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Technology Stocks : TLAB info? -- Ignore unavailable to you. Want to Upgrade?

To: Wowzer who wrote (2994)	8/14/1998 3:11:00 PM
From: Jon Cave	Respond to of 7342

I think there was some kind of penalty like 800 millions dollars if the deal was called off by CIENA. In otherwords, I think that TLAB had the penalty included in the deal to prevent other companies form making a counter offer for CIENA. But, I am not sure if that penalty would apply to TLAB if they backed out of the deal. I am recalling all of this from memory.

To: Wowzer who wrote (2994)	8/14/1998 9:48:00 PM
From: Miguel Octavio	Read Replies (2) \| Respond to of 7342

I dont think Tellabs bought CIENA thinking of short term earnings. It is a strategic move thinking longterm and optical communications. Thus, a few cents per share more or less per quarter should not be relevant. As to renegotiating the deal, the spread between the two stocks is less today than the day they announced the merger, so what is different? Miguel Octavio