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To: Pacing The Cage who wrote (9023)	4/13/1999 4:40:00 PM
From: Ken Pomaranski	Read Replies (2) of 10072

<< I will maintain, however that they are NOT taking a loss on ALL OEM drives, and feel that they can still make a profit on the drives being sold in the $50's >> I agree on both points. As costs get cut, they will do better over time. It will be interesting to watch the ZIP250 ramp and acceptance. This may be where Iomega makes it's money. The only problem I see is that it's a zero sum game. Iomega's revenues will be split over 3 products rather than two (ZIP / Jaz). Still should help ZIP overall margins a bit. I'll be watching. kp PS: The Dell offering of the ZIP250 is an interesting development in my mind. Should be interesting to watch.

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