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Technology Stocks : INDONESIA'S PT TELECOM(TLK) -- Ignore unavailable to you. Want to Upgrade?

To: tom who wrote (500)	5/7/1998 11:26:00 PM
From: Solon	1 Recommendation Read Replies (1) \| Respond to of 947

Good point about the situs of the "real" value of the company. I am of the view that the significant institutional interest in Telkom (by virtue of its size and privileged statutory status) tends to mitigate in favour of the US price being maintained and the Indonesian price correcting on arbitrage. As you correctly point out, though, the arbs will equilibrate the stock inexactly, due to the costs associated with dealing in two currencies, two markets and two regulatory environments.