Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Oclaro, Inc. (Avanex-Bookham) -- Ignore unavailable to you. Want to Upgrade?

To: Techplayer who wrote (1053)	11/18/2000 5:50:04 PM
From: Raymond Duray	Read Replies (1) \| Respond to of 2293

Re: Industry Consolidation Hi tp, Since some of these will undoubtedly run into loan difficulties, they will either need to sell or go to bankruptcy auction One of the important aspects to this is to gage the amount of vendor financing that is at risk in this sort of environment. LU, NT, CSCO, CIEN and many others are at risk here. I'm not familiar enough with AVNX balance sheet to make a comment on them. Undoubtedly we'll see a lot more consolidation and dislocations in the industry. It's also clear that a lot of plant and equipment going in will be deemed obsolete and uneconomic. I've seen enough auctions in failed electronics shops in Silicon Valley to understand what we'll be faced with in the next couple of years. Test and measurement equipment that was state of the art 3 years ago will be sold for scrap at less than 10 cents on the dollar. Certainly not at AVNX, but at some of its weaker competitors. Regards, Ray