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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: gerard mangiardi who wrote (18559)	1/25/2001 10:40:43 AM
From: Sam	Respond to of 60323

I think that that is a good point, Gerald. I also think that back in Aug/Sept--when people were putting their orders in for Nov/Dec--they were double (or something like double) ordering to ensure adequate supply. Back then, many of us were hoping for a super holiday season, and flash cards were considered both in short supply and plausibly big sellers. They were big sellers at retail, but the OEMs get stung by their double ordering (perhaps especially Kodak, a big Sandisk customer), and now have to work off their inventory. Hence they decrease their orders to Sandisk sharply. It is at least possible that Eli didn't know how much of an inventory overhang there was before his early January interview. Sandisk could have been told about the extent of the overhang in the past 2 weeks. Historically, he has been a very straight shooter, even when the stock has gotten hit for it.

To: gerard mangiardi who wrote (18559)	1/25/2001 7:04:47 PM
From: add	Respond to of 60323

Gerard, I completely agree w/ you about inventory management. I think we will see inventory corrections much faster than people are accustomed to. However, it does depend on the amount of demand and Eli said one thing a couple of weeks ago and something else yesterday. Something doesn't add up as another poster said. How can retail be growing gangbusters but OEM sales, not ? Are the OEMS in another market. Are they mostly embedding the Flash. Or is the case that electronic unit sales are lower than expected but additional Flash card sales are much higher than expected ?