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Technology Stocks : Cisco Systems, Inc. (CSCO) -- Ignore unavailable to you. Want to Upgrade?

To: RetiredNow who wrote (57037)	2/4/2002 11:31:24 PM
From: Stock Farmer	Respond to of 77397

You believed Cisco's margins were coming under pressure due to the secondary markets. Yet in this post, you point out that indeed that is not the case. Care to explain that rather unvulcan train of logic? Where in this text does it point out that the secondary market is not a cause of margin pressure? Particularly given that the players in that industry could find themselves reasonably described by Cisco as 'competitors'? Text below, emphasis added for dramatic effect. mm: my guess is that margins are down primarily because of inventory liquidation JS: Nice guess. But here's what Cisco's management guessed: "The decrease in the gross margin was primarily due to a continued shift in revenue mix toward our lower-margin products and pricing pressure seen from competitors in certain product areas" Seems like you've been melding with McCoy again ;)