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Technology Stocks : FORE Inc. -- Ignore unavailable to you. Want to Upgrade?

To: Elmer Flugum who wrote (9014)	8/25/1998 9:20:00 PM
From: VegasMan	Read Replies (1) \| Respond to of 12559

More on the acquisition from Rueters FORE Systems sees charge from acquisition PITTSBURGH, Aug 25 (Reuters) - FORE Systems Inc. said Tuesday it would take a second quarter charge of $1.80 to $2.20 in connection with its acquisition of Berkeley Networks, a deal worth up to $250 million. FORE said in a statement it also would establish a $0.05 per share reserve related to the acquisition. Berkeley Networks is a privately-held developer of a new generation of multi-gigabit switching and routing solutions. FORE said it will issue approximately 8.48 million shares in exchange for the outstanding shares of Berkeley Networks, and will grant options to acquire about 607,000 shares to Berkeley Networks option holders. FORE also will pay the equity holders of Berkeley Networks up to an additional $30 million in cash if certain product development and revenue milestones are achieved. Based on FORE's closing price Tuesday, the transaction will be worth about $250 million if the milestones are achieved. The acquisition will be accounted for as a purchase for financial reporting purposes. VM