Mark, what bothers me is that SEG basically has "carte blanche" to do whatever they want to with the proceeds from the SNDK proceeds (or any other cash on the balance sheets, or indeed, any of SEG's assets,) if I'm interpreting this section of the merger agreement correctly: "all cash on the Seagate balance sheet in excess of $800 million of cash working capital and after giving effect to VERITAS retained cash, debt repayment, taxes and other liabilities." "Other liabilities" sounds like it could be anything, but I'm not a lawyer and am probably becoming slightly (ok - maybe greatly <g>) paranoid, although perhaps with good reason. Someone on the Yahoo board posted that Luczo's ownership in ZOOX merely reflected SEG's, and indeed, the amounts acquired in July were very similar. I did note, however, that it was Luzco, and not SEG, who got a $1M windfall in Feb. from an options' exercise.
As for the $5 add-on, here is an interesting repost:
$5.00?
by: metalmaker5 4/22/00 1:41 pm
Msg: 17518 of 17530
Trish as you can see from the SEC filing the $5 addon is an approximate amount. It could be more or less depending on what SEG management does with the cash position between now and when the deal closes. Many postings indicate that shareholders get $5 for the disk drive biz. You can see by the SEC filing that this is an inaccurate assumption.
Thx for your comments! trish
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