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Technology Stocks : QUANTUM -- Ignore unavailable to you. Want to Upgrade?

To: Steve Rolfe who wrote (5915)	12/2/1997 4:47:00 PM
From: Rob S.	Respond to of 9124

OK here is one recent example of a news item that was discussed with analysts before it became announced in a press release" 11/24/97 Quantum announced it will take restructuring charges of $40 million in its fiscal third quarter, as the company consolidates its hard disk-drive business into one unit and shifts production to newer products. Quantum discussed this charge with analysts just prior to, during and after the last quarterly conference call. The fact that they mentioned it to analysts before the conference call and the conference call, which was not known to be available to the "average investor", took place about two weeks prior to the announcement is "normal operating proceedure". The FTC regulations do not prohibit the company from talking to analysts or institutional investors as long as that information is not hidden from others. A normal course for dissemination of information is thru "investment professionals". The small investor would like that all information were disclosed first in written statements before details were given out to analysts. That is not the way it works. Analysts typically have more information on a more timely basis than what comes out in press releases. Sure analysts are caught by surprise every once in a while, but you can bet they punish the stock when they are. I just got off the phone a few moments ago to another company and was told about some pending contract negotiations with the provision that "this is not to be discussed with anyone or published anywhere" until after the press release is issued tommorrow. Of course I won't repeat this information anywhere on the internet but will take action on it early tommorow morning, hopefully before the news hits the wires. I have no first hand knowledge of what information was discussed at the DMG confernce or in New York or what will be discussed in San Francisco by Quantum tommorow.