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Technology Stocks : Ezenia! (VSVR)

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To: Scott Burns who wrote (434)	6/30/1997 7:47:00 PM
From: Wowzer	of 890

Something doesn't add here: <<BURLINGTON, Mass., June 30 (Reuter) - VideoServer Inc said Monday it expects to report a net loss of about $8-$9 million or $0.60-$0.67 per share in the second quarter on revenues of about $11 million. The company said the loss would include a pre-tax charge of about $14 million for purchased research and development related to the acquisition of the network access card business unit of Promptus Communications. Without the charge, the company said it would have been ``modestly profitable'' for the second quarter.<< If I back out the $14 million, I get $6 to $5 million of net income which equates to apprx $0.45 to $0.38 a share, assuming 13.3 million shares outstanding. What am I missing?? Rory

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