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

To: larry pollock who wrote (17047)	2/15/2000 2:00:00 PM
From: Frodo	Read Replies (1) \| Respond to of 18016

Larry, I guess I'm one of those investors.... Some investors appeared to conclude the alliance may reduce the number of companies interested in buying Newbridge, which announced on Nov. 18 that it is entertaining takeover offers. "Every time a potential bidder joins or leaves the party, the stock moves up or down like a yo-yo," said one analyst, who asked not to be named.

To: larry pollock who wrote (17047)	2/16/2000 1:38:00 AM
From: Tunica Albuginea	Read Replies (3) \| Respond to of 18016

ÿÿÿ LARRY POLLOCK , I am so glad you quoted Jill Vardy's column of today because that gives me an opportunity to read it to you, ( sort of a bedtime story ). ÿ Analysts say the deal will have little impact ÿÿÿÿ on Newbridge, which competes with both ÿÿÿÿ Nortel and Tellabs, but not in the optical ÿÿÿÿ networking side of the telecommunications ÿÿÿÿ business. End of story, goodnight, <vbg> TA PS: In regards to the other bedtime story, Jill Vardy's conclusion based on.....what facts? .......that NN's fall yesterday was due to the TLAB/NT deal ( rather than to simply the Naz tanking, merrily along , with NT,TLAB and CSCO ), is a story I will read to you tomorrow night. ( Just in caseÿ you are one of the " nervous investors " Jill was alluding to in her post).I am certain it will immediately lull you back to sleep.ÿ ---------- To: Frodo who wrote (17034) ÿÿÿÿ From: LARRY POLLOCK ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Tuesday, Feb 15, 2000ÿ 1:54 PM ET ÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿÿ Respond to Post # 17047 of 17067ÿ ÿÿÿÿ From today's Financial Post: ÿÿÿÿ For Tuesday, February 15, 2000 ÿÿÿÿ Newbridge squeezed by ÿÿÿÿ Nortel-Tellabs dealÿ ÿÿÿÿ Investors grow nervousÿ ÿÿÿÿ By JILL VARDYÿ ÿÿÿÿ The Financial Post ÿÿÿÿ OTTAWA - As market rumours continued ÿÿÿÿ yesterday that Newbridge Networks Corp. is ÿÿÿÿ pushing to sign a takeover deal by next week ÿÿÿÿ the company stayed silent.ÿ ÿÿÿÿ Newbridge will announce its third-quarter ÿÿÿÿ results on Feb. 22 and analysts believe it wants ÿÿÿÿ a deal in place by then.ÿ ÿÿÿÿ News yesterday that Nortel Networks Corp. ÿÿÿÿ and Tellabs Inc. have signed a cross-licensing ÿÿÿÿ agreement initially sent Newbridge stock down ÿÿÿÿ -- it was off 8% at one point -- but it ÿÿÿÿ rebounded later in the day to close up 10c at ÿÿÿÿ $48.75.ÿ ÿÿÿÿ Analysts say investors are growing fearful ÿÿÿÿ Newbridge may be having difficulty ÿÿÿÿ concluding a deal that would see French ÿÿÿÿ telecom company Alcatel SA, or some other ÿÿÿÿ big networking company, buy it. Rumours flew ÿÿÿÿ last week that a purchase agreement with ÿÿÿÿ Alcatel would be announced by last Friday.ÿ ÿÿÿÿ "According to some people, it was supposed ÿÿÿÿ to happen Friday, and it didn't. And it doesn't ÿÿÿÿ seem imminent today. So people are saying, ÿÿÿÿ Let's take a bit of money off the table," said ÿÿÿÿ Duncan Stewart, technology analyst and partner ÿÿÿÿ at Tera Capital Corp. "Every day that goes by, ÿÿÿÿ people become more worried that it's not going ÿÿÿÿ to happen."ÿ ÿÿÿÿ The licensing agreement between Nortel and ÿÿÿÿ Tellabs allows each company to access the ÿÿÿÿ other's optical networking patent portfolios. ÿÿÿÿ Nortel will get royalty payments as a result of ÿÿÿÿ the deal, but no other details were provided.ÿ ÿÿÿÿ Analysts say the deal will have little impact ÿÿÿÿ on Newbridge, which competes with both ÿÿÿÿ Nortel and Tellabs, but not in the optical ÿÿÿÿ networking side of the telecommunications ÿÿÿÿ business. ÿÿÿÿ Some investors appeared to conclude the ÿÿÿÿ alliance may reduce the number of companies ÿÿÿÿ interested in buying Newbridge, which ÿÿÿÿ announced on Nov. 18 that it is entertaining ÿÿÿÿ takeover offers.ÿ ÿÿÿÿ "Every time a potential bidder joins or leaves ÿÿÿÿ the party, the stock moves up or down like a ÿÿÿÿ yo-yo," said one analyst, who asked not to be ÿÿÿÿ named.ÿ ÿÿÿÿ Nortel said it will spend $260-million (US) ÿÿÿÿ and hire 3,400 people to boost its production ÿÿÿÿ of fibre-optic equipment.ÿ ÿÿÿÿ Nortel predicts its fibre-optic business will ÿÿÿÿ jump by 30% in 2001. To help meet the ÿÿÿÿ demand, the company will spend about ÿÿÿÿ $64-million (US) on two facilities in England, ÿÿÿÿ $102-million (US) in Ottawa (creating 1,000 ÿÿÿÿ jobs in that city alone) and another $84-million ÿÿÿÿ (US) in Montreal (with another 1,000 jobs ÿÿÿÿ created).ÿ ÿÿÿÿ Meanwhile, the agreement between Nortel ÿÿÿÿ and Tellabs will strengthen the long-term ÿÿÿÿ competitive position of both companies, the ÿÿÿÿ firms said yesterday. Typically, these ÿÿÿÿ agreements generate some cash for the patent ÿÿÿÿ holders -- Nortel in this case -- and prevent ÿÿÿÿ legal battles from arising as firms bring out ÿÿÿÿ similar technologies.