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To: H James Morris who wrote (105062)	6/17/2000 12:14:00 PM
From: re3	Read Replies (1) \| Respond to of 164684

then lots of food was brought in to them - milk and pancakes with sugar, apples and nuts. afterwards two beautiful little beds were made up with white sheets, and Hansel and Gretel climbed in and thought they were in Heaven

To: H James Morris who wrote (105062)	6/18/2000 11:40:00 AM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

At the same time, who wasn't at least a touch jealous of dot-com investors who were doubling or tripling their money overnight, as they thumbed their noses at classic notions of fair stock valuations? Now, the bubble substantially deflated, everybody is in reappraisal mode. How could it have happened? What were people thinking? EToys at $86 a share, when it was losing $48 million a quarter? Even at $5.40 a share now, some people think that's too much for a company for which profitability is still only a theory. More than a few veteran Wall Streeters have even gone so far as to question whether the money raised by Internet-related companies during the last few years may represent the greatest misallocation of capital in history. By that view, investors were massively funding solutions to problems that didn't exist. Certainly, there has been some of that. There is plenty you can do on the World Wide Web today that you probably wouldn't miss much if you couldn't. Last week in the San Francisco Bay Area, as stretched utilities implemented rolling blackouts to deal with demand for power they couldn't meet amid the record heat wave, some technology executives might well have wondered about capital misallocation. Perhaps some of that $150 billion raised by Net-related companies since 1995 should have gone to finance new power plants instead? Still, that money did not go down a rat hole, and probably little of it ended up in Swiss bank accounts, unlike so many of the dollars "invested" in Russia in recent years. An obvious point worth making is that a huge number of businesses consider themselves primarily Internet-related companies today. That $150 billion didn't just fund ventures such as EToys and Priceline.com. latimes.com