To: Norrin Radd who wrote (8663 ) 1/6/1998 11:11:00 AM From: bob yahnke Read Replies (3) | Respond to
I can't believe you guy's are still throwing money at this company. You're buying BLIND. Nobody has a clue to what is going on with this company. Why buy blind??? Do you buy a car without looking at it or test driving it? Stock buy back, ya right. Thats a joke. S3 needs every penny they can get their hands on to maintain a pulse. Does'nt anybody see that S3 is a HIGH COST producer and can't compete with their high cost chips. Competition has closed in and took advantage. Not to mention INTL's chip thats coming out next month or what they come up with next. Example: Lets say S3 was profitable in the past producing $30 chips, well the rest of the industry now is at $20 a chip. For S3 to compete they would have to drop to $20 or below which in turn would produce losses for S3. With product cycles being way behind not much will happen for quite some time. By the time their new products come out it will be to late. The technology will be completly changed. This is just one of many of their main problems. Everybody says bookvalue. Well, BV can drop like a rock. Nobody on this thread really even knows what the real BV is. If it is at or around 5-6, look for it to be at 4 or under in the next quarter or two. Then when the stock is selling at 3 or 4 you'll all be saying "well it's selling at BV it can't go any lower it's a buy!" The only thing that will save S3 is a buyout, which is'nt going to happen. If it was going to happen it would have been last spring or summer. But, what did S3 do? They poison pilled the company. That ruined their chances to sell this mess in the 20's. Now, with all their problems, who the hell would want to buy this troubled law suit of a company? Would you? Could you trust anything that management said? Management still has'nt bought 1 share of this stock at these lower levels, why should you? I could go on and on and on but, enough for now. Just a couple thoughts from a realistic point of view.
