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Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?

To: Richard Karpel who wrote (41304)	12/22/1997 10:25:00 PM
From: KM	Respond to of 58324

Well, Briefing attributes IOM's drop today to last-minute tax selling: Disk-drive related companies didn't fare as well, as last-minute tax selling weighed on the group... Seagate, Western Digital and Iomega paced the retreat.

To: Richard Karpel who wrote (41304)	12/23/1997 12:32:00 AM
From: Cogito	Respond to of 58324

>>Excuse my ignorance, but how long has the 2GB Jaz been advertised for? I know that the analysts on the Emerald conference call said the 2GB delay won't affect their projections since they didn't include 2GB sales in their estimates. But if the 2GB has been advertised for awhile now, wouldn't that disrupt 1GB sales, since potential 1GB consumers might wait for the release of the 2GB machine? And wouldn't that mean that the 2GB delay WOULD have a negative effect on this quarter's sales?<< Richard - Jaz2 has only been advertized for a couple of weeks at the most. But that is a good observation. Missing revenue from Jaz2 sales might make no difference, while customers delaying purchases could. Probably not a huge factor either way, though, IMO. Remember that we who follow this stock closely have been aware of Jaz2 for some time now, most consumers have not. - Allen

To: Richard Karpel who wrote (41304)	12/23/1997 1:57:00 AM
From: FuzzFace	Read Replies (1) \| Respond to of 58324

Richard, I think IOM was blindsided by SparQ. They just did not think SYQT could do it. When SYQT executed, they realized both Jaz2 and ZipPlus were seriously overpriced. It was too late for ZipPlus, they'd just have to hang tough there. But though they recognized they must lower the price on Jaz2, they felt it would be too embarassing to do it so soon after the announcement, and before even shipping the first one. So now they are stalling for time. The cover story is they are making absolutely sure to get it right. What will happen when they can't stall any more? My guess is that sometime around numbers, they will announce Jaz2's new ship date, and new lower price. A price made possible by cheaper parts (credited to the SEA crisis) and improved processes developed during the "get it right" phase. This is the first marketing mistake I've seen them make. A Sy Young (groan) curve ball, swung on and missed for strike two. The inability to ship enough Zips this summer was a fastball out over the plate, taken for a called strike one. It should have been belted out of the park. One more strike, and they are bums. Of course, if they hit a homer with numbers, the count gets erased and all is forgiven. :o)