Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : Cybex (CBXC) Anyone watching? -- Ignore unavailable to you. Want to Upgrade?

To: Kurt T. who wrote (35)	1/4/1998 1:20:00 PM
From: Dr. J	Respond to of 57

Re R&D charges: As is typical in such an acquisition, acquired R&D must either be capitalized if it represents R&D "prior to proof f technological feasibility" (i.e. mostly Research) or expensed if it is mostly Development. They are saying the most of this acquisition is the latter (which is good IMO) so there will be a large one-time charge. I typically ignore such charges in looking at earnings. The Capitalized portion will be depreciated over future years (a long time, but they typically can choose how long within certain limits). Re CBXC in general (having just read this thread): what is their unique competitive advantage. Why can't another company (like APEX) do everything they do? Do they have patents or trade secrets nobody else has?