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Technology Stocks : Microchip technology (MCHP) -- Ignore unavailable to you. Want to Upgrade?

To: Len Giammetta who wrote (332)	10/21/1998 8:52:00 AM
From: Taro	Read Replies (1) \| Respond to of 475

Hi Len, short term a mistake but long term?... Just heard that since last year Sanghi did some creative thinking and changed the commissions from POS based to FOB factory sales. Furthermore Microchip is known for serving a major part of the sales through distribution at quite generous mark-ups. I did some calculations myself based on 5% commissions and a 20% distribution mark-up and could hardly believe my math. Where is the flaw if any? In the short-term quite good for the balance sheet if not necessarily for the futures.