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Technology Stocks : Data Race (NASDAQ: RACE) NEWS! 2 voice/data/fax: ONE LINE! -- Ignore unavailable to you. Want to Upgrade?

To: drakes353 who wrote (25835)	11/20/1997 6:02:00 PM
From: Ignacio Mosqueira	Read Replies (1) \| Respond to of 33268

Oh my! To top it all off you are witty and original! I am dying to meet you Drakes! But all kidding aside you do need a course in remedial reading. I told you that the initial selling will come from DG hence a step function after Inacom begins selling is an apt description. YOur number games are just as much fun. Ok then here is a math primer of the situation as it will unfold. In 11.99534 months DR will make 45.33 million net and this is how it will happen. First quarter most sales will come from DG with inacom contributing a small amount. Net will not be so good because the margin will be below the intended model. Some sales may even need discounts with respect to what DR finds desirable at this time. Thus 0.6 million net is what DR will make (that is to three significant figures). After that server outsourcing will bring the model back in line and inacom will pretty much takeover. Second quarter we are talking 5.11 million net with much improved margin but still slightly below desirable levels (i.e. 45%). After that it gets easier since it will be a classical model of exponential growth with a steep ramp due to the concurrent growth in distribution channels. That is 15.33 for the third quarter and 45.99 for the final one. I hope that answers all your questions. If you have any more please let me know. Sincerely Ignacio Cheers! As I said before this should be fun.