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Technology Stocks : All About Sun Microsystems -- Ignore unavailable to you. Want to Upgrade?

To: Steve Lee who wrote (48238)	4/12/2002 1:13:14 PM
From: Charles Tutt	Read Replies (1) \| Respond to of 64865

I don't recall the RIF charges even being presented in a pro forma manner. I certainly don't see how anybody could have been deceived by them. To be quite frank, I thought you were going on about Forte or Cobalt or something, but even those seemed fairly cleanly presented to me, and M&A activity is classic pro forma territory. OK, if it makes you feel better, consider me to have lost money. But, WOW, did I ever make money for a while, then! As an optimist, I think I'll focus on that rather than bemoan my current fate. I'm still way ahead of where I would have been if I'd stayed with the bonds and dog stocks I sold to buy SUNW. Generalities about "execs of ex hi-fliers," even if true, don't have much use here. JMHO. Charles Tutt (SM)

To: Steve Lee who wrote (48238)	4/12/2002 11:14:16 PM
From: CYBERKEN	Respond to of 64865

That's very interesting, an allowance for massive layoffs, booked during periods when you can't make product fast enough. Our current market is the kind of period when such ideas emerge, just as LIFO inventory had its run during double digit inflation. Lots of arguments on either side of any accounting gimmick, which is why accounting, despite GAAP, is only a starting point for the investor doing DD. The accounting purists like to minimize gimmicks and try for a vanilla standard that allows the serious researcher to have stable reference points. At the end of the day the simpler the better for investors. As for reserves for the next rainy day, its best done by building fundamental value: keep the cash, don't overdo the debt (forego some bubble opportunities if they can't be paid for), and, most important of all in Sun's business: keep BOTH the quantity and quality of R & D high. The shareholders will bitch like hell. But they would have anyway. BTW, there have been some pretty good CEO's in history who never said anything to The Street but, "I can't see why anyone would want to buy this stock.", and left it at that...