FWIW -- from the business section of today's local paper ..... no mention of embedded chips (the other - bigger - shoe), but there does seem to be a steadier stream of these stories lately. I'm also noticing that quotes from the "pay no attention to it, it's just hype from doomsayers" crowd are totally missing.
**No One Is Safe From Year 200 Problem, Companies Say*
by R. Chambers -- Cox News Service
Computer programmers are responsible for setting up the most disastrous blind date in history --- the year 2000 problem.
In order to help investors avoid the problem in their portfolios, a query was put to several Wall Street Firms: Can you identify any public companies, other than those working to fix the situation, that are out of the woods as far as the year 2000 problem is concerned?
"As far as Merrill Lynch is concerned, the answer is no," said spokeswoman Meredith Kelly in New AYork, in a typical response.
Whoa. According to worst-case scenarios, on Monday, Jan. 3, 2000 when the next millennium opens for business, computers that haven't shifted from two-digit designations of the date may think the year is 1900. That could create an avalanche of miscalculations or other problems that could cripple everything from air traffic control systems to a bank's ability to find your account.
So what companies are safe for investors?
"The problem is, everybody says they're ready," said Jack White, research director of Interstate/Johnson Lane. And, if a company didn't claim to be in good shape, according to other analysts, it would face immediate leagal problems.
"The chain is only s strong as its weakest link," added White, meaning that a given company may have cleaned up its own problems. But the clean company would still be at risk from bad data shipped its way form the computers of other companies or individuals.
Edward Yardeni, chief economist of Deutsche Morgan Grenfell, said there's a 60 percent chance of a worldwide recession in 2000 because of computer breadkowns. Yardeni has studied the problem for some time, and his Web site at www.yardeni.com is one of the best at scoping out the breadth and complexity of the issue.
Does Yardeni know of companies that have solved their internal problems? " I really don't know," he said, "but the scuttlebutt around is that BankBoston, Wachovia, Merrill Lynch and Chase (Manhattan)" are " in goo year 2000 shape." |
