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Technology Stocks : PairGain Technologies -- Ignore unavailable to you. Want to Upgrade?

To: margin_man who wrote (25989)	9/5/1998 2:59:00 AM
From: Rainmaker	Read Replies (1) \| Respond to of 36349

Patriot, I understand your frustration as well as all the others on this board who are LONG on PAIR (include me in this lot). The dramatic share price plummet we've faced has made us all nervous investors! RE the PAIR folks selling shares (I assume reference is to the SEC filings), this is normal. Look at the history (years worth) and you will see regular "cash outs" by senior management who are exercising their stock options (right or wrong, separate argument surrounding ALL of Corporate America). Because their compensation includes stock options, to increase their take-home pay, they are merely doing what the Board and the shareholders have approved them to do. Otherwise, their stock options expire and they lose out on some of their "earnings". Please note that they are affected tremendously by the devaluation. It just doesn't make sense that they would want to see the stock price drop when they exercise their options at a fixed price? Remember, their stock options are very different from what we buy from the CBOE - no strike prices, just a fixed premium. I encourage you to hold on to your shares of PAIR if you can (i.e. no margin call). The stock price will go up when the irrational market realizes the absolute value this current valuation represents. Good luck.