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To: t36 who wrote (225)	3/9/1998 5:31:00 AM
From: zebraspot	Respond to of 3873

Sue, I'm sorry I sold QWST because IT WENT UP! I sold QWST because I felt it was too expensive and overloved. Also, it may be taken over at a price pretty close to its current one (like the recent Teleport deal) - so, upside versus downside risk is not favorable. Recall in the bad market a few months ago: QWST came down pretty hard - and, as a super-high P/E stock, will again, if the market tanks. I see 10 points upside and maybe 20 points downside. Would I own both KIWT and QWST? At the right price for QWST - sure. Both of these businesses should do well. As you know, the pie is expanding dramatically. On RCNC: I sold this soon after the spin-off from CTEC last year. They have an interesting business opportunity, but are going to be be needing lots and lots of capital for years to come, and, sooner or later, they will have lots of competition. They only offer about a 10% discount on their "bundle", not much of a competitive advantage, and the profits are years away. McCourt is good, but he's no Jim Crowe in terms of track record. They remind me of Internet Providers that don't own their own backbones - "renters" that will eventually be easily squeezed when they have to compete with the companies that own. They seem to think that if they get there first with the bundle, that will win the day. I dunno - how much loyalty will there be in these essentially commodity businesses - , particularly after they educate their customers to be price sensitive?