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Technology Stocks : LUMM - Lumenon Innovative Lightwave Technology Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Lhn5 who wrote (849)	9/14/1999 11:55:00 PM
From: Don Johnstone	Respond to of 2484

I think all he is saying is that at the moment LUMM can get 1% of the market for DWDMs. The market for DWDMs is growing so LUMM's 1% is on a growing number year after year and thus requires increases in production accordingly. This is a stimulating situation. If on the other hand he means that LUMM now and forever will be able to produce 1% of today's demand for DWDMs with no increase in production year after year, I don't think that that is a stimulating situation and rule it out of consideration! I understood that LUMM was going to be able to supply 3%-5% of the demand for DWDMs from the pilot plant. Where this 1% figure comes from is a mystery! And with LUMM increasing production 30 fold with funds from this recent financing, that 3%-5% grows considerably. Since the increase in production has been contemplated, perhaps LUMM has recalculated the demand and figures it can supply 30% of it with 500 chips/day. Since the increase in production is 30 fold, looking backwards makes LUMM's original production 1/30 of 30% or 1%. Maybe that is where the 1% figure was generated! But it certainly contradicts the 3%-5% estimate. Cheers, Don