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

To: H James Morris who wrote (10430)	7/15/1998 11:49:00 AM
From: Glenn D. Rudolph	Respond to of 164684

Glen, I posting this from TMF. This Couch is a CPA who's opinions I've come to respect. He's not an Amzn bull, but he is pointing out Amzn's wonderful cash flow, which, to be honest, I had not taken into account when I scrutinized their business model. H, This business model is very misleading regarding cash flow. The inventory is not being maintained by AMZN. It is being maintained by Ingrams and the Talor group. These companies charge AMZN about 8% more for the same book compared to buying in bulk by the publisher. This 8% is compounded monthly. AMZN cannot possibly be profitable when they are paying 8% compounded monthly more for cost of goods sold. Why does the market place not see this? Glenn