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To: Tulvio Durand who wrote (7051)	1/8/1998 7:17:00 PM
From: John Carpenter	Read Replies (1) \| Respond to of 95453

(off topic) Tulvio, Coke's long-term growth rate is three times today's closing 30 year bond rate. I can count on one hand the companies that have such non-cyclical, well defined, sustainable multi-year growth. To answer your question, I believe any multiple less than 2.5 times the long term growth rate is fair. Apparently, the market agrees. When it comes to PFE, GE, G, KO, PG only-I'm willing to pay even a PE multiple 2.5 times the long term growth rate. These five companies are in a class by themselves. Currently, you've got to admit that the market agrees. The market isn't always stupid, sometimes securities are priced correctly. The five companies I've mentioned will probably still keep growing for many generations to come. You've got to pay up for this. These companies have clout-the market rewards them for their long term visibility/non-cyclicality.