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To: Lizzie Tudor who wrote (64513)	9/13/2003 1:31:00 PM
From: hueyone	Read Replies (2) \| Respond to of 77397

It sounds like you are just saying new growth doesn't matter. No, I am saying that there is clearly no merit in your statement that the rest of tech is booming. And I am saying that you have failed miserably to present any credible evidence that Oracle is in trouble compared to the rest of tech because of its aggressive outsourcing policy. Who would you say are Oracle's competitors if not PSFT, ORCL, SEBL and SAP? IBM? You seem to put a lot of stock in top line growth (even if it is profitless top line growth as is the case with AMZN), but only SAP is growing the top line faster amongst this list of Oracle competitors. And bear in mind, it is much easier for medium cap companies like PSFT and SEBL to grow the top line fast than it is for large cap companies like Oracle to grow the top line fast. And with regard to operating margins, Oracle's are more than double anyone elses in the entire group. In fact, it looks like there is evidence that Oracle's outsourcing program is working, not failing. Oracle is knocking the socks off their competitors with respect to operating margins. ORCL IBM SAP PSFT SEBL RevGrTTM) -2% -7.1% 18.7% -6% -20.2% GM (TTM) 75.7% 37.26% 62.9% 64.08% 60.8% OpMarg(TTM) 36.58% 10.31% 24.64% 12.52% -15.52% finance.yahoo.com finance.yahoo.com Perhaps you better take another tact in your case against dumb old Larry Ellison and his idiotic outsourcing program. The case you have posited clearly isn't working. I don't like the disruption in our domestic economy caused by outsourcing either, but heavy outsourcing may turn out to be a good decision rather than a bad decision with respect to Oracle business performance. Let's see how the next few years play out. Regards, Huey