Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Cabletron Systems (CS: NYSE) -- Ignore unavailable to you. Want to Upgrade?

To: John Ritter who wrote (2563)	12/5/1997 10:37:00 AM
From: william liao	Respond to of 8358

will cs be another asnd before long?

To: John Ritter who wrote (2563)	12/5/1997 10:37:00 AM
From: Doug	Respond to of 8358

Hi John:With the addition of DEC's team of Engr's , the overheads will increase whilst Sales/Margins are being squeezed. Coupled with this they have an instant rebate program in place. Basically this means that Sales and revenue per employee will decrease. To offset this, the corretive action would be to cut back the total workforce and increase productivity using the age old carrot/whip techniques. I am not aware or privy to the corrective internal programs you allude to. I am not too sure if Mr Reed's style of managing is "after the fact" or "antisipating the crisis".On Oct 10 CNET's News COM Ben Huskett interviewed the new CEO. In that interview he indicated "all issues are pretty much behnd us and we look forwad to a +ve trend going forward".He then discussed his goals for "Convergence". As we have had a crisis within 50 days of that interview, it would indicate an "after the fact approach" style. Great leaders antisipate crisis and deflect them at worst. I hope that by DEC 22 the CEO will have fully analysed the situation and comeup with a gameplan to get back on track. Without that assurance, CS will be drifting.