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Technology Stocks : Adaptec (ADPT) -- Ignore unavailable to you. Want to Upgrade?

To: Starowl who wrote (3677)	9/16/1998 9:26:00 AM
From: Investor2	Read Replies (1) \| Respond to of 5944

What time is the conference call? Thanks, I2

To: Starowl who wrote (3677)	9/16/1998 9:55:00 AM
From: Jim Switz	Read Replies (1) \| Respond to of 5944

Re: "Declining sales and declining profits have several causes. Other technology is one. Glut is another." True enough, but I keep coming back to QLGC, a significant competitor to ADPT, which has all year continued to grow both revenue and earnings. They're still much smaller, but growing (33% last quarter over prior year), while ADPT has this year been shrinking. I want management to resolve this question. From my report on the shareholder's meeting: "Boucher said that ADPT had become a "little bit defocused" and allowed QLGC to grow faster (when, in fact, ADPT was shrinking) but from a smaller base. ADPT can do it too. He seemed acutely embarrassed having to address this issue, and I can see why: ADPT has been blaming the poor results this year on a shrinking market due to cyclical decline, yet a significant competitor seems to be growing nicely in very similar markets." I consider this an important question; if the market is contracting, why is there room for a competitor to grow significantly? Maybe the new/interim mgmt. is onto something.