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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: pat mudge who wrote (13425)	9/24/1999 7:22:00 AM
From: Glenn McDougall	Respond to of 18016

Newbridge wireless unit 'kicking butt' Kanata company gives shareholders plenty of good news James Bagnall The Ottawa Citizen Newbridge Networks Corp.'s newest line of business -- broadband access technology -- took centre stage yesterday at the firm's annual shareholders' meeting. The one-year old business unit unveiled a major distribution agreement with Tokyo-based Toshiba Corp. -- worth an estimated $70 million U.S. annually over the next five years. Equally important, Newbridge said yesterday that it has reached a deal with California-based chip-making giant Intel Corp. to co-develop next-generation chips that will be used in Newbridge's future broadband wireless products. "We are absolutely kicking butt in this area," said Newbridge chairman Terence Matthews. Emphasizing the point, company president Alan Lutz said he expected to see some important broadband wireless contracts emerging from Bell South International, whose Argentinian affiliate yesterday placed a $50-million order for Newbridge equipment, including wireless technology. Newbridge's broadband access group last year set a target for itself of reaching $1 billion-a-year in sales by fiscal 2002 (ending April 30). Newbridge took a key step toward this goal in June when it announced a deal to acquire Stanford Telecommunications Inc. of California, a developer of high-speed wireless technologies. Since Newbridge was interested only in acquiring a part of Stanford's intellectual property and engineering pool, it structured a deal in which it would divest non-core divisions. "We were really reaching through a very large firm to get at 80 engineers," said Conrad Lewis, the Newbridge executive in charge of the broadband access unit. Just prior to yesterday's shareholders' meeting, Newbridge revealed it has arranged to sell Stanford's telecom products unit to Intel and the defense communications business was sold to ITT Industries of White Plains, New York. The Stanford deal is expected to close in November. Newbridge's switching unit -- by far the company's biggest -- also had a good day. France Telecom announced it will build a national, high-speed communications network using Newbridge technology. The three-year contract involves the installation of "many hundreds" of Newbridge switches -- which places the value of the deal somewhere above $80 million a year. Newbridge shares responded well to the news. In mid-afternoon trading, they were up nearly eight per cent over the Tuesday close (when rumours of the deals began circulating) until tech stocks generally collapsed. Newbridge closed yesterday at $38.50 on the TSE, down 60 cents on the day.

To: pat mudge who wrote (13425)	9/24/1999 12:13:00 PM
From: Ian@SI	Read Replies (1) \| Respond to of 18016

* We're pursuing MCI [NN also being pursued. . . .] An interesting line. If not already discussed in one of the following posts, a little more colour would be appreciated. Should we expect an imminent announcement of a sale to MCI? Should we expect that NN may well receive an offer they can't refuse? Intrigued, Ian.

To: pat mudge who wrote (13425)	9/26/1999 2:49:00 PM
From: Tunica Albuginea	Read Replies (1) \| Respond to of 18016

thanks Pat for your report on the AGM; well written as usual. At present I am 100% in cash not because there are no great companies out there to invest for the long term, but essentially because I am a trader and I think we are entering a treacherous tract of land: Halloweeen, "The October Boogie Man ". GG. There are also a number of events forming in the sky right now almost similar the the Ides of March and perhaps I, ( unlike Caesar ), will listen to the soothsayer, <vbg>, TA @monitoringNNdevelopments closely.com