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Technology Stocks : THREE FIVE SYSTEM (TFS) - up from here? -- Ignore unavailable to you. Want to Upgrade?

To: raefon who wrote (1649)	6/3/1998 2:49:00 PM
From: Franklin M. Humphreys	Read Replies (1) \| Respond to of 3247

>>>>My previous post suggests I was a seller of size in the $30's and $40's. My position was reestablished in months just before the MOT debacle. I have continued to accumulate over the last couple of years.<<<< You say you reestablished prior to the "debacle", and since the stock hasn't traded this low subsequent to the "debacle" one is forced to the conclusion that you are upside-down in a bunch of TFS at todays prices. Surely a more intelligent person can turn this "unsophisticated" reasoning around to make it look like something else. Frank

To: raefon who wrote (1649)	6/3/1998 3:13:00 PM
From: Noblesse Oblige	Read Replies (3) \| Respond to of 3247

To the "thread," TFS has announced that its new China facility has produced LCD's in pre-production volumes. In addition, the company indicates that it has two lines set up, one fully ready to initiate production, and the second to be ready near the end of June. The test run was completed within 90 days of initial production equipment being delivered to the facility. Now...for all of those out there trying to put a harshly negative view on current circumstances, will someone please be kind enough to explain to me why TFS felt compelled to get this facility up and running within 90 days of equipment deliveries (at a pre-opening cost approximating $ 1 million, soon to be charged to the second quarter numbers) if it wasn't absolutely clear that the capacity would be needed in a hurry? Interestingly enough, I have seen questions and speculation here (and other places) on potential MOT restructurings throughout the balance of the year. Although this may have some impact on MOT's overall status, best guess is that the company already reorganized its LCD purchasing operations earlier this year. After all, it is generally known that TFS is on "allocated" status for LCD deliveries to the telecommunications firm, and that the company participates now in all MOT business. (That was a very effective way for TFS to assure itself that it would never have another near death experience with MOT as was the case in early 1996. After all, cancellation of one or two programs virtually guarantees that MOT will have to pick up the production slack in other products, or it will be abandoning market share to its competitors. Thus, the "1996 risk" has been largely ameliorated.) That "allocated" status comes from a centralized MOT ordering team that makes certain that LCD deliveries are evenly distributed around the organization. So, the folks over at MOT that would have most direct impact on TFS...the component buyers...already have been centralized. Thus, the "fears" associated with changes in MOT's means of operating are probably considerably overblown. Anyway, kudos to TFS for announcing the opening in China and the first successful product manufacturing. Although this may not seem important to some readers or shareholders, I think that all corporate events have relevance to equity pricing and understanding, and believe that a steady stream of such communications will build confidence in the company's owners. Have a good day.