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To: H James Morris who wrote (110746)	10/18/2000 2:28:32 PM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

Btw eBay has the possibility of auctioning off vital organs, to the needy who can't live much longer without them.:-( James, I believe the Federal Government made that illegal.

To: H James Morris who wrote (110746)	10/18/2000 2:28:33 PM
From: Bob Kim	Respond to of 164684

I don't feel comfortable owning a stock with a P/E of 620. HJ, To show how times have changed, I've reproduced parts of my Sybase report from July 93: Sybase is currently valued at 48 times our fiscal 1993 estimate and 36 times our 1994 forecast. The stock trades at a premium to Oracle and Informix in terms of P/E, P/E/growth rate (tied with Oracle), and price-to-sales (see table below). The higher valuation may be attributable to several factors, including: the market's expectation of a higher growth rate for Sybase (Sybase has had the highest revenue growth of the three); Sybase's perceived competitive superiority in some areas; and, perhaps, an acquisition premium on SYBS shares. We view an acquisition of Sybase as a remote possibility. SYBS ORCL IFMX Price $74 $51 1/2 $21 5/8 Current Year EPS $1.55 $1.50 $0.78 Next Year EPS $2.05 $1.90 $0.90 93 Cal EPS $1.55 $1.27 $0.78 93 Cal P/E 48x 41x 28x 3-5Yr EPS Gr. 27% 23% 25% PE/Growth Rate 1.8x 1.8x 1.1x Price/Book 13.0x 14.4x 9.3x Price/Trail. sales 5.8x 5.1x 4.8x* *Excludes RCAS revenues The strong recent performances turned in by Sybase, Informix, and Oracle continue to indicate a very robust market. In this type of environment, momentum may outweigh fundamentals. Although we think SYBS is trading ahead of its fundamentals, it has benefitted from strong momentum. Over time, we think that fundamentals will drive the valuation. Meanwhile, a lack of miscues will allow time for the fundamentals to catch up to the relatively high multiple.