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Technology Stocks : MRV Communications (MRVC) opinions? -- Ignore unavailable to you. Want to Upgrade?

To: Greg h2o who wrote (38927)	5/8/2002 5:17:37 PM
From: Bridge Player	Read Replies (1) \| Respond to of 42804

<< csco would give totally ridiculous trade in allowances for the antiquated equipment on his shelves in order to get the resulting full revenue sales.>> Which is just another in the long list of reasons why CWNT finds it so hard to crack the router market.

To: Greg h2o who wrote (38927)	5/8/2002 6:28:13 PM
From: akmike	Read Replies (3) \| Respond to of 42804

Hi Greg, Please run the accounting treatment by me where CSCO is giving a purchaser of new equipment a discount of 70% off the full price for a trade in of old equipment and booking the revenue based on the full price. For the life of me I cannot put together an accounting scenario which would yield CSCO the 62% gross margins that they reported yesterday and still allow this kind of discounting. They would have to be "counting" revenues and "not counting" costs; this would seem to be "discounting" GAAP. Pretty dangerous stuff in this day and age!