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Technology Stocks : Compaq
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To: Loki who wrote (45570)1/27/1999 10:28:00 AM
From: Night Writer  Read Replies (1) of 97611
 
Loki,
Not too shabby on the earnings. Hope you have a pile of shares.

I think El is on the golf course, which should bode well for Compaq today. Jimbo is no where to be seen.

When I first heard the AV story, it appeared to be a total spin off from Compaq. In that case, the stock holders should be issued the shares rather then a public IPO. CPQ is not a cash poor organization raising funds to save the company. If that was the case, a public IPO would be in the best interest of stock holders.

Now it appears AV is a partial IPO to raise capital for AV and retain major ownership for Compaq share holders. That is different. I see the strategy more clearly now. Compaq is financing AV with stock rather then Compaq money. The people who buy the AV stock should do well. Compaq share holders will share the fortunes. Bottom line, it is a smart move.

Loki, I would have voted with my feet. <g>
NW
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