Re: Asia Warnings
Last night when I was reading the slew of Asia warnings, I was thinking what in the world will it take for investors to take notice that there is "real" trouble in Asia? I hate sitting here watching my favorite tech stock group (networkers) going higher and higher without me. Well it occurred to me that what may get investor's attention is the threat of defaults and maybe, just maybe, the very remote possibility of bankruptcy of a well known tech company. Most techs can't go bankrupt because they don't owe anyone money. Most have super strong balance sheets.
Well it's interesting because this morning, Western Digital said something pretty significant(IMVHO) and it seemed to not cause that great of a stir? I don't know anything about storage companies but I'm guessing they must have some LT debt to pay off. Just thought I would post it in case some may have missed it. To me it's significant(IMVHO), but my opinion sure doesn't have any effect on the markets. I know, I know. Liquidity, liquidity, liquidity. :)
MikeM(From Florida)
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Herb on TheStreet
By Herb Greenberg
6/10/98 Weak-kneed Wednesday: Can't wait to see: The spin HMT Technology (one of this column's old -- ahem -- friends) puts on its outlook now that Western Digital, one of its largest customers, prereleased a lousy quarter -- lousy in the form of a loss of at least $100 million. Western Digital also warned that unless conditions improve, it may be in technical default of its loans. |
