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Technology Stocks : All About Sun Microsystems

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To: QwikSand who wrote (44326)7/31/2001 11:04:44 PM
From: Kevin Rose  Read Replies (1) of 64865
 
I think you misinterpreted my point. I believe that SUNW was sending a message; they need to cut people in order to not only bring their expenses down, but they need to let the Street know that they are doing it. Call it hedging the bet, but they don't want to be in a position in Q3/Q4 as being the company that heralded 'no job cuts' and then missed the number. In this environment, you have to walk the line between exuding confidence and showing that you can make the tough decisions when necessary.

I do not believe that this is a bad move by SUNW. If they believe they need to cut jobs to continue to have a profitable and viable business, it is their decision.

I stand by the assertion that SUNW is sending a message that they do not believe the recovery will be fully underway until '02, and these job cuts (which could have been easily disguised) are that message.
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