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Technology Stocks : THREE FIVE SYSTEM (TFS) - up from here? -- Ignore unavailable to you. Want to Upgrade?

To: Noblesse Oblige who wrote (2292)	8/23/1998 8:27:00 PM
From: raefon	Read Replies (2) \| Respond to of 3247

To the thread, I wish I had your writing skills Noblesse, they are a gift. I have so many thoughts on this debacle it would take days to convey them, so I won't burden you all... Noblesse and Floyd, congrats on the all-star posts. Amongst the best ever on this thread. Two follow ups to Floyd and Noblesse. 1) Floyd The company did indeed speak of lower margins on the Q2 call but they were to come as a consequence of under absorption of materials and the new Chinese facilities. How bizarre to note that now that the materials inventory is at the highest levels I can recall, the company will now try to take advantage of the Asian problems by reducing materials costs...maybe a little late guys?? 2) Noblesse There is upside to your numbers. If Q4 is at a $30MM plus run rate,(okay or even close..) any new business the company is able to land would be incremental to your numbers. If the MOT phones do better than expected, there is upside. If we get another major cell phone order, there is upside. If any major Cell companies elect to integrate the Optiscape product early, there is upside(plus LCiD,LCaD, you get the point). Your comments with respect to dissemination of news and the stock buyback are right on. The company blew this one badly. I almost think maybe they don't really mind if some of the larger shareholders blow up here....call me a cynic. I sold only a very small amount of stock for three accounts who could take no more. I bought stock for myself and my wife. I plan to be here a long time. I will get paid. I will continue to pressure management as best as I know how. I have only just begun to fight... I am very disappointed with top management of this company. I will try to enumerate the reasons. 1)They have had delays and pushouts for several consecutive quarters. They let expectations get out of control. A good CFO would not have allowed this to happen. 2)They have been unsuccessful in finding customers for their new technologies. The low margin LCD business should be a springboard to other opportunities. The company has not capitalized. They have over promised and under delivered. The primary reason has likely been sales turnover in the management positions. Top management deserves the blame for this. 3) They have been awful at growing any following from both buy side and sell side. They have been awful at communicating with individual shareholders. IR needs to be completely revamped. 4) They have allowed the same problem to hurt them TWICE. Had this company been successful in diversifying their technology or customer base, this problem would have not been nearly as severe. Someone needs to step up and take responsibility and clearly define the steps to mitigate future problems. 5) The company must consider a sale of this business. See 1-4. While my clients and I are very disappointed, if I did not own this stock in the size I do, I would be loading the boat here. Unfortunately both my ammunition and credibility are suffering at this point. I like the folks who run this business as "people". I am concerned about the capabilities these folks have as managers at this point. They have shown they have many warts. They have made some very bad decisions. They have lost their credibility. Let us hope they all look themselves in the mirrors and call a spade a spade. Let us hope they run this business like a business. This company should never have been public. At the right price I would be more than happy to let them have mine.... Hang in there the stock is up from here.