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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Ram Seetharaman who wrote (106596)	7/27/2000 2:27:32 PM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

They have $ 908 million in cash. So by crude calculations they will have about $ 258 million in hand, when they go to the final quarter of 2001, when I expect them to be profitable and stay profitable. Ram, You thoughts are well taken. I do become very fuzzy in putt in place a spreadsheet showing profitability in 2001 or at any point in time. The two largest problems I see are: 1. Fulfillment centers are leased, expensive and the cost of fulfillment is going to continue to be far too high to allow profitability. 2. Growth may only be acheived via large marketing costs. Otherwise, there will be no growth if not shrinkage.

To: Ram Seetharaman who wrote (106596)	7/27/2000 3:55:23 PM
From: F. Lynn	Respond to of 164684

Ram, You might consider that Amazon's cash flow from operations loss has been greater than the net income loss in the most recent quarter, and an additional $300 million went out in the cash flow from investing line in the march quarter. Using the cash burn rate(cash from operations + cash from investing) is a much better way to measure the sustainability, and it shows amazon running out of cash much sooner.