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To: Venkie who wrote (24757)12/11/1997 11:57:00 AM
From: hpeace  Respond to of 176387
 
ven, cpq is cutting back from 4000 dealers to 500 dealers.
if they cut inventory to two weeks then microage will be asked to carry 1.5 to 3 times as much as they have in the past and cpq is still down to 2 weeks of inventory..
the math is simple...you think jim and mh could figure that out.

take the inventory now and cut it to two weeks then
take 4000 and divide it by 500...
then divide one ratio by the other.....
that's the avg. amt. of inventory microage has to has move than now to equalt 2 weeks of channel inventory for cpq.

micro age should be glad since the sales are split 500 ways not 4000 ways...
I'll be glad since with the extra inventory I can order cpq and have it ship that day.



To: Venkie who wrote (24757)12/11/1997 12:10:00 PM
From: McNabb Brothers  Read Replies (1) | Respond to of 176387
 
Venkie,

<The bounce hasn't came and dont believe that.>

If the market is down 100+ then comes back to being down only 70 then drops to 140+ I call that a dead cat bounce! Now we may have another one come 1:00 or 2:00, but it will be another dead cat bounce then lower on the close!

Hank