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Technology Stocks : Ascend Communications (ASND) -- Ignore unavailable to you. Want to Upgrade?

To: Chuzzlewit who wrote (20915)	11/4/1997 12:57:00 AM
From: Larry J.	Read Replies (1) \| Respond to of 61433

Paul, you need to consider that price cuts were only mentioned on remote access concentrators which I believe now represents only 30% give or take. Frame relay and other gear probably command much higher margins. Larry

To: Chuzzlewit who wrote (20915)	11/4/1997 1:05:00 AM
From: Kumar Nathan	Respond to of 61433

Paul and Others: I am very skeptical about ASND Mgmt's outlook. But I would like to point out that it is not at all uncommon for any product to have a price erosion of 10-20%. That is perfectly common in any business for that matter. In many business it could be even more. But at the same time they will try to compensate it by increased productivity and newer product. New products that will be supplemented could have more features at the same price etc., Therefore if I were to take those comments at face value it is bullish. But since it comes out of ASND Mgmt's mouth we have to be extremely skeptical. Regards Kumar