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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Alomex who wrote (117126)	2/8/2001 2:13:48 AM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164687

This is not so clear. If Amazon threatens to declare bankruptcy he might be able to cut a deal from the warehouses. Essentially, they could offer something like this to warehouse lease holders: either we give you XX million dollars to compensate for lost business, or we declare bankruptcy and you get nothing. I do not know if this will occur. I believe the Leaseholders will go for nothing and move on looking for another tenent. The buildings are too new and the equipment may or may not become the property of the Leaseholders. I would have to see one of the leases to really know this. Today Amazon announced that they will charge publishers for listings. This together with the announced layoffs in the USA and the looming firings in the UK will help Amazon reduce their losses significantly. The layoffs will help but I suspect publishers will no longer be willing to pay Amazon for front page listings. Knowing that Amazon will not be a long term customer makes paying them and irritating firms such as Borders and Barnes and Noble a risky propositon. The two above mentioned firms are the publishers maind distribution channel. Amazon's reach is really small even though management's hype and analysts hype indicate otherwise. Amazon claimed to have 17 million active customers world wide during all of 2000. This does not give us a number for Q4 only. That is a meaningless number considering Barnes and Noble alone averages 35 million people driving by their brick and mortar stores daily. Glenn Glenn