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Technology Stocks : Newbridge Networks -- Ignore unavailable to you. Want to Upgrade?

To: Doug who wrote (7020)	10/15/1998 4:10:00 PM
From: zbyslaw owczarczyk	Read Replies (1) \| Respond to of 18016

Doug, even before rate cut announcment NN on TSE approached 3X of average volume !

To: Doug who wrote (7020)	10/15/1998 8:41:00 PM
From: pat mudge	Read Replies (1) \| Respond to of 18016

Doug -- I hope you're celebrating your prescience this afternoon. A couple earnings announcements that bode well for networking: <<< The Wall Street Journal Interactive Edition -- October 15, 1998 SBC, Ameritech Post Strong Profits, Lifted by Demand for Data Services Dow Jones Newswires NEW YORK -- Would-be merger partners SBC Communications Inc. and Ameritech Corp., citing continued demand for data services and strong growth in add-on services, on Thursday reported double-digit earnings gains for the third quarter. San Antonio-based SBC posted net income of $988 million, or 53 cents a share, up 20% from a year-ago $826 million, or 45 cents a share; the results were on target with expectations of analysts surveyed by First Call. Net income for the latest period didn't include after-tax gains of $219 million, or 12 cents a share, for sales of noncore businesses. Including the gains, SBC's net income would have been $1.2 billion, or 65 cents a share. The year-ago quarter excluded expenses tied to SBC's merger with Pacific Telesis Group. After items, SBC would have earned $816 million, or 44 cents a share, in that period. Revenue rose 7.1% to $6.78 billion from $6.33 billion. SBC said its results were helped by strong growth among its services divisions. Earnings at the Southwestern Bell unit, meanwhile, rose 6.6% from a year ago, while earnings at its Pacific Bell unit soared 37.3%. Ameritech said its net income was $645 million, or 58 cents a share, also matching analysts' estimates. In the year-ago period, the company posted net income of $613 million, or 56 cents a share, after a $37 million gain from the sale of its interest in Sky Network Television of New Zealand. Revenue for the Chicago-based phone company rose 7.1% to $4.29 billion from $4.01 billion. As in the previous quarters this year, both Bells credited the exploding growth for data services as a key earnings driver. SBC and Ameritech announced plans to merge in May in what was then valued as a $56 billion deal. If the merger receives all the necessary approvals, it would create a local-service behemoth with more than $40 billion in revenue and control over roughly one-third of the U.S.'s 178 million telephone lines, making it the nation's largest local-phone company. SBC's plan to buy Ameritech highlights concerns that the trend of telecom mergers goes against the intentions of the 1996 telecommunications law, which deregulated the phone industry in the name of boosting competition and giving consumers more choices. The deal would leave standing only four of the original seven Baby Bells -- Bell Atlantic Corp., BellSouth Corp., SBC and U S West Communications Group Inc. -- that resulted from the 1984 breakup of AT&T Corp. The combined SBC-Ameritech would span 13 states, including much of the Midwest, Texas and California, and would control half of the nation's business-phone lines and a third of residential lines. Separately, Southern New England Telecommunications Co., which SBC is acquiring in an unrelated $4.4 billion deal, Thursday posted an 11% third-quarter profit despite slightly weaker revenue and a 26-day labor strike that cost it about $8 million. The company, known as SNET, reported net income of $54.5 million, or 79 cents a diluted share, about in line with analysts' estimates. SNET said the strike costs were partly offset by a $6 million gain from a change in accounting. A year ago, SNET earned $49.1 million, or 74 cents a share. Revenue dipped about 1% from the year-ago level to $504.3 million. SNET is Connecticut's main provider of local telephone service and controls about 30% of the long-distance market in the state. >>>>