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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: Andre Williamson who wrote (34091)	9/15/1999 11:23:00 AM
From: The Phoenix	Respond to of 45548

Andre, You don't need my thoughts.. you already have them. Nice work. ;-) I had been saying all along a PALM spin off would create value... well COMS did this spin-off in such a way that it almost creates negative value. Very disappointing and another reason why I think management here sucks.. OG

To: Andre Williamson who wrote (34091)	9/15/1999 11:59:00 AM
From: opalapril	Read Replies (2) \| Respond to of 45548

I'm not clear on your thinking about the spin-off. By having COMS retain 80% of PALM, won't COMS shareholders get the benefit of any IPO PALM "pop" because we would see an increase in the value of the company's assets? To be sure, short-term traders can't take full advantage of the spin-off by holding COMS because their shares won't be delivered for some time; however, who but they should care? The deal seems structured to favor long term investors in COMS, not short-term arbitrageurs or the legions of Benhamou-haters who, perversely, continue to pay attention to COMS.

To: Andre Williamson who wrote (34091)	9/15/1999 12:07:00 PM
From: Daniel Simon	Read Replies (3) \| Respond to of 45548

Andre, I completely disagree with your analysis. If you think the price will tumble on mass sales (on an after IPO distribution) why do you think there would be any pop from a pre IPO distribution? The same number of shares exist either way... You seem to assume that COMS shareholders will liquidate there palm holdings as soon as they get them. Why don't you give COMS shareholders a little more credit than that? After all if palm is the only growth jewel that 3com has (I don't endorse this view...) then shareholders will be likely to hold on tight. I think many posters on this board are mistaken if they think that spinning off palm does not increase 3coms competitive position. Contrary to JPM, I think coms is in a great position to grow shareholder value (even without palm). Coms will get a bunch of cash (as if they need any more) and can renew their focus on growth markets. I personally don't think much of EB but he is not the whole 3com story. Coms is a major networking company and is not about to wither up and die. It is funny how these people who were so sure coms would be bought out a month ago, now think the company is crap. There is value here and COMS will eventually unlock it. I do think we could use a better leader. Good luck and better profits, Daniel