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Technology Stocks : S3 (A LONGER TERM PERSPECTIVE) -- Ignore unavailable to you. Want to Upgrade?

To: Herc who wrote (13933)	1/6/2000 9:27:00 AM
From: SBHX	Respond to of 14577

Yes, $800M is a hefty amount, but I doubt if all people who follow SIII are holding on because of their core business potential. The earliest the shares can be sold is July 2000, and the sale can only be completed after july 2004. This is good. Can you imagine what would happen to UMC if 252M shares show up in the ASK column? Actually, there's something strange about that accounting entry in light of US GAAR, but my memory of US compliance rules is a bit rusty... Speaking for myself only, I do keep track of siii and umc valuation. Ex-UMC, remaining siii holdings as a going concern is a -ve, the only way they become pluses is if the burn-rate stops or if the divisions are sold. The graphics and (now) modem boards' red-ink, if allowed to continue unchecked will easily bleed the $800M dry by 2004. We're talking $50M losses each quarter to reduce 800M to 0. $50M losses from core operations, based on siii (especially with dimd) history is not outlandish. On the plus side, siii made more on umc than all it's earnings combined for its graphics division in its entire history. What does this say? Go with your strengths. Make a few more USC/UMC like investments. CMGI did have quite a ride, so if the cash is to be used to incubate startups, a couple more successes who knows... quote.yahoo.com Just my humble opinion. BTW, it's not 76M shares anymore, the via stake makes that 76M+10.8M= 86M+. Regards.