Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : CRUS, good buy? -- Ignore unavailable to you. Want to Upgrade?

To: john dodson who wrote (4964)	2/3/1998 8:19:00 PM
From: john dodson	Read Replies (1) \| Respond to of 8193

CRUS stuck at $11, while everything else is up bigtime. Maybe the board should buy some of those shares back now! Then again, maybe they know something we don't, and are waiting for the share price to fall so they can buy back cheaper. 1M shares at $11 is a lot more than @ $9. They save $2M doing that. =-} -John Dodson

To: john dodson who wrote (4964)	2/4/1998 8:15:00 AM
From: Bosco	Respond to of 8193

good morning, John & all - John, 1st, a disclaimer, I ve not read in detail the repurchasing plan, but there are different scenarios. It is true that repurchasing can be a form of tax-free dividend, if and only if the repurchased shares are retired to treasury. Otherwise, the outstanding shares remain the same and thus the share holders equities. The next scenario is the lowering of the total shares floating. This will not affect the equity calculation; however, it may enhance the share pricing b/c of supply and demand. Finally, instead of issuing additional shares for ESOP, the co can use the repurchased shares for that purpose. In a way, it is still a good thing for existing share holders since the alternative would be dilution. regards, Bosco