SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Compaq
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Jack T. Pearson who wrote (22073)3/16/1998 3:45:00 PM
From: Andreas  Read Replies (1) of 97611
 
Dear Jack,

I hate to break it to you. But guess what would have happened to cpq's earnings in the first quarter if they hadn't written off the shit load of excess inventory? They still would have been in the toilette!! Reduced margins resulting from reduced prices is killing profits! Even without the write-off, the quarter would have come in far below projections as a result of the fact that cpq is wrapping dollar bills around each computer they sell. Now add to that the fact that they have a ton of inventory they rammed downed everyone's throat to make the 4th quarter look good and you can see what happens. In other words the loss for this quarter is due to more than just the write-off. It's due to the write off plus all the losses attributable to the computers they did sell at shitty margins.
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News