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

To: Bill Harmond who wrote (146269)	8/26/2002 11:27:52 PM
From: GST	Read Replies (1) \| Respond to of 164687

"Merrill Lynch says the move could actually reflect strength in the qtr, although the program is likely to have a negative impact on operating profit in the near-term." I fail to see how dropping the free-shipping threshold is a sign of strength -- if there is no other evidence it would more likely be a sign that AMZN is cutting margins to keep from falling short on revenues -- after all, nobody expects a profit so they focus on maintaining sales growth (or at least not shrinking). They can always come up with an explanation for losing money -- but they cannot explain away weak sales. A sign of strength? Where is the logic in that?

To: Bill Harmond who wrote (146269)	8/27/2002 9:12:56 AM
From: Glenn D. Rudolph	Read Replies (2) \| Respond to of 164687

"15:31 ET AMZN Amazon.com free shipping move viewed as positive event (14.96 -0.21) -- Update -- Goldman Sachs believes that AMZN's move to lower its free shipping threshold to $25 orders from $49 is a positive event; move indicates that their qtr is likely tracking to plan, it eliminates one of the most significant barriers to buying online (shipping charges), and shows that the co's low-cost model can offer better value to customers and serve as a very strong competitive advantage. Separately, Merrill Lynch says the move could actually reflect strength in the qtr, although the program is likely to have a negative impact on operating profit in the near-term" Bill, I do not believe anything that ever spews from any brokerage firm. They are all as crooked as can be not to mention I believe learning impaired. I can tell you the market did not see this as a great positive at least for one day. The stock went down in a up kind of up market.