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Technology Stocks : Cabletron Systems (CS: NYSE) -- Ignore unavailable to you. Want to Upgrade?

To: Tim Luke who wrote (6828)	9/9/1999 6:56:00 PM
From: kathyh	Respond to of 8358

Cabletron to Form Separate Unit for Network Software Business Cabletron to Form Separate Unit for Network Software Business Rochester, New Hampshire, Sept. 9 (Bloomberg) -- Cabletron Systems Inc., the No. 5 maker of computer-networking equipment, said it's forming a separate unit for its network-software business with an eye to a possible spinoff or partial sale. The Spectrum software helps manage networks and is among Cabletron's fastest-growing businesses. Spectrum was planning to unveil a new name and discuss its direction Tuesday at a trade show in Atlanta, though it shelved those plans when it discovered that its proposed name, Netuitive Communications, was already trademarked. It hopes to have a new name by year-end. Cabletron co-founder Craig Benson said in May while he was chief executive that the Rochester, New Hampshire-based company might spin off or sell parts of some businesses in a bid to increase the value of the company. Its shares have fallen about 61 percent from a high of 46 in 1997 as rivals such as Cisco Systems Inc. beat it to market with key products. Cabletron hopes setting up Spectrum as an independent unit will boost sales of the software to rivals such as Cisco and Lucent Technologies Inc., said Darren Orzechowski, Spectrum's vice president of marketing. Spectrum is compatible with equipment from a variety of companies. Options include selling a minority stake in Spectrum, Orzechowski said. Spectrum contributes about 4 percent of Cabletron's $1.41 billion in annual sales, Orzechowski said. He declined to give exact figures. Shares of Cabletron rose 1/8 to 18. They've jumped about 49 percent in the last month.