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Technology Stocks : Wind River going up, up, up! -- Ignore unavailable to you. Want to Upgrade?

To: Don Lloyd who wrote (8941)	12/22/2000 12:41:18 PM
From: Allen Benn	Read Replies (1) \| Respond to of 10309

Does this mean that companies are likely (or allowed) to just take a one-time write-off of excess goodwill that they are currently amortizing for previous acquisitions? I believe companies will simply stop amortizing goodwill. They don't have to clean it off their books. Allen

To: Don Lloyd who wrote (8941)	12/22/2000 12:56:59 PM
From: Allen Benn	Read Replies (1) \| Respond to of 10309

Ummm, do they have the cash? [To buy back shares and squeeze shorts] And if they do, is this a prudent move in the face of a recession? They have plenty of money to engage in a buyback without jeopardizing their cash position. WIND has always been cash-flow positive, and this would remain true even in an actual recession – which by the way is not a given. As to whether WIND feels such a move is prudent, recall that a buyback was announced in May of 1999 to defend the stock – or to take advantage of an overreaction by the market at the time. Personally, I’m not one to sit back and let a bunch of short sellers ravage my company, especially if they can be made to pay for being so imprudent. Apparently, WIND had in excess of 5 million shares of short interest two days ago, before the really big selling. The way the NASDAQ double counts share trading, it will take over 10 million shares trading to enable the shorts to cover – huge by WIND’s standard. And that’s assuming remaining long investors are willing to sell. I’m not. Allen