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Technology Stocks : Digital Equipment Corp. (DEC) -- Ignore unavailable to you. Want to Upgrade?

To: Senator949 who wrote (3009)	3/6/1998 12:51:00 PM
From: Tom M	Respond to of 3276

Robin, I think there was a lot of evidence DEC was going to be low 30's for several quarters. The CPQ buyout saved DEC's shareholders IMO. This was my summary after reading the last earnings release and listening to the conference call in January: -In summary, DEC beat this Q's lowered estimates (unless you were going by Zacks), DEC warns they'll be 1/3 short on the next Q3, and says they expect to come in close to the estimates for the year by making it up in Q4 due to "deals" which may or may not close in time for that quarter. (anyone else think it's interesting that the original esitmates for this year were made well before the "deals" even existed yet now the "deals" are counted on to make Q4?) Robin, I was a fan/stockholder of DEC for some time and don't feel the buyout unfair at all. DEC proved over and over again its CEO and board were decades out of touch. Hopefully Compaq sees it can change all that and increase the value of your future converted Compaq shares. If you think Compaq's getting a steal, are you planning on buying Compaq in weakness? I have/am. best of luck whatever you do, Tom

To: Senator949 who wrote (3009)	3/7/1998 1:25:00 PM
From: rich evans	Read Replies (1) \| Respond to of 3276

I basically agree with you that as DeC shareholders we are basically getting our cash back plus future payments of it and other liquid assets. So basically its a stock swap about 1 for 1 of the rest of DEC after returning to us our liquid assets anddiscounting the future payments owed by INTEL etc.A very good deal for CPQ as we discussed at the onset of the deal. They could be getting almost 100/sh in sales andservice for one share of their stock. And if that 100/share in sales was turned profitable to equal other comparable companies like HWP,IBM then CPQ really benefits. So if the deal is going to close doesn't CPQ become the buy? Rich