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Technology Stocks : Net Perceptions, Inc. (NETP)
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To: J. Conley who wrote (2714)8/15/2000 5:05:04 PM
From: rupert1   of 2908
 
J. Conley: Welcome to NETP and the board. I don't know the answer, maybe bernie will ask IR - they are busy this week but perhaps next. You make good points and this is how I think NETP would probably answer:

1. We contract out consulting in the sense that:

(a) some of our partners do it for us when they are involved in the deal, indeed, some of our partners are mainly consultants:

(b) we were short of consulting staff for part of 4Q and 1Q:

(c) given the recruitment costs, salary and support costs of a consultant and the one month or so taken to get up to speed, it can be more economical to contract out some consulting.

2. We have an under-utilization cost because the new consultants hired in 1Q or early 2Q were undergoing training and orientation and not billing their time.
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