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Technology Stocks : The New QLogic (ANCR) -- Ignore unavailable to you. Want to Upgrade?

To: Nine_USA who wrote (27223)	6/3/2000 2:22:00 PM
From: Greg Hull	Read Replies (2) \| Respond to of 29386

Herb, Though you do not say it, some may infer the stock ratio was determined by relative share pricing at some common point in the Q/A negotiations. Ancor management has said the stock ratio was determined by relative estimated financial performance for 2001. This time frame therefore should include the ramp expected from Sun and EMC sales next year. I have no idea whether the models for performance were deemed extremely likely (very conservative) or Blue Sky (very liberal). The major complaint I've heard from others is why did they sell now just before the ramp? If the ratio was based on expected performance, selling now would not deprive Ancor shareholders of benefiting from the pending ramp. It would also explain the discrepancy you note: <<On March 2 QLGC was 140 3/4. It was to touch 203 3 days later. On March 2 ANCR was 54 3/4. On March 2 the .5275 QLGC share per ANCR share was worth 74 1/4.>> Greg