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

To: D. Swiss who wrote (159846)	8/18/2000 7:49:19 PM
From: mepci	Read Replies (1) \| Respond to of 176387

Drew: No thanks.

To: D. Swiss who wrote (159846)	8/18/2000 8:17:25 PM
From: TechMkt	Respond to of 176387

I believe this is only a problem for CPQ. Fez ___________________________________ Friday August 18, 7:49 pm Eastern Time Compaq chief says PC parts shortage worst ever HOUSTON, Aug 18 (Reuters) - The computer industry is blessed with strong demand but plagued by its worst component shortage ever, Compaq Computer Corp. (NYSE:CPQ - news) chief executive Michael Capellas said on Friday. He said parts to make computers were in tight supply and constituted a ``very real issue'' in the months ahead. ``I don't think there's any question there's a component shortage like we've never seen in the industry. We are absolutely facing it like everybody else,'' Capellas told Reuters in an interview at the Houston headquarters of Compaq, the world's number one personal computer maker. ``We're working our relationships with our suppliers, we're tightening up our supply bases. We did rebuy some inventory, raw material, at the end of the second quarter so it's something we're all having to manage right now,'' he said. The industry has been complaining for several months about shortages of everything from memory to chips and has said that the supply issue could constrain growth for a while. Despite the difficult supply environment, Capellas stood by Compaq's previous affirmation of analyst estimates that the firm would earn around $1.08 a share in 2000. ``We have blessed the numbers for the year,'' he said. But, he added, "There's no question that demand's extremely strong, but it's a very real issue about what supply's going to be. ``If it was just a question of 'can you drive higher demand,' there's no question. But, no, we always have to balance that with the supply position and that's a real issue,'' he said. Capellas has been Compaq chief executive since July 1999. He replaced Eckhard Pfeiffer, who left the company after earnings fell two years in a row due to a glut of computers. Capellas spoke to Reuters after a press conference to announce that Compaq had agreed to sponsor the annual Houston Marathon for the next three years. To the cheers of Compaq employees, Capellas, 45, said he would run in the next race, scheduled for Jan. 14, 2001.