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Technology Stocks : VALENCE TECHNOLOGY (VLNC)

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To: Gordon Quickstad who wrote (504)6/7/1997 5:26:00 PM
From: FMK   of 27311
 
Gordon, Thanks for the Motorola and Nokia web info. It reminds me of what I perceive to be a dilemma. On one hand, It would be seem desirable for VLNC to enter a contract with Motorola in order to be a player in the cellphone market. On the other, it appears the production lines will generate over twice the revenue with the larger laptop computer cells.

When I discussed this with the company several months ago and mentioned that Motorola's demand alone could initially tie up all production lines, the spokesmen stated that "Motorola would love that!" and indicated that they were aware of the revenue difference. I have a feeling they intend to participate in both markets.

With the consensus of how many OEM's are interested, the situation suggests that VLNC will soon be in a far better position than they were 4 1/2 years ago when stock was in the 20's!

Regards, FMK
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