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Technology Stocks : Extreme Networks, Inc. (EXTR) -- Ignore unavailable to you. Want to Upgrade?

To: A.L. Reagan who wrote (679)	1/17/2002 9:27:21 AM
From: research1234	Respond to of 770

Interested in anyon'e take on htis post from Yahoo: Extreme Debt by: bigbluepig202 (48/M/somewhere) 01/16/02 11:32 pm Msg: 50722 of 50748 Last quarter they floated $200 mill convertible 3.5% annual yield, convertable at $20 per common share in 2006, "..with adjustment". What does this mean?? At a minimum lots of dilution. Worse case, another poisen convertible that will really convert at $1 per share, i.e. HUGE dilution. Why would company float debt?? Cause without it, cash is down from last Q. They afre sinking slowly but surely. Face it, this stock is a dog...Even if they return to 10% or even 20% annual growth, no way they are worth $1.7 BILLION market cap with only $400 million annaul revenue. Remember, market cap=present value of earnings eventually. Does anyone really think Extreme will earn future profits equal to $1.7billion over this company's lifetime?? The stock price is being held up by nothing but air, and will fall like a rock once the last small investor has bought in.