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Technology Stocks : CABLE DESIGN TECHNOLOGIES (CDT) -- Ignore unavailable to you. Want to Upgrade?

To: gary who wrote (54)	10/27/1999 2:45:00 PM
From: Ann Corrigan	Respond to of 107

I agree, gary. If you check bloomberg.com today, you'll find an announcement by CDT that GTC Fund II, a private equity fund that has held shares of the co. since l985, has distributed to its partners approximately 2.lM shares of the stock. The GTC Fund chairman stated that CDT has been one of their best investments, but the fund, which was originally formed in 1984, is significantly past its expected termination date and CDT was the last undistributed investment. Paul Olson, CDT CEO commented that "the distribution of the shares removes a large single overhang on the stock that they believe should be very beneficial to CDT's liquidity and long-term stock price." In addition, he added that "the co.'s products will allow it to realize significant long-term growth as the market demand for higher speed and higher bandwidth network products increases and the Internet expands." Evidently, this explains the price pullback after earnings. Ann

To: gary who wrote (54)	10/27/1999 10:00:00 PM
From: Paul Senior	Read Replies (1) \| Respond to of 107

I'm not very knowledgeable, but I do have a comment. I don't think CDT is so undervalued. Yes, ROE is okay-good, but the company is selling at twice book value. Maybe it looks good compared to a sector called "communications", but within that sector there are some companies which are apparently peers of CDT that seem at my first glance, to have better numbers than CDT. My opinion is that rather than just buy CDT, an investor might want to consider a package of these companies. While the cabling market is not generic - there are industrial, home, optics - all kinds of cabling specialities - my belief is that the business is very competitive and all companies are looking to enter the markets with the most demand and most lucrative profit potential. There doesn't seem to be a barrier to entry either. That said, and in spite of my negativity -g-, I am long CDT and BGC. Here's an article you all might not have seen that is positive on the telecom-cable manufacturers including CDT: cbs.marketwatch.com Paul Senior