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Strategies & Market Trends : Tech Stock Options

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To: j g cordes who wrote (27715)11/3/1997 1:58:00 PM
From: Patrick Slevin  Read Replies (1) of 58727
 
It seems we are hammering this thing a bit to hell, but....

People look at growth in different ways. Growth may be facilitated thru takeovers, friendly or not, do we agree? A stronger stock price...helped by a buyback program may make debt easier to secure...this debt could be used to finance growth.

If you want to make a case that a buyback is not growth but financing a new division or product or making acquistions using stock or debt is, okay.

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I would like, to refer you to page MW6, paragraph 4 in November 3rd's Barrons.

"....Big Blue has retired about 6.5% of it's stock in the 12 months ending in September and a total of $16 billion since early 1995. The buyback program has proven a shrewd use of corporate funds and a major support for IBM's stock...."

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If we don't agree on whether or not it is growth, let's at least consider that it may be used to help facilitate growth.

By the way, I have long been led to believe that Tom Cruise was a busboy in a local golf club. Perhaps we are rubbing shoulders with the next "Hot Dog" now and not aware of it.
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