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Technology Stocks : Spectrum Signal Processing (SSPI)
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To: Danny Hayden who wrote (2521)5/18/1999 4:53:00 PM
From: Edwin S. Fujinaka  Read Replies (1) of 4400
 
Although getting TCP money from the Government sounds like a plus for Spectrum, Government money usually comes with strings so that it is not obvious that getting a "loan" amounting to around 1/4th of a years sales is going to help. On the other hand, could this be a sign that Spectrum is in financial trouble? Just asking, not trying to put a negative spin on it. It appears that the Company views it as a big plus. Hopefully it is not just a rescue effort.

After reviewing some aspects of Spectrum's business it seems to me that a mid to late 1999 contribution to earnings could come from Kodak. Kodak did shift gears in early 1999 when they cancelled their plans to market a photographic minilab and joined their venture to Noritsu instead. I suppose this would cause at least a small delay in deploying the Detroit Board from Spectrum. Hopefully Spectrum is still on board as a supplier for the Noritsu Product. My guess is that this will only be a modest success for Spectrum since I think digital cameras will be the major way to create digital images. Creating digital files from 35 mm film does not seem to be an important market to me. Besides, low cost scaners will permit people to create digital images from conventional prints.
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