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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: SyncMan who wrote (35376)	5/10/2000 9:21:00 PM
From: lawdog	Respond to of 77400

<<9. What percentage of CSCO vendor financing has been to dot-boms that have going concern issues I believe this questions was answer with the statement that only 5% of sales involved vendor financing. As this is still a very very low number, I think the financial community feels this point is not relevant to Cisco at the current time.>> The A/R % vendor financing could be much higher. This number could be 20% or more. That would be bad because if dot.bombs ran out of cash and couldn't pay CSCO those sales would have to be written off through bad debt expensing. You could realistically have hundreds of millions of dollars in write offs. This would also seriously affect the expected future growth rate calculated by analysts. It is the kind a catostrophy that can destroy a stock (see MSTR or BMY). This is the kind of question that the bulls should be answering. Why they don't seem to care I guess is because they figure that someone else would have caught it by now. It may not be anything but it could turn into a huge problem. The potential for damage is high enough to warrant some answers.