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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Charles Tutt who wrote (18600)	8/11/1999 5:25:00 PM
From: Prognosticator	Read Replies (1) \| Respond to of 64865

I believe we discussed this issue in this very forum about a year or so ago. I may even have been the person who brought it up. I thought I remembered some discussion on this subject, but wasn't sure where. What shocked me was the size of the debt accrued by Microsoft, to the tune of converting a $4.5B profit into an $18B loss if fully accounted for. The only thing that has saved them so far is the exponential growth of their stock price, and probably the fact that many employees have not exercised their options yet. Once the stock price starts to level, and option exercising picks up, Microsoft will have to start eating their cash to service the options, and their profits will really suffer. P.