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

To: John Carragher who wrote (3086)	8/16/1998 3:27:00 PM
From: John Carragher	Read Replies (1) \| Respond to of 7342

I sent an email to tlab investor relations asking they stop by with comment or reply to article in some manner. I will post if they reply via email.. John

To: John Carragher who wrote (3086)	8/16/1998 3:44:00 PM
From: Gary Korn	Read Replies (1) \| Respond to of 7342

John, I'm listening to the cc yet again. More observations: 1. It almost sounds as if Birck wanted CIEN to cut prices to maintain a large existing customer, even if it did hurt gross margin. I bet Birck participated in the decision. 2. Half of me thinks Birck wanted this bad CIEN information to be disseminated before the merger, with as much allocated to the first 2 months as possible, so that, post-merger, the combined company can look better. Birck said: "Okay Mike, the, first of all, with regard to Q3 and Q4, understand the, the numbers that were reported here won't get included in our Q3 and Q4, except for the July portion of them. July was the strongest month in the bunch. 3. With respect to the dilution referenced in the NYTimes article. Birck already stated, in the conference call, that the originally expected 4-8 cents dilution (same as that mentioned by NYTimes) would occur (so I see no need for any further remarks from him): "And then, when Pat and his sales folks get together with our people and go over what the rest of the year looks like, both in terms of revenue and margin, and we combine the numbers they come up with with our own expectations, we think that we are gonna be within the range that had been presented to you, I think when we announced this thing, which was something on the order of 2 to 4 cents dilution in each of the 2 quarters of this year. It looks like that, you know, is still an operative statement. Our business continues to be pretty strong, but I think you can't just extrapolate from, from what happened to Ciena in this fiscal 3Q and, and say that's going to be the pattern for the rest of the year. They don't expect that, we don't expect that. And so, and there is some good reasons for not expecting that to be the case. So it isn't just us. I mean they are going to be pulling their weight here. 4. On the Peter Guliami issue, Birck said: "I might also mention, I know that many of you know Peter Guliami and are probably wondering how he is doing. And he is doing as well as can be expected when you are going through what he is going through. And I have no reason to believe that he is not gonna be back here handling a lot of this stuff in the next 6 weeks to 2 months, but in that interim he's not gonna be. We'll keep people posted from time to time on that situation." [Clearly, people who know Guliami would know if that was bullshit or not. I think it was not, and that the poor guy is not doing well.] 5. Bottom line, again, after listening to Birck in the cc, I say that this deal happens. I'm sure he is telling fund managers that TLAB needs CIEN for its long-term strategic plan, to fight off LU and others, and that the fund managers should give him the benefit of the doubt on this one. Gary Korn