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Technology Stocks : Intel Strategy for Achieving Wealth and Off Topic -- Ignore unavailable to you. Want to Upgrade?

To: Tony Viola who wrote (16675)	1/26/1998 9:23:00 PM
From: Sonny McWilliams	Respond to of 27012

Tony, I didn't mean to sound smart, not that you said that. gg. I was just kidding. I guess I did not mention anything about the buyout. I decided to hang out on the CPQ thread a bit. When I said I don't think I like this split anymore is because I had too many shares go down after the CPQ announcement. I felt the same way as you when I first heard about it. I have checked into it further and feel that it could be a good deal. Pfeiffer said in a prev. interview that they wanted to be one of the top cpt.cos. by the year 2000. He says now that the integration of Tandem went so well, that they decided to push this target ahead. He knows that there is some overlapping. The way I heard it is that they will have an easier time to streamline over here than in Europe. Things go slower there. But he thinks things will be good for the bottom line within a year. I hope he is right. CPQ is paying over 9 billion. Dec has 2.5 billion in cash, about 2 billion worth of capital losses which can be used as a write-off and I guess they will divest some of that stuff they inherit. It will give CPQ access to more service for customers, give them a greater customer base and (maybe) good deals with Intel. CPQ will inherit that settlement of 700,000 Mill. between DEC and Intel worth a final 1.5 billion, if I am not too mistaken, if it goes through. All in all it does not sound too bad. But like I said, I am not crazy about the short term effect. I don't need another big investment go down while it goes through all the transitions. But I guess that are the breaks. CPQ already said they will be in the market for more acquisitions. Hopefully it will make me plenty of money along with Intel before I leave this world. gg. I am wondering a bit how this will work out, having DEC as a subsidiary. What do you think about it since we last talked about it? Do you own CPQ? Sonny