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

To: Satyr who wrote (16343)	2/3/1998 1:44:00 PM
From: Mohan Marette	Read Replies (2) \| Respond to of 97611

But Standard & Poors has downgraded Compaq and placed the corporation on it's CreditWatch list. "A sustained decline in profitability and cash flow measures could lead to a downgrade." Oh yeah like they are the purveyors of truth and nothing but the truth. I don't know if you recall these guys along with Moody were predicting 7-8% growth in S.E.Asian countries for 98.When the s&^%t started flying around, they couldn't figure out what hit them.

To: Satyr who wrote (16343)	2/3/1998 2:18:00 PM
From: rag2rag	Respond to of 97611

Hi, <<<But Standard & Poors has downgraded Compaq and placed the corporation on it's CreditWatch list. "A sustained decline in profitability and cash flow measures could lead to a downgrade." >>> S&P is conservative. Notice the word "could" in their reasoning. A credit watch would be used by bond holders more than stock holders. Bonds are more conservative and so I dont see any inconsistency here. JMHO regards, jag-dish

To: Satyr who wrote (16343)	2/3/1998 2:26:00 PM
From: MulhollandDrive	Respond to of 97611

Thanks for the article, a couple of things though, "Now Compaq has purchased what's left of DD: essentially they've bought a sales and support staff. It's a very large sales and support staff, which will be difficult for Compaq to digest>" First let me say that it should be obvious if there is any overlap of staff, there will be some cutting where justified. But to say that CPQ essentially purchased an "employee pool" is ludicrous. I doubt that the author has any insight as to what CPQ's market plan is as it relates to this merger. Second, CPQ wants to get into the high margin systems that IBM has enjoyed for some time now. If the low end pc does indeed become "commoditized", it would appear EP is taking his mandate to maximize shareholder value seriously....bp

To: Satyr who wrote (16343)	2/3/1998 3:14:00 PM
From: Clayton	Respond to of 97611

Satyr, Re: Investor's Business Daily reports that "Compaq Computer Corp.'s plan to buy Digital Equipment Corp. is getting good reviews from most analysts." But Standard & Poors has downgraded Compaq and placed the corporation on it's CreditWatch list. "A sustained decline in profitability and cash flow measures could lead to a downgrade." This is totally ridiculous. CPQ doesn't have any debts, nor do they need any substantial long-term debts in the near future. So who the hell is going to worry about their freaking debt rating. Clayton