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To: Patrick E.McDaniel who wrote (24332)12/5/1997 8:21:00 PM
From: jim kelley  Read Replies (1) | Respond to of 176388
 
Patrick,

It is possible that the aggressive price reductions that have been happening are creating enough incremental unit volume growth to more than offset the CPQ pipe flushing. Thus it is possible that this incremental unit volume growth will be enough to satisfy HWP, IBM, BELL and CPQ in the retail channels. If that happens the effect of flushing inventory from the CPQ channel pipes will not be seen this quarter. Instead, it will be compensated for by unit volume increases.

We will know in a few more weeks.

Jim