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Pastimes : The New Qualcomm - write what you like thread. -- Ignore unavailable to you. Want to Upgrade?


To: Dennis Roth who wrote (7181)6/20/2005 11:00:41 PM
From: Jon Koplik  Respond to of 12247
 
Dennis -- I guess I never talk to people who are so stupid (or unscrupulous) that they think (pretend) that Microsoft was a penny stock during its early days ...

Jon.



To: Dennis Roth who wrote (7181)7/3/2005 1:44:55 AM
From: Jon Koplik  Read Replies (1) | Respond to of 12247
 
NYT -- Attack of the $1 DVD's .......................................................

July 3, 2005

Attack of the $1 DVD's
By FRANZ LIDZ

THE scientist in the 1959 horror film "The Killer Shrews" is not only mad but also cheap. Monstrously cheap. To solve the problem of world hunger, he tries to breed humans down to half their normal size. Rather than increase the food supply, he reasons, he will decrease demand. But his penny-pinching plans go awry, naturally, or unnaturally, creating a pack of giant, munchies-afflicted shrews.

"The shrews were actually hound dogs with fangs stuck to their heads and hairy rugs on their backs," recalled James Best, who portrayed the hero, Thorne Sherman. Mr. Best's love interest was played by Ingrid Goude, a former Miss Universe who was, he said "very well-endowed but not very well-paid; she got about 15 cents." Mr. Best, now 78, reckoned that that was about 35 cents less than the budget of the entire movie.

"The Killer Shrews," the masterwork of Ray Kellogg, is one of hundreds of cheap old films now available as ridiculously cheap new DVD's. Because of lapsed or improperly registered copyrights, even some very watchable movies - among them, Howard Hawks's "His Girl Friday," Marlon Brando's "One-Eyed Jacks" and Francis Ford Coppola's "Dementia 13" - are now in the public domain and can be sold by anyone.

While overall DVD sales are robust - last year retailers sold $15.5 billion in discs - the low-end market is positively booming. Recently, 19 of the 50 top sellers on the Nielsen VideoScan national sales charts were budget DVD's. "The prices are irresistible," said Gary Delfiner, whose Global Multimedia Corporation offers 60 film, cartoon and television titles with prices ranging from 99 cents to $1.99.

Global, based in Philadelphia, is one of a half-dozen major players in what's called the dollar DVD industry. Since starting up in September, the company said, it has shipped more than two million discs.

Sheathed in cardboard slipcases, they are distributed to some 15,000 99-cent stores around the country, as well as thousands of supermarkets, drugstore chains and, soon, lingerie shops. "An intimate apparel store is a great place to sell old romances," said Mr. Delfiner, whose catalog includes the 1939 Irene Dunne-Charles Boyer weepie "Love Affair" and the 1954 tearjerker "The Last Time I Saw Paris," with Elizabeth Taylor and Van Johnson.

How does Mr. Delfiner define his audience? "Anybody who's breathing and owns a DVD player," he said. "Nobody ever walked into a store looking to buy my product. It's the ultimate impulse buy."

Still, he has his standards. "I won't produce any title that's too obscure," Mr. Delfiner said. "Or any title that's not family-friendly." Or any title without sound. "Silent movies are for aficionados," he added. "They don't appeal to the masses, and I'm in a mass business."

The chief attraction of cheap DVD's is that they're, well, cheap. "On average, a family of four spends around $40 to see a movie at the neighborhood multiplex," said Don Rosenberg, publisher of Home Media Retailing magazine. "For that, you could buy 40 budget DVD's."

The very term "budget DVD" makes Mike Omansky bristle. "It brings up the image of schlock, which our product is not," said Mr. Omansky, the chief executive of Digiview Productions, a New Jersey company that supplies Wal-Mart with classics like "Bucket of Blood" and "The Beast of Yucca Flats." "McDonald's puts out a high-quality, low-priced hamburger. Our burgers are high quality, too, without the frills."

Of course, for a buck you don't expect frills. And mostly you don't get any: the vast majority of dollar DVD's start playing the moment they're loaded. Only the best-made low-end discs have cast biographies, on-screen menus and chapter stops. And only Global's have an option for Spanish subtitles.

"We commissioned the translations," Mr. Delfiner said. "There's a huge Hispanic market for this stuff."

In the cutthroat world of cut-rate DVD's, different labels often release the same titles. "Print and sound quality varies according to the source material," said Bill Lee, division manager for Westlake Entertainment in Los Angeles. Mr. Lee stocks 13 early Alfred Hitchcock films, from "Easy Virtue" (1928) to "Jamaica Inn" (1939). "We look for pristine masters," he said.

Global ensures that its masters are pristine by buying them from companies that specialize in film preservation. The digital videotapes are compressed and encoded into digital linear tapes in a manufacturing plant called a replicator. The data are then downloaded into a computer. Dollar DVD's vary according to "the quality of the master and the quality control of the replication house," Mr. Delfiner said.

"Replication house" sounds like something from one of Global's horror flicks, and there are indeed horrors to be found among the replicants. Some reissues of the original "House on Haunted Hill" are haunted by ghost images as well as ghosts. A dollar edition of "Fangs of the Living Dead" - the 1969 picture that hammered the final nail into the cinematic coffin of the bomb-shelter-era bombshell Anita Ekberg - is so murky that the film seems to have been shot through the bottom of an inkwell.

"You see a lot of quick-buck artists," said Brian Austin, president of PC Treasures of Detroit.

With so many companies happily cranking out the same old stuff, Digiview is phasing out of public domain and phasing into public humiliation; it recently licensed some of the mangiest mutts ever to have escaped Hollywood's kennels.

Digiview actually paid for the rights to "American Vampire," a kind of "Beach Blanket Beowulf" starring Carmen Electra of "Baywatch." Whether anyone will pay for the DVD is unclear. "Just because it's a dollar doesn't mean people want it," said Mr. Rosenberg, of Home Media Retailing. Indeed, a nickel might be too much for a DVD of Raymond Burr in "Bride of the Gorilla."

Mr. Rosenberg said the novelty of dollar DVD's would soon fade. "There's a great danger of overdistribution," he said. "This is a business without much room for profit - either in the making or the selling. A year from now, most cheap DVD's will be gone from stores." One "Killer Shrew" alumnus hopes to cash in while the cheapness lasts. "This craze could build an audience for the sequel I'm writing," said Mr. Best, who played the stuttering Sheriff Rosco P. Coltrane on "The Dukes of Hazzard."

He has nearly finished a first draft of "Killer Shrews II." The plot is fiendishly simple. "I return to Shrew Island to rescue a bunch of teenagers," he reported. "A new mad scientist has turned herself into a human shrew that not only chews, but swims."

So what's the projected budget?

"This one's a little more expensive," Mr. Best said. "I could make it for, say, 75 cents."

Copyright 2005 The New York Times Company.



To: Dennis Roth who wrote (7181)7/4/2005 2:37:44 AM
From: Jon Koplik  Read Replies (1) | Respond to of 12247
 
Another Wall Streeter way ahead of (the "great") Warren Buffett ..............................

July 1, 2005

Renaissance's Man: James Simons Does The Math on Fund

By GREGORY ZUCKERMAN
Staff Reporter of THE WALL STREET JOURNAL

It is getting harder for hedge-fund managers to generate above-average returns when their funds grow too big, right?

Tell that to James Simons.

Mr. Simons, a world-class mathematician who runs Renaissance Technologies Corp., is creating a buzz in the hedge-fund world because he is about to launch a fund that he claims could handle $100 billion -- about 10% of all assets managed by hedge funds today. It will have a minimum investment of $20 million, and is aimed at institutional investors, according to early marketing materials.

Mr. Simons, whose net worth has been estimated at $2.5 billion, has seen Renaissance's $5 billion flagship Medallion hedge fund earn an average of 34% annually since it began in 1988, making it the most successful fund during the period. These returns, which are audited, come even after fees that now are -- get this -- 5% of assets and 44% of all investment gains. That is more than double what other hedge funds typically charge.

So far this year, Medallion is up about 12%, amid losses for the overall market. Mr. Simons has done it with computer-driven, short-term trading in various markets. The firm won't divulge details of its strategy, even to its own investors. Other funds use the same strategy but are far less successful.

The new fund will take a different approach: focusing on the U.S. stock market and holding investments for more than a year.

Medallion hasn't been open to new investors for 12 years, and Mr. Simons, 67 years old, has been returning money to existing investors, convinced that returns would suffer if the fund got too big. In fact, the firm is expected to return outside investors' remaining money at year's end, leaving Mr. Simons and his employees as Medallion's sole investors and the fund about as large as it is now. Dealing with few investors has helped the publicity-shy Mr. Simons stay below the radar screen.

Mr. Simons declined requests for comment. A Renaissance spokesman wouldn't comment on the new fund, which will be called the Renaissance Institutional Equities Fund.

The latest effort -- even if it never reaches the $100 billion mark -- would seem to run up against Renaissance's instincts to keep a lid on assets. Indeed, many managers have found that more money under management can put a crimp on results. Investors briefed on the new fund say it will differ from the existing Medallion hedge fund by aiming for tamer returns that would enable it to handle the greater sums.

The new fund marks the latest encroachment of hedge funds into the lucrative market of investing money for pension plans and other institutional investors, turf that traditional money-management firms like mutual funds have clung to. The fund will use complex quantitative models, developed by the 60 or so mathematics and physics Ph.D.s on staff. The fund will aim to beat the returns of the Standard & Poor's 500-stock index but with lower volatility.

Though Mr. Simons isn't well known, even on Wall Street, his track record likely will spur strong interest in the fund, investors say. Renaissance's 34% annual average returns since 1988 top every other hedge fund in that time period, according to Antoine Bernheim, who publishes the U.S. Offshore Funds Directory, which tracks over 1,000 hedge funds. By comparison, George Soros's Quantum Fund has climbed about 22% annually since 1988, while the Standard & Poor's 500 rose 9.6% annually.

Medallion, which hasn't had a down month in the past two years, according to one investor, has distributed so much money to its investors over the years that they haven't been able to reinvest these gains to take advantage of the big returns -- likely whetting investor appetite for the new fund.

Though prior performance doesn't guarantee the new fund's success, it will share Medallion's scientific approach, and is based on Medallion's "technology," according to the marketing materials.

"Renaissance's returns are 10 percentage points higher than legendary investors such as [Bruce] Kovner, Soros, Paul Tudor Jones, [Louis] Bacon and [Mark] Kingdon," Mr. Bernheim says. "He's in a different class from everyone else."

But while Mr. Simons will levy lower fees, such as about 2% of assets, to attract interest in his new fund, he also may have to disclose more details about trades than he is accustomed to. That is because pension plans, and their consultants, usually require a full briefing about strategies of firms they invest with.

"It's pretty much a black box. People that work there are sworn to secrecy; it's a proprietary trading strategy," says Jeffrey Tarrant, president and chief investment officer of Protege Partners LLC, based in New York, an investor in Renaissance.

Mr. Simons began his career as a professor of mathematics, teaching at the Massachusetts Institute of Technology and Harvard University. He helped develop a geometry theorem, called Chern-Simons, that is a critical tool for theoretical physics.

"It's startling to see such a highly successful mathematician achieve success in another field," says Edward Witten, professor of physics at the Institute for Advanced Study in Princeton, N.J., and considered by many of his peers to be the most accomplished theoretical physicist alive.

After breaking military codes for the government during the Vietnam War, Mr. Simons turned to money management. He hires specialists in applied math, quantum physics and linguistics for Renaissance's office in East Setauket on New York's Long Island. Hardly any have a Wall Street background. The firm relies on a system to make thousands of rapid-fire, short-term trades daily to take advantage of small, fleeting anomalies in various markets.

Write to Gregory Zuckerman at gregory.zuckerman@wsj.com

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