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Technology Stocks : Dell Technologies Inc. -- Ignore unavailable to you. Want to Upgrade?

To: OLDTRADER who wrote (159476)	8/11/2000 8:21:14 AM
From: Jean M. Gauthier	Respond to of 176387

Exactly I think he has treated shareholders pretty shabbily these last 2 years... All your points are pretty good. Until dell hit $ 60, there should be no more option grants, and cut expenses until the shareholders have seen some stock appreciation from their investment, since jan 1999 JMnotsoH opinion Jean

To: OLDTRADER who wrote (159476)	8/11/2000 10:45:00 AM
From: Mike Van Winkle	Respond to of 176387

OLDTRADER re: MSD-I'm a positive guy but MSD has spoken of this year being DELL's best year and using terms like robust while they sell stock at prices 20/25% higher and continue to issue free/option stock to themselves- I think there were more than a few material surprises for Dell. First, Dell (nor anybody else) did not have a clue of the upcoming Y2K hangover. Second, Europe has had a failed management fix (perhaps worse than what it replaced) to a previous weak management. The new management I have heard is a true fix and has a plan that is on track. From the conference call, the results should show in 4Q. Additionally, Europe had a worse performing Y2K hangover, but is showing signs of daylight. Germany, which I had expected to be last to yield to the new Europe management strategy is perhaps first (UK not really an issue). Third, Dell is not a CSCO at acquisitions and Convergenet proved it. On the other hand as Vanderslice commented at a preconference interview, Dell is relentless and +six months late out of the deal products are in beta and will be coming out. Finally, I think Dell did not have a handle on the difficulty of getting on board "Dell model certified top management" for organically growing at +40% at their current size. Europe was proof to them. As a result of this realization, Dell made a fundamental but realistic shift to 30% growth as a corporate target. I suppose this is why Vanderslice must have made Rollins really nervous, but he is geographically close enough and a believer in the Dell way to add synergism unlike Europe. In regards to options policy, I am afraid in the current high tech frenzy for talent, and with the European debacle in mind, that Dell is currently doing what is best for us right now. MSD, on the other hand, might have given us a symbolic reduction while the European fix took shape. On the other hand part of Europe's poor performance is the Y2K hangover. As to where MSD was for this report, I actually felt there was no surprise once the IDC numbers were out. I also think we should remind ourselves that Dell has a three in a box management structure and Rollins is in that box. Incredibly, but due to the Dell business model that has enough adjustments and "net speed information flow," Dell is on track for the guidance it has given. One more thing, I try not to read too much into special words as words without numbers can mean different things to the speaker and the listener. This is my view on what is going on. Best, Mike PS Dell is not like CPQ as traditional management can be added at CPQ, and there is a far greater supply to add from.