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Technology Stocks : MRV Communications (MRVC) opinions?
MRVC 9.975-0.1%Aug 15 5:00 PM EST

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To: Bruce L who wrote (11427)12/9/1998 1:02:00 PM
From: signist  Read Replies (1) of 42804
 
Hi Bruce,
Thank You for your analyst re: trading activity.
You have brought up an interesting scenario about management possibly trying to privatize the company.

Just for the sake of trying to understand this process and what
advantages would this bring to the founders?

Obviously, they would not lose control of the company.

Could they possibly finance the continuing R&D, etc. that it takes for the private
company to compete with the eight hundred pound gorillas in this business unless
the founders would prefer to down-size the company enough to enable them to be able to survive so they could focus on R&D, possibly realizing the state of technology continues to leap frog
over one company to the next, trying to keep up or ahead of it?

Now, assuming this is their intent, I guess all they would have to do is buy all outstanding shares
at market value, with borrowed money they already have. Wouldn't this bring an avalanche of law suits from the three hundred or so shareholders? It would, IMO, take all of their resources
to prevail against this scenario.

Please feel free to add or correct my thinking on this.

It is not my intent to create something else to have to worry about by discussing this possibility.
I would hope that someone could dismiss this as not practical or really possible, so I don't have to worry about this possibility.

John,
Why couldn't this company be just one that is going through a few tough quarters.
I wish I had put my investment in a checking account. I'd be far better off today.
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