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

To: slipnsip who wrote (43862)	1/18/1998 8:31:00 PM
From: Rocky Reid	Respond to of 58324

The split was not dilutive by definition even though it "devalues" the earnings/share. The split was defined as a dividend payable to all shareholders as of 12/22/97. However, what this "dividend" was succesful in doing was destroying any momentum IOM had in trying to break psychological barriers. Namely, $30/$40/$50 share. The biggest monkey on IOM was that $56/share number. That goal os now totally out of the question. If IOM could have broken that barrier, the Street psychology towards this issue might have undergone a complete reversal, with who knows, 75% Institutional Ownership? Now, at a price of $12, Mutual Funds are very hesitant to pour money into such a low priced issue. In a pure market definition, the split was not dilutive. But in a psychological sense, it was very dilutive. AOL is now going to split 2 for 1, and it is $93/share. That is a respectable split level. $24 is a joke.