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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Craig Freeman who wrote (6563)	7/28/1999 5:20:00 PM
From: Sam	Respond to of 60323

Do I hear 90?<vbg><eom>

To: Craig Freeman who wrote (6563)	7/29/1999 9:54:00 AM
From: Art Bechhoefer	Read Replies (1) \| Respond to of 60323

Even in wonderland, what goes up can also come down. There are a lot of destabilizing forces at work on overall investor perceptions, including for the first time the realization that the domestic economy might finally be slowing down.

To: Craig Freeman who wrote (6563)	8/3/1999 1:58:00 PM
From: NHP	Read Replies (2) \| Respond to of 60323

Craig and thread, Tax Considerations regarding the price appreciation of SNDK! Here is the arithmetic reason I am not selling any of my shares of Sandisk, which I acquired roughly at 8. Let's take the best of all possible worlds and assume that I had sold SNDK at 80, which obviously is not possible at this time! The gain of 72 (80-8) would either be taxed at 18% (Fed 10% + State 8%) or 28% (Fed 20% + 8%). At 18% my tax would be $13 per share. At 28% my tax would be $20 per share. In other words the share price could drop from 80 to 67 at the 18% tax rate or from 80 to 60 at the 28% tax rate for taxes vs the price drop to be a wash. This is true even if I sold at 80 and bought back in at the lower prices. The things that would change would be the basis price and the acquisition date. Knowing my investment behavior, it is unlikely I would get back in after selling. Since my belief is that SNDK will rise above 80 eventually, I'm just going to sweat out the current drop in share price! In any case I'll pay the taxes sometime in the future. Comments welcome! NHP 69 1/2 bid price