 3Com? All you are doing is wasting your time and money, and in many instance probably your health and well being. I suggest you look for greener pastures that might succor your ambitions.
What you have been witnessing is a classic case of everyone looking for the exit lest they get hurt or left behind. Margin calls are exacerbating the situation and the truth is that the smart money is buying on every opportunity possible, not selling as you incorrectly think.
The BOD will consummate the IPO within six months and upon receiving a favorable Tax ruling will set the exact date and dynamics on how the Palm shares will be distributed. The disclaimers are written for the protection of 3Com's mgmt., and if you ask any reputable law firm, they will inform you that this is standard procedure.
In my prior missives I have expounded on the difference between dividends and capital gains tax consequences. It is for these reasons the company is trying to ascertain that we the 3Com share holders do not incur unnecessary tax consequences. Remember, there is no such thing as long term capital gains for dividends or interest income.
If 3Com's mgmt. decides to use their new found market cap to make acquisitions I am certain they will not, and I emphasize they will not, repeat the same mistakes they did with USX. I actually think the USX calamity will keep the company on their qui vive if they ever do consider going on a buying spree.
Now lets understand our parameters:
March 17, Option expiration
March 20, Earnings
March 27, Gag order is removed from Underwriter,
I expect 3Com to bounce back to $95 by the end of April, if not sooner. Upon expiration of March Options you should begin to see significant moves in the price of the stock. Then when they surprise with Earnings you will see the second phase of movement and when the gag order is released on March 27 I expect all the impending upgrades to follow. This hopefully will be followed by a propitious ruling on the part of the IRS that would in itself determine the dynamics associated with the completion and distribution of the Palm IPO.
Chaos is for those that don't know what they are doing, that is unfortunately the majority!!!!!!!
STOP PANICKING!!!!!!!!!!!!!!!!
;) |
