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Technology Stocks : OnSale Inc.

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To: Tom W. who wrote (3524)1/20/1999 10:30:00 AM
From: John Finley  Read Replies (2) of 4903
 
Kaplan did a good job on CNBC as well as CNNfn last night. On CNBC he also mentioned making money on shipping. Also said that since they don't carry the inventory of new computers they won't have the inventory problems that they have in the auction business. He also said that the less-than-stellar sales of surplus and refurbed items over the holidays was in part caused by the stellar sales of inexpensive NEW computers etc. for the season. He said that ONSL won't be caught again because with AtCost they'll also be selling new equipment.

To me the most important thing he said was that (and I'm paraphrasing, at the least) a successful business model based on the internet hasn't been demonstrated thus far (by anyone).

I have no idea how the street will react to this new business model. Personally, I'm going to wait on the sidelines for a while. However, if I hadn't sold last week I would hold now.

FWIW,
JF
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