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Technology Stocks : AUTOHOME, Inc -- Ignore unavailable to you. Want to Upgrade?

To: ahhaha who wrote (23649)	7/19/2000 10:19:31 AM
From: G_Barr	Read Replies (1) \| Respond to of 29970

Which "content" assets? The only currency they have is the paper they've minted that shareholders must deduct from future expected revenues. ATHM purchased an interest in the new ExciteChello joint venture by, in part, contributing real, revenue producing Excite portal businesses, not any paper currency. You must have been studying my course on ATHM. It's classic Ahhaha. No. You must have arrived at those conclusions independently which proves their validity. Maybe neither of us is very good at reading the tea leaves. It did seem that Bell's tone on content yesterday was markedly different the signals the company has put out the last several months and on the last earmnings CC. Then again, even if ATHM is marginalizing its content business, I don't think Bell would say so when he's selling a bunch of the Excite portal businesses to Chello. I'll am curious to see what Bell tone takes on this earnings CC. You forget that release from such a condition would be a term of sale. Also, in the international arena the jurisdiction of any state is limited and so you never know how it might appear to be desirable to unload a major property, perhaps due to onerous tax laws.Again, what if Europe had a low yield and China was suddenly opening big time to ATHM, but ATHM needed the cash to go China. Tell me how willing the company would be to retain Chello. After all China would open all the Asias. How's that for adequate consideration? The release of a noncompete would only be a term of sale if ATHM agreed to it. The usual case would be to strengthen a noncompete in a sale, not to release it. You come up with hypotheitcal situations where ATHM might want to unload its interest in Chello but there is no reason they couldn't do such a sale and retain the noncompete unless the additional consideration for such release made it the better business decision to release. I presume this would mean a better deal for the shareholders. If we can't trust management to only give up valuable rights of the company when a better deal for the shareholders arrives, we are really in trouble.