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To: long-gone who wrote (50291)	3/12/2000 9:13:00 PM
From: Rarebird	Read Replies (1) \| Respond to of 116753

GDP fell in Japan 1.4% last quarter. Now their officially back in recession as if they ever left!...The smartest thing the Fed did was not keep short rates down like the Japanese did for years and hence will be in a position to lower rates aggressively with stocks down, rather than before they drop. Basically, the Japanese shot their load to early; the U.S. did not succumb to nearsightedness of that type, and that is one of the reasons why the dollar has been rising. There will not be a crash in the US stock market over the next month or two. This is just a cyclical bear market decline that is one of the longer ones in modern history for the market internals, and a bump in the road for serious techs. I see one last leg down. Dow 9314 should hold. When the NDX corrects and 3700 holds, the Bear is over here, I think.

To: long-gone who wrote (50291)	3/13/2000 12:54:00 AM
From: Ahda	Respond to of 116753

Softbank broadside finds Hikari target KAI PETER YU -------------------------------------------------------------------------------- Softbank vice-president Yoshitaka Kitao is as well known for being bold as he is for being bright. Voted one of the 10 smartest men on Wall Street by Worth magazine last year, Mr Kitao, Softbank president Masayoshi Son's closest lieutenant, is widely regarded as the chief architect and implementer of the company's strategy. The scathing statements he made in Hong Kong on Friday about Hikari Tsushin president Yasumitsu Shigeta and tycoon Richard Li Tzar-kai - first in a press conference and which he later clarified to Business Post - could signal a new twist in the race for supremacy between the three biggest global Internet investment companies operating in Asia. Mr Kitao's attack on Mr Shigeta, also a Softbank board member, may not have surprised those who knew of the long-standing animosity between the two. And behind the emotional outburst, the statements made commercial sense. Hikari Tsushin's stock has tumbled more than 47 per cent during the past week due to a host of negative news. Softbank is down by more than 28 per cent. The latest was a report in Bungei Shiju magazine saying Mr Shigeta had been arrested for alleged insider trading. Hikari has denied the allegations, and last night released a joint-statement with its SAR-listed arm Golden Power International Holdings, at the request of the Stock Exchange of Hong Kong, denying reports that "there was any legal action pending or threatened against that senior officer", referring to Mr Shigeta. During the past months, Softbank's stock has moved in tandem with Hikari's, given the similar nature of their businesses and corporate ties. With all the negative news surrounding Hikari, Softbank might want to distance itself from them, and the Hong Kong media briefing on Friday offered the first public opportunity to do this. But what came as a shock to even Mr Kitao's Hong Kong-based financial advisers was his emotionally-flared condemnation of Pacific Century CyberWorks' head Richard Li's business style. Mr Kitao said Softbank was in Asia to do "real business" and would not co-operate with CyberWorks or Mr Li, who he accused of merely wanting to make money. The statements could have sweeping implications for the battle for dominance of the Asian Internet sphere. Not long after leaving the press conference, Softbank's management and their financial advisers realised there could be much more at stake than just a public relations disaster. In the markets, Hikari's downward spiral was gaining momentum and the rest of Asia's Internet counters were falling. Hikari plunged 24.8 per cent and Softbank 12.98 per cent on Friday. Golden Power (now Hikari Tsushin International) fell 12.6 per cent to $10.65, and Cheung Wah Development (now Softbank International Investment Strategic), shed 9.7 per cent by the end of the day. Pacific Century CyberWorks lost 80 cents to $22.15, and Hongkong.com, a strategic partner in Softbank's Net-trans venture, lost 23.8 per centto close at $5.45. Mr Kitao's remarks on CyberWorks, raising additional uncertainties, would not add much cheer to an already bearish market for Asian Internet stocks. These uncertainties would have signalled to investors that it was a good time to take profits in what some say are over-inflated Asian Internet stocks. Softbank's financial advisers convinced Mr Kitao his comments needed clarifying. After the press conference, Mr Kitao toned down his remarks. He told Business Post that if Mr Li was interested in "concrete business", then he would not rule out co-operation. Later Softbank president Mr Son threw his weight behind Mr Li and Mr Shigeta. "I told Richard that [Mr Kitao's criticisms] were not my opinion or Softbank's opinion," he said. "They're both my good personal friends and I have a lot of respect for them." He said the Internet was at an "early stage" of development, and "helping each other is better than otherwise". CyberWorks has said Mr Son had apologised to Mr Li. There was never any question that Sotfbank, Hikari and CyberWorks would be competing for the best investments. But Mr Kitao's statements after the press conference have hinted at a possible change in the relationships between them. This could represent a dramatic new twist in the race for supremacy in Asia's Internet sphere. If the reports of Hikari's alleged involvement in insider trading are true, then analysts say it would make sense for Softbank to sever corporate ties with Hikari. That would include ending co-investment in firms or projects. Whether CyberWorks would do the same is less certain. The ties between Hikari and CyberWorks appear to be stronger, given that last month Mr Li took a 1.65 per cent stake in Hikari and Mr Shigeta in turn took a 3.5 per cent stake in CyberWorks. But perhaps the bigger question is the relationship between Softbank and CyberWorks. Mr Kitao said: "We do have some kind of relationship with CyberWorks, and Richard Li invited me to dinner and that's fine.