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To: jan m. who wrote (7679)12/20/1997 7:36:00 PM
From: Jack Zahran  Respond to of 31646
 
Jan, I recall Jenkins saying that he would negotiate the tool costs on multi-plant licenses and that is why he estimated an average $20K/CD sold whereas $30K-40K would be normal per site. However, there is no reason why TPRO should charge lower hourly rates. The Plant remediation has to be done and TPRO is the only company currently able to provide the service. If it were IBM, they would be charging a minimum of $185/hr and then $220/hr for phone and weekend work. TPRO's price is a bargain considering their monopoly and timing.

The other area we need to look at is TPRO charging for Y2K Engineer training and certification. A $1,600/day/Engineer for a week course would be fair. TPRO should be looking at certifying engineers in the use of their products (TCE, Tava Certified Engineer). They already established an education site. They probably could train engineers from contracts such as BMS where the company wants to also have it's own Engineers doing work alongside TPRO as this announcement seems to suggest. The more Engineers they have generating Reports from their tools, the greater revenue TPRO will generate not only from the reports but the additional higher cost testing of components not in their database. All this billing potential!

The relationships developing between TPRO and these multi-national manufacturers will include everyone from Top Management to the individual engineers working in the plants. TPRO engineers will be buddies with engineers in plants all over the world. Contracts will continue to flow to TPRO. What a huge goldmine they have. I can't tell you how valuable that is in landing huge contracts. The exposure TPRO is getting beats anything. This scenerio takes on a life of its own.