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Technology Stocks : Oracle Corporation (ORCL) -- Ignore unavailable to you. Want to Upgrade?

To: MKL who wrote (4652)	12/18/1997 8:50:00 PM
From: Loretta Fern	Read Replies (2) \| Respond to of 19080

MKL, Your full of it. No spouses at the Christmas party! I find that a little hard to believe. Oracle may be down but your statement is ridiculous. Now if you want to talk about the inevitable kicking someone when their down...... SAN DIEGO--(BUSINESS WIRE)--Dec. 18, 1997--A securities class action has been commenced on behalf of purchasers of the publicly-traded securities of Oracle Corporation ("Oracle") between April 29, 1997 and December 9, 1997 (the "Class Period"). Plaintiffs charge Oracle and its Chief Financial Officer and Chief Operating Officer with violations of the securities laws. Plaintiffs allege that during the Class Period defendants artificially inflated Oracle stock to a split-adjusted high of more than $42 per share based on representations that Oracle was experiencing revenue growth of 20%-25% in its core database business and 60+% in its applications business and that based on Oracle's strong revenue growth Oracle would generate strong EPS growth for the first half of fiscal 1998 (ending November 30, 1997) and EPS of $1.10-$1.13 per share for fiscal 1998 (ending May 31, 1998). On September 16, 1997, Oracle released its results for the first fiscal quarter ended August 31, 1997, reporting growth in Oracle's core database much lower than previously claimed. However, the complaint alleges that defendants continued to assure investors that Oracle's first quarter was merely an anomaly and the Company's strong growth in applications and database revenue was on track and that Oracle would generate EPS of $0.23 for the quarter ending November 30, 1997 and $1.10 for fiscal 1998. However, on December 9, 1997, defendants were forced to reveal that, in fact, Oracle was seeing little if any growth in its applications and database revenue. Moreover, in certain areas, such as domestic applications revenues, Oracle was actually experiencing declining revenues. Oracle further disclosed that stagnating database and applications revenue meant that instead of Oracle generating EPS gains of at least 20% in fiscal 1998, Oracle would be lucky to generate any growth in EPS at all during fiscal 1998. Oracle's stock immediately collapsed to $22 15/16 per share as the market digested this bad news. Before the truth about Oracle's failures came out and Oracle's stock price collapsed, five Oracle insiders sold over 800,000 split-adjusted shares of their Oracle stock at artificially inflated prices as high as $38.86 per share, pocketing over $28 million in illegal insider trading proceeds, including some $7 million in Oracle stock sold by COO Raymond Lane within weeks of Oracle's disastrous December 1997 announcement.

To: MKL who wrote (4652)	12/18/1997 9:50:00 PM
From: hasbeen101	Read Replies (1) \| Respond to of 19080

Is Oracle still a growth company? Frankly, I don't think so. IMO the relational database business is likely to show less growth than the grocery business over the next 5 years. Oracle's growth depends on: + Applications (this has been a stong area); + Object-oriented or Object-Relational database technologies; + NC (most people on this thread don't pin too much hope on this); + Anything else they can come up with. But it will be hard to achieve big growth in the next few years, partly BECAUSE there has been so much growth in the past 10.