Compaq Message Board - Msg: 3635385

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Technology Stocks : Compaq

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To: Claude who wrote (20290)	3/7/1998 3:34:00 PM
From: ed	Read Replies (1) of 97611

Now CPQ has announced in public that there is not profit (break-even) in the first quarter, and inventory in the channel. While the whole year will still meet the earning expectation, I think I heard someone said he feel comfortable with the analyst estimation. How can this be ? My question to the thread is can CPQ "WRITE OFF" the inventory for the first Q of 98 and end with no earning, which also means those box sitting in the channel will have "0" cost for CPQ in the 2nd quarter , this also means higher earning for the 2nd Q of 1998? Any financial guys on this thread can answer this question ?

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