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To: gc who wrote (66632)	2/13/2000 1:04:00 PM
From: Uncle Frank	Read Replies (1) \| Respond to of 152472

>> Then they should build up extra capacity in Asia before slashing its workforce in San Diego. Why do you assume they haven't? One thing we know from the data we've received on cdma subs, it continues to grow at the fastest rate of any wireless method. That's why Kyocera bought the HS division for a rumored $1.2B. That's a lot of yen, and you can be sure they will protect their investment. The Japanese are pretty sharp at consumer products. uf

To: gc who wrote (66632)	2/13/2000 2:23:00 PM
From: MileHigh	Respond to of 152472

You ever thought that KYO already had the capacity? Or that it has the ability to absorb the capacity w/o hiring more workers? That's the beauty of most mergers/buy outs, max your plants out that were marginally under utilized while not needing to hire more people, i.e., spread your fixed costs over a larger revnue base w/o adding to many variable costs (labor) Good bye, MileHigh PS- Or it could have been that KYO is just more efficient at what they do, Q admitted that they were not the low cost producer.