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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: JesseK who wrote (9194)	2/17/2000 7:04:00 AM
From: Ausdauer	Respond to of 60323

Jesse, Thanks for that important post about Lexar. This is very telling... Lexar Media said it will like use the IPO proceeds for working capital, capital spending and to repay debt. It had $29.2 million in revenue and registered almost $15.3 million in net losses in 1999, the filing showed. This shows you that being a simple card assembler with no expertise in flash memory manufacturing is a losing proposition. Despite Lexar's retail presence and marketing they are losing 50½ on every dollar's worth of product they sell. Also, if SanDisk were to enforce card assembly patents it would be even more difficult for Lexar to be profitable as ASP's begin to ratchet down. look at the registration statement regarding risks... increases in costs charged by our component suppliers, particularly our flash memory suppliers; the availability of flash memory, particularly high-performance flash memory with increased memory capacity; Now it is becoming clear just how crucial the control of silicon wafer production is in the flash memory business. SanDisk is King. Long Live the King. Ausdauer

To: JesseK who wrote (9194)	2/17/2000 7:41:00 AM
From: Ausdauer	Read Replies (1) \| Respond to of 60323

Jesse and Thread, re: Lexar and "willfull infringement" Message 12678956 There is a registration statement at www.freeedgar.com if you search under Lexar in the box locator using company name. The ticker symbol search does not function. You can try this link... freeedgar.com There are risks clearly spelled out relating to their defense in the SanDisk patent infringement suit. There is almost too much text to paste here. This sentence stuck out... In the event of an adverse ruling, we also could be required to pay damages to SanDisk, which could be subject to trebling were we found to have willfully infringed* U.S. Patent No. 5,602,987.* Ausdauer