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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Michael C. Woodward who wrote (2383)	1/16/1998 2:51:00 PM
From: Michael A. Gottesman	Respond to of 60323

I think that they may be using royalty income and secordary income, or a portion of it, as a "cushion". The co. just entered to retail market for the 1st time. Industry standard is that the major chains can return unsold product. SNDK has to produce in quantities demanded by the chains, but may end up receiving substantial returns. Therefore, a cushion - to cover this possibility and to covering continuing production costs. By the way, I agree with Sam. I'd like to see the stock hit 60 overnight, just like all on the thread. Realistically, this is a small company, playing with the big boys and trying to grow. Credibility of the CEO is worth a great deal in the marketplace. With this stock its gonna be a bumpy ride but long term, its worth it.