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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Tom D who wrote (6957)	6/21/1998 5:41:00 PM
From: Glenn D. Rudolph	Respond to of 164684

Watch what happens when they report the unexpected magnitude of their losses for Q2 '98. Q2 '98 will be the first quarter in which they spent (and lost) some real money trying to compete with AMZN. AMZN gets to lose $500M in growing their online presences. BKS can either lose money or lose market share. BKS will show a profit in quarter 2 regardless. The traditional stores will offset the loss from the online unit. BKS can do this forever without increasing debt. AMZN cannot. Glenn.

To: Tom D who wrote (6957)	6/21/1998 11:14:00 PM
From: Mike M	Read Replies (1) \| Respond to of 164684

<<Watch what happens when they report the unexpected magnitude of their losses for Q2 '98. Q2 '98 will be the first quarter in which they spent (and lost) some real money trying to compete with AMZN. AMZN gets to lose $500M in growing their online presences.>> If your point is that both companies will undermine each other then I am with you....If you think, somehow, that if the company with "book value" (pun intended) loses $, it is good for AMZN then I think you are kidding yourself.... I believe someday, AMZN will be purchased. But at a significantly lower price than today....a purchase made necessary by an inability to turn available cash into a satisfactory cash flow let alone profit....As the company realizes that, (forcing perhaps yet another offering and the obvious dilution) there will be little willingness to hold onto this dream.... Somebody is likely to have an opportunity to own whatever name recognition AMZN will earn, at a significant discount to current price. Size counts and so does cash flow....neither of which AMZN has..... I wish you well.... Mike