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Non-Tech : Ingram Micro -- Ignore unavailable to you. Want to Upgrade?

To: Reseller who wrote (510)	2/17/2000 12:08:00 PM
From: E_K_S	Read Replies (1) \| Respond to of 576

Reseller: I am sure the company can find enough one time restructuring charges as they reinvent themselves to an E-Commerce B2B business. It would be my guess that IM will announce some large one time loss from a company restructure to offset any significant long term capital gains they might receive from the sale of their windfall investment. This is actually a good thing as it allows new management to be liberal in shutting down inefficient divisions and making new capital investments (with large initial depreciation expenses) to get into new businesses. New capital investments such as computer servers, integrated network systems, software purchases can be capitalized over 3-5 years and can be shown as an expense (through accelerated depreciation tables) during this period. These new allocations of resources can now be (1) financed through the sale of shares of the SoftBank stock and (2) provide management a much greater amount of flexibility for growing the business and managing consistent earnings going forward. This assumes that new management plans to peel off some of those highly valued SoftBank shares and have a new business model allowing them to be a significant competitor in the B2B business. There is lot's of opportunity with only theirs to loose. EKS