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Technology Stocks : Dell Technologies Inc.

DELL 129.25

+0.7%

Dec 26 3:59 PM EST

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To: The Duke of URL© who wrote (172374)	2/10/2003 4:52:23 PM
From: Sig	Read Replies (1) of 176387

How much profit in the ink-jet cartridge business? Wholesale colored ink by the gallon costs @$400 , less by the 400 lb drum Which is @ $1.70 per cu in or enough to refill either black or color Estimating $2 for the plastic case and copper plate ( if they can make and sell a complete hard drive for $20, they should be able to make one for $2 or less) Total about $3. 70 Sells for around $37 Refills sell at 70% of that but there may be shipping cost both ways Reason for estimating this is that LXK was down early because of a legal issue over their chip inclusion which prevents refilling. But 4 States have already agreed that State offices cannot purchase cartridges that prevent refills . It appears that Dell is in good shape here. They do not go- where there is no dough. Cut the sales price of cartridges in half and there is still major profits to be made. Sig

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