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Technology Stocks : S3 (Multimedia semi's place 2be)
SIII 0.00010000.0%May 12 5:00 PM EST

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To: Dave O. who wrote (9165)6/10/1997 12:47:00 PM
From: Daniel Schulman   of 9477
 
I am a bit confused. Sure if DIMD's balance sheet is bleeding all over the place they might put pressure on suppliers to lower prices, If as they state, though, they are having troubles because their products have turned into commodity items and margins are being squeezed, doesn't that imply they are selling more units at reduced price? If they are selling more units, then isn't that on net-balance advantageous to their suppliers?

Obviously, the street disagrees with this, so I'd be appreciative if someone would straigten me out.
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