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Non-Tech : Any info about Iomega (IOM)?
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To: May Tran who wrote (4698)7/20/1996 12:21:00 AM
From: Jimmy Parks   of 58324
 
I think that whoever started this hypothetical slow down about Europe doesn't know what he's talking about. All we know is that revenues from Europe was down. I don't know that it was due to a decrease in demand in Europe. If Iomega was able to sell more of their drives in the U.S., then they may have chosen to shift their allocation to capture more of the U.S. market. This is just one of the strategic sacrifices that company's make in order to capture market share. As much as I like Europe, they aren't the one's who set PC standards. If they were, we'd all be using Amigas instead of PC compatibles. I've been observing Iomega splitting up their shipments among retailers in order to achieve wider distribution.

I hope there isn't going to be any more of this talk about Europe until someone can tell me that Iomega was sitting on large amounts of unshipped inventory. If Iomega was producing as much as they could, and were still able to ship every unit, then the problems they had in the recent quarter was not a slow down in demand, but an inadequate amount of supply. They've been resolving their manufacturing supply problems and I have no doubt that they will have as good of quarters in the future as they have had recently.

-Jimmy
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