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Technology Stocks : ACTM $100 Million Cable Modem Contract with MOT -- Ignore unavailable to you. Want to Upgrade?

To: Rob Preuss who wrote (565)	3/5/1998 5:57:00 PM
From: jeffbas	Read Replies (2) \| Respond to of 1250

And as I said privately to someone else I think it took real balls for the company to issue what amounts to a one line statement (if you ignore all the boiler plate) that the suit has no merit. Their original announcement was so ambiguous and their references to inventory shortfall, possibly (probably?) uninsurable, possibly wiping out the year's earnings so relatively ambiguous and ominous (without further detail), that I can't blame any ambulance chasing lawyers. It is hard to believe there is no fire when the company blew so much smoke in our faces with the original announcement - and Greenlaw is not permitted to say a word! A "simple theft" would have been announced as such. An "inventory writedown" in the tech industry due to price depreciation or obsolescence is so routine as to almost get no notice. This is an "inventory shortfall" that an edgy CFO can't say a word about!? I sold out because I thought that based on earnings (not takeover potential) the stock was fairly valued at around $12, with possibly large downside risks that I could only speculate about. Another way of looking at it is whether this company is a better company than when it came public a while ago (1995?) at $12. It has more plant and equipment, a similar customer base, a probably weaker balance sheet, legal problems, a mgmt whose inadequacies are now known, a higher sales breakeven level, a regional strategy which they are trying to fix but is now known to be inferior, etc. I think it is roughly even with when they went public.