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Technology Stocks : DII Group, Inc.

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To: Douglas V. Fant who wrote (1526)3/15/1998 4:39:00 PM
From: Creditman  Read Replies (3) of 1845
 
Rich & Doug,

The key to DIIG near term will be how productive they can be in Austin. They got that huge (700K Sq Ft I think) facility on the cheap from IBM with a supply back IBM contract to make IBM computers (RS6000?). I've heard from people I know who have been there that they are finding all kinds of ways to use the space productively like that new division they announced recently. Remember many of DIIG's competitors in the assembly business buy their boards outside like JBIL does at HADCO. DIIG makes their own at Multek. Therefore they can make more profits if they are busy with the downside of having more structure when business is slow. I hear that they are becoming very busy
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