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 : Novell (NOVL) dirt cheap, good buy?
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Roger Mariner who wrote (21244)3/19/1998 11:51:00 AM
From: Paul Fiondella  Read Replies (1) of 42771
 
Noorda report

Looking over the article you reference, it would appear that Noorda has adopted in its entirety the position which we articulated in our White Paper last year and on this thread.

In particular I was looking to see what position he took on the composition of a new BOD. The article says that he wants Schmidt to be able to select the members, and for those members to be more representative of the industry Novell is in. That is exactly the position we articulated.

I was particularly struck by the article saying other institutional investors are being approached. This is precisely the strategy we tried to get CALPERS to engage in last year. Perhaps we should have approached Noorda instead, but, as the article says he thought Schmidt needed time to get established.

Now the situation is ripe for change. I'm sure that if the other institutional investors can be convinced then they will withdraw their support for the various BOD members under their control. Watch closely to see if there are any other resignations or indications by the BOD members that they will step down.

Of course the other method of accomplishing the same thing would be to expand the BOD and give Schmidt some room to add members from the industry.

I also think Noorda is telegraphing the status of the companies underlying position as has been done here repeatedly by people digesting the numbers. If things were wonderful and the miraculous "turnaround" were here, I'm sure you wouldn't see Noorda doing this. The guy is trying to save the company.

Nor is it in anyone's interest for a high profile battle of the wills. If the current braindead BOD waits for some seriously bad financial news and then forces a stockholder revolt to remopve them, the ensuing chaos might sink the company.

As Joe has said, any major setbacks will tarnish Schmidt's image and effectiveness. He defused the bear trap set up for him when took the job by telling the truth about the numbers. We had two quarters now of creative accounting. This next quarter will bring more pressure on him. We don't need that and especially we don't need that just to protect this insular braindead BOD. No one is unhappy with what Schmidt is doing. The pace of change has been slowed down considerably by the lack of backup. This BOD does not function. It cannot make deals. It has no industry credibility.

I fully support the Noorda Trust.
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