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Technology Stocks : Dell Technologies Inc.

DELL 125.96

-1.0%

3:59 PM EST

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To: jbn3 who wrote (47303)	6/12/1998 2:58:00 PM
From: Chuzzlewit	Read Replies (2) of 176387

Good morning Bachman, Re: CPQ cash. Bear in mind that inventory write-downs are non-cash charges along with a number of merger-related charges. Also Compaq and DEC have a fair amount of annual depreciation which adds cash to the corporate coffers. I wouldn't be concerned with CPQ running out of cash just yet. Nevertheless, it looks as if the pain at Compaq will continue for at least another quarter and perhaps right through the end of the year. And that assumes that the merger will be fairly seamless. That appears to be an unwarranted assumption based on the news reports I'm seeing. A lot of DEC people are very upset with impending layoffs, and morale seems to be very low. I have a feeling (and I have no substantiation for this) that this will be a merger made in hell. But maybe we should defer all of these corporate culture and financial issues to Steve (aka hpeace) who will undoubtedly provide us with the divine answer. TTFN, CTC

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