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

To: Glenn D. Rudolph who wrote (124080)	4/24/2001 9:28:56 PM
From: Alomex	Read Replies (1) \| Respond to of 164684

I can't reconcile their numbers. I still can't from Q1. Easy: it seems they buried their losses in the restructuring charges. For example they claim that their fulfillment costs went down, from $99.4 million to $98.2 million. But then if you look at "Impairment related and other" which is $114.2 million, they bury there the expenses of the Georgia, Seattle and Amsterdam distribution facilities. Also equipment upgrades which are part of day operations in a technology company are buried there. As a result of this initiative, we recorded restructuring and other charges of $114 million during the first quarter, and anticipate additional charges of over $50 million during the second quarter of 2001. This initiative involves the reduction of employee staff by approximately 1,300 positions throughout the Company in managerial, professional, clerical, technical and fulfillment roles; consolidation of our Seattle corporate office locations; closure of our McDonough, Georgia, fulfillment center; seasonal operation of our Seattle fulfillment center; closure of our customer service centers in Seattle and The Hague, Netherlands; and migration of a large portion of our technology infrastructure to a Linux-based operating platform, which entails ongoing lease obligations for equipment no longer utilized. We anticipate that each component of the restructuring plan will be substantially complete by June 30, 2001.