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Non-Tech : Any info about Iomega (IOM)? -- Ignore unavailable to you. Want to Upgrade?

To: slipnsip who wrote (56454)	6/18/1998 7:22:00 PM
From: Bill Lin	Respond to of 58324

The charges and lay offs should have happened last quarter. But I guess Sierk had no time to evaluate the personnel. But I still don't like the slow way they are going about doing this. I believe that they waited until 2nd month numbers came in, and then they discussed it for a week, and now they are making the move. They should do their employees and themselves a favor and move quickly. With full employment in the tech industry, these people should be able to find jobs within 3 months. As for Gary's comment on the banks balking on loan covenant violations, anything is for sale as long as the interest rates reflect the risks. So instead of prime rate, maybe they will pay prime plus 2%. IOM is still doing what they should do...transition to a lower gross margin model. Improve their inventory turns (force their suppliers to hold the inventory), and cut overhead. 700 although painful, is not enough. Another 700 will go before the year is out. Wait until the Q3 preannouncement. BL