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

To: ed who wrote (24185)	4/10/1998 4:17:00 PM
From: robbie	Read Replies (1) \| Respond to of 97611

Am I missing something here? I agree with Satyr. It doesn't cost CPQ any more MONEY no matter how high the stock price goes. They issue $30 and a piece of paper representing a fractional share. CPQ's cost in the piece of paper is .0000001 if the stock price is $25 or $250. The only issue that may factor in is more DEC shareholders might buy CPQ with their $30 if the price is low. Or, they might not. They might sell all their CPQ shares. No one knows how it's going to play out. I think it all hinges on how the stockholders' meeting and conference call go, and how well the merger is explained and the roadmap outlined. I personally think CPQ and DEC shareholders alike will be very excited about future prospects. As for the goodwill, no one will pay any attention as to how it is written off because it doesn't affect cash, sales, market share, margins, or results of operations. Robbie P.S. Ed, please lighten up on Satyr. I disagree with him a lot too but his opinions and observations have been enlightening.

To: ed who wrote (24185)	4/10/1998 5:00:00 PM
From: Greg Jung	Read Replies (1) \| Respond to of 97611

ed, normally I wouldn't interfere between you and Satyr but show me the money CPQ will pay for the shares it gives to DEC. The dollar amount it gives will be only about $18 because DEC already has about $12/share cash. Companies can print their own currency. Take Yahoo as the prime example. Do you suppose, in your wildest imagination, that they will ever be able to produce the $500m or so valuation placed on it by the market. Or suppose Bill Gates said, "I'm worth over 20 billion so today I will get my cash out." Who will pay him? Greg