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 : Verity (VRTY) -- Ignore unavailable to you. Want to Upgrade?

To: LTK007 who wrote (722)	4/20/1998 5:53:00 PM
From: Michael Pascoe	Read Replies (1) \| Respond to of 1011

I would be very surprised to find that Lotus did not immediately commence a risk mitigation strategy of building in other engine compatability on the day the litigation was announced (or well before). Switching engines is not as big a wrench as you might think, just inconvenient and something everyone would rather not have to do. Lets face it, Lotus knows as well as anybody else, that VRTY is headed for acquisition. If IBM is not the buyer then they would probably have to switch engines anyway. Any Program Manager who did not have engine switch down as a risk mitigation would be insane unless he knew he was going to buying the company. Michael

To: LTK007 who wrote (722)	4/20/1998 6:23:00 PM
From: Adam Smith	Read Replies (2) \| Respond to of 1011

I agree that it would be too expensive for Lotus to rip out Verity. That's why VRTY has negotiating leverage. I think they'll be able to get a much better contract than they have now but not before alot of saber rattling by IBM/Lotus. The timing here will be interesting. Do they wait till beginning of next year to renegotiate and wipe out the past losses or do they do it right away. Since End of year is now May 31st anything lots can happen over next two months. Sbona has alot of guts for taking them on. That's why I like the stock. Will buy on any dips/fear thrown into situation by IBM/Lotus. Remember what happened on Citrix/MSFT deal. Good Luck Adam