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Technology Stocks : The New QLogic (ANCR)
QLGC 16.070.0%Aug 24 5:00 PM EST
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To: Craig Stevenson who wrote (15757)4/15/1998 12:01:00 PM
From: Erik Lundby  Read Replies (1) of 29386
 
Craig,
An important question. We had the right off from sequent because products shipped to sequent for sale to customers needed to be returned. The other right offs have been for products in the channel that ANCOR expects may be returned. There two possibilities with test beds, 1.ANCOR owns the product. If this is the case, it has not been counted as revenue and therefore will not be charged back. 2.SUN owns the product. If sun owns product that has been purchased for a test bed, would they return it and if so, realistically, how big of a possible charge are we talking about anyway. 1 or 2 mk 2s at at oem prices? Or would there be more? I'm not convinced that sun would have made any purchases to begin with and that ANCR does not just own the product that SUN was using for testing.

P.S. There is a third and not unlikely possibility. They traded equipment for interoperabillity testing. i.e. ANCOR had some SUN equipment for testing with their switches in Minnesota
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