To: quidditch who wrote (4235 ) 2/11/2000 9:26:00 AM From: HW Bowman Read Replies (2) | Respond to
My 2 cents in response to a wonderful, intelligent, informed and insightful analysis, point by point. 1) I would be surprised if earnings and revenue growth were not surprisingly good. It is not unreasonable that there may have been additional presales in addition to the announced early December $100 MM sale to a Japanese telco whose name escapes me. This is the marketing team that won multiple awards last year, if you recall. Given the acute financial acumen and background of these guys, they will have planned and executed accordingly. When they chose 2/11, I can't say, but they didn't know on 1/12 but did know last week per my inquiries. 2/11 I can see, but why AM and not PM I don't understand. Perhaps they have waited so long (the 1st quarter is more than half over) to be alone in the earnings spotlight. As to option expirations, I don't see how that effects things in terms of being 'lost in the news'; it may be a big deal on the floor, but elsewhere in the news it merits perhaps 5 minutes of one sentence comment. Additionally, with reference to your point #2 that earnings may not metter so much here per se, this is a fourth quarter report, so the report will rightfully review an entire year of absolutely incredible proghress, an avalanche of news, and good news it surely is. These guys have one hell of a story to tell, which is particularly important given the obliviousness of the investing public. Broadband the word is being baNDIED ABOUT, BUT THE IMPLICATIONS AND STAGGERING SIGNIFICANCE ARE JUST BEGINNING TO DAWN ON THE PUBLIC AWARENESS. (excuse caps, I am one fingerat a time.) With respect to your point #3, Hutchison Whampoa was discussed as a quasi red-chip at the time of the HK takeover. These guys have connections to the Red Chinese military and other govt agencies that control Chinese telecom and its development. You want a HK guy for this job, no doubt about it. Your point #4 is an absolutely brilliant observation (ie, 'broadband incubator'), and your analysis of how this might come about is perfectly accurate. Re your point #7: it may be complicated, but this has been the plan all along and these guys can certainly handle it. This is one of the best managewment teams ever assembled as clearly demonstrated by accomplishments to date. The potential implicit here staggers the mind.
