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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 250.24+0.3%Nov 5 3:59 PM EST

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To: swimmygoof who wrote (112921)12/18/2000 6:40:45 PM
From: Glenn D. Rudolph  Read Replies (1) of 164684
 
Yes, I believe Amazon can raise more cash if it needs to. Kleiner Perkins is still heavily into this....a few hundred million in a private placement wouldn't be much of a challenge with their connections. Hell, John Doerr could open his own wallet and cover it himself.



Agreed.

I do not believe they will need to raise any cash this year. They could simply turn off the marketing machine and stop giving discounts to increase their cash position.



This will not work. Many of the fuflillment center expenses are fixed. In fact, most. No marketing and free giveaways no revenue growth. Posssibly a revenue decline. I do not believe there is anyway they can get through 2001 without a cash inflow.

P.S. I must admit that I'm getting quite a pit with the level of risk I'm taking, but I have to take it because of the more massive potential reward.



I wish you luck. I really do not like Amazon. That is personal but you have a very friendly way about you. I like people like that. I took a big chance on the short side so I know the feeling of the pit.

Anyhow, still lots of controversy and no sure thing so you are playing the large risk/reward game. That is how it goes.Candidly, I believe you are more market savey than I was when I was short. I suspect if FA does fail you will get out before it is too late. Just a gut feel by the way you seem to know the market.
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