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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: Loki who wrote (16250)	2/2/1998 8:22:00 PM
From: John Biddle	Read Replies (3) \| Respond to of 97611

Many have expressed the idea that CPQ will quickly unload DEC's PC division. How about the idea of using CPQ's expertise to get the cost down and efficiency up, and use DEC's name (remember they will remain a fully owned subsidiary of CPQ, keeping name) as a way to sell direct without channel conflict? Seems like a great idea to me. Customers can buy the way they want and parent CPQ makes all the money. DEC also has plenty of manufacturing capability which CPQ is in need of right now, right? Anyone think this makes sense?

To: Loki who wrote (16250)	2/2/1998 9:30:00 PM
From: hpeace	Read Replies (2) \| Respond to of 97611

loki, the DEC deal will be accretive in 1998. it will not dilute earnings in 1998. it will raise earnings too... there will be a huge one time charge but the analyst will diregard that one time charge. My proof of this is all the one timers that the street disregarded by cpq in the past. cpq likes to plan ahead add up all the future write offs and to it all at once bec. the street tends to separate and not penalize when it's down that way. who knows you could get a 500 million one timer<gggggg>