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Technology Stocks : Silicon Graphics, Inc. (SGI)
SGI 93.75-0.6%Dec 12 9:30 AM EST

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To: Jeff Maresh who wrote (1352)5/8/1997 9:31:00 PM
From: Jerry C.   of 14451
 
I have a general investment question regarding SGI's annual report. I
just looked over the one I got around August. In the section named
"Factors that may affect future results" the management made it clear
that they anticipate risks with the "replacement of current
products with significant new products (the "O" series) to include
development or manufacturing delays and delays in customer purchases
of existing products in anticipation of the introduction of new products."
They also made it clear that foreign exchange rates can affect their profits
(even though they use foreign currency options as a hedge).

These statements were made in advance of the stocks downward slide the past
twelve months.

My question is "do all companies express similar concerns in their annual reports,
or is the management really not as screwed up as many have recently accused
them of being.I would like to think that they are not.
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