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

To: jwk who wrote (45771)	1/27/1998 12:35:00 AM
From: slipnsip	Respond to of 58324

Another thought I had on KE...... He has been heavily praised by many of SI and Fool board posters. He has been likend to a "God". As is human nature, it would be difficult not to start believing your own press. KE has always sounded very confident almost cocky. The few analysts that follow this stock have always had big congratulations for him before they asked any questions on the conference call. Now he is on the defensive. KE sounded flustered. His over pouring confidence was not there as it was in previous calls. The analysts didn't offer praise. Having spoken to a buyer of IOM products for a large retail chain, the cocky attitude must cascade down from KE throughout the ranks. This buyer said he didn't appreciate the way he is treated and said "I don't care for them much". Not a good way to handle your channel if you ask me. IOM might not always be in a such a fortunate product position. Now on to my next thought... If KE gets knocked down a peg or two, he might start to second guess his own ability to manage IOM's growth and his ability to increase shareholder value. He has no experience with a firm of this magnitude. Possibly he will begin to give more thought to improving shareholder equity. We have had great leaps of growth in earnings and sales, but not much to say in the area of shareholder value in the last 22 months. Now we have a 100mm plus marketing campaign to help create brand identity. IOM allready has strong brand identity and acceptance. This in itself has value above and beyond the current or future products. Wait till the advertising is done! KE will want to be a hero. Right now he is a dog. You have to believe there are many suiters out there that would snap IOM up at 150% of todays closing price. If KE were to sell, he would still be the hero. He has delievered increases in sales and earnings beautifully and given IOM tremendous credability as a going concern, but shareholder value? I certainly do not want to start any rumors or get any false hopes of a buyout, but this valuation is somewhat ridiculous in my opinion. Frankly, I don't really want IOM to be bought, but a 50% plus overnight capital infusion would certainly make me feel better about my recent losses.