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Technology Stocks : COMS & the Ghost of USRX w/ other STUFF -- Ignore unavailable to you. Want to Upgrade?

To: Scrapps who wrote (9936)	12/2/1997 2:27:00 PM
From: Moonray	Respond to of 22053

Cabletron Shares Fall as 3rd-Qtr Profit to Disappoint Rochester, New Hampshire, Dec. 2 (Bloomberg) -- Cabletron Systems Inc. shares fell as much as 28 percent after the computer- networking equipment company said fiscal third-quarter results will be disappointing because orders didn't meet expectations. Cabletron also said it will take a fourth-quarter pretax charge of $25 million to $30 million to restructure its business. ''They are losing market share and competitive position,'' said analyst Andy Schopick of Nutmeg Securities, who rates the stock ''long-term buy.'' Analysts and investors said Cabletron is lagging in shifting to new, faster technology for sending data around and between networks, and is being hurt by uncertainty about its future because of management changes and acquisitions. Cabletron shares fell 6 5/16 to 16 7/8 in midday trading of 6.59 million, making it the fourth-most actively traded stock on U.S. markets. It traded as low as 16 3/4. The charge will help pay for costs related to duplicate facilities and to write off the value of assets, Rochester, New Hampshire-based Cabletron said in a statement. It said it expects to be ''more active'' in forming partnerships and making acquisitions. The announcements come just a week after Cabletron agreed to buy the networking unit of Digital Equipment Corp. for $430 million in an effort to bolster its product offerings to better compete against rivals Cisco Systems Inc., 3Com Corp. and Bay Networks Inc. ''It's very competitive out there,'' said Phil Schettewi, managing partner at Loomis Sayles & Co., which owns Cabletron stock. ''The strong get stronger, and Cisco certainly isn't having problems.'' Still, Schettewi said he would consider buying Cabletron stock at this level because he thinks the company will start to recover next year. Schopick agreed that the stock is ''cheap'' right now and said products introduced in the past year will start to spur sales next year. Cabletron said profit in the quarter ended Sunday will be 8 cents to 12 cents a share, well below the average estimate of 40 cents 24 analysts surveyed by IBES International Inc. In the year- earlier quarter, Cabletron earned $69 million, or 46 cents a share, on sales of $361 million. Cabletron blamed the forecast on an ''order shortfall, weakness in some domestic segments and delayed Federal government decisions.'' It wasn't more specific. Cabletron said it expects to report sales of $330 million to $340 million. Profit margins are expected to be narrower, the company said. Cabletron didn't say whether it will reduce its payroll of 6,800 employees. Cabletron is to disclose third-quarter results Dec. 22. o~~~ O

To: Scrapps who wrote (9936)	12/2/1997 4:54:00 PM
From: Moonray	Read Replies (1) \| Respond to of 22053

3COM's Warning Press Release (thanx Mang) 3com.com o~~~ O

To: Scrapps who wrote (9936)	12/2/1997 11:39:00 PM
From: Dwight E. Karlsen	Read Replies (1) \| Respond to of 22053

3Com to Demonstrate Leading-Edge Switching Technology During Retail Delivery Conference Business Wire - December 02, 1997 13:07 "Watch us demonstrate how to switch a stock's direction. That short sale not working out? No problem, after watching us, you'll know what needs to be done. Barron's writing up bullish articles on a stock you shorted? No problemo, mano. We're state of the art. We can get that stock to reverse direction at the drop of a hat." Oh well, it's not like I wasn't expecting it. Remember I posted a while ago that it was obvious the inventory issue and switching methods for recording sales was going to kill earnings. Too bad I didn't dump while I had the chance to only lose a little bit of money. DK