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Technology Stocks : HS - CHS Electronics -- Ignore unavailable to you. Want to Upgrade?

To: Phil Jacobson who wrote (892)	11/6/1998 6:43:00 PM
From: Mark Marcellus	Read Replies (1) \| Respond to of 1494

<<I've seen a lot of interviews on Squawk and this was right up there as one of the three worst IMO. Would like to hear from someone else who saw it>> Phil - Just to be clear, I agree with you 100% about the interview. I don't know if you were watching earlier, but in his time slot Herb Greenberg mentioned that Osorio had been ducking him for months. Greenberg was surprised that Osorio was willing to subject himself to a Mark Haines grilling (IMO, Osorio didn't know what he was letting himself in for). The guy on with Greenberg speculated that he was doing it because he needed financing and had to start getting some attention from the Street. Greenberg is a buffoon, and his opinion of this company means nothing. However, the fact that he mentioned it in his piece means that the company is already receiving a high level of attention from the shorting community. FWIW, Mark

To: Phil Jacobson who wrote (892)	11/7/1998 10:13:00 AM
From: Gregory Cole Brock	Read Replies (1) \| Respond to of 1494

Phil, "Up over a $1 sofar on good volume I guess many liked the interview" "Yeah, it's up, so are a lot of stocks." Up with 1.3 million in volume is a positive stmt. The people in the know about this stock saw it as very positive due to CNBC's adversarial position. Haines and CNBC took a tough stance towards Orsorio because one of their frequent guests is Herb Greenberg, and Herb has been against HS for almost a year. Herb is about to loose major credibility because of this position and CNBC will look bad for using him. Herb has been very deceiving in his analysis. He even said once in a chat room that they were cooking the books. But later when the chat session was published he removed the remark. He has also stated that if it weren't for currency gains HS would miss their numbers, but if you do the math and consider taxes you will see he was wrong (couple qtrs back). I have studied Orsorio and this company for over 2 years and have found them to be a true winner. I have a long position from February at a cost average of over 17. Orsorio has always truthful and if you compare what IM said about Europe this qtr with HS's performance, you will come to only one conclusion. That they are kicking ass and will dominate outside of the US. If you take the time to look at the numbers then you will see fair value in the 40's. So why don't you go short and then I'll sell you my stock in the 40's next year. Greg

To: Phil Jacobson who wrote (892)	11/8/1998 12:32:00 AM
From: Ginco	Read Replies (1) \| Respond to of 1494

Chs Electronics Inc. Dow Jones Newswires -- November 6, 1998 CHS Electronics CEO: Growth Opportunities Greater Abroad NEW YORK (Dow Jones)--A smaller percentage of personal-computer ownership per capita in foreign markets presents greater opportunities for growth than the U.S. market, according to CHS Electronics Inc. (HS) Chairman and Chief Executive Claudio Osorio In an interview with CNBC Friday, Osorio explained that the PC penetration rate per capita outside the U.S. is at about 10% compared with a penetration level of 45% to 46% in the U.S. "There is a long way from 10% all the way to the 45% to 46% growth in the U.S.," Osorio said. "The growth in the U.S. can never match the opportunity we have outside the U.S." The executive noted that there are fewer personal computers per household abroad because of a lack of disposable income. Also, he added that in emerging markets, there is a lack of automation and investments in information technology usually take a back seat to other purchases. "These markets have about 1/4 the PC penetration rate there is in the U.S. The low PC prices, or the prices coming down on PCs, actually grows or makes the universe of potential buyers a lot bigger," Osorio added. Osorio said revenue growth in Europe, whence CHS derives about 75% of its revenue, currently is "quite strong." He added that margins in Russia have "increased sharply" in the last three months. The executive refuted comments by analysts that CHS won't be able to continue to fund its expansion plans until credit markets calm down. "We are continuing with our process of acquisitions, but we believe, at least in the European market, we have completed most of the significant acquisitions that we wanted to make," he said.

To: Phil Jacobson who wrote (892)	11/16/1998 9:10:00 PM
From: Ginco	Respond to of 1494

Monday November 16, 8:12 pm Eastern Time Company Press Release Direct Sales Strategy Not Likely to be a Winner for Compaq, Predicts Channel Advocate SANTA ANA, Calif.--(BUSINESS WIRE)--Nov. 16, 1998--The recent move by Compaq Computer toward a direct sales strategy is a misguided reaction to market forces, said David R. Dukes, chairman of the Global Technology Distribution Council (GTDC). Established in 1998, the GTDC's members include market share leaders in information technology (IT) distribution from around the world. Among one of the most important objectives of the council is to give voice to key industry issues, such as establishing standards in electronic commerce, while also being a powerful advocate of the IT channel and the value it adds for customers. According to Dukes, an 18-year veteran of the IT industry, the new Compaq strategy to sell a portion of its products directly to customers rather than through distributors and resellers may pay some dividends in the short term. ''But, within the year, it could cost them significant loss of market share, as they experience the difficulty of competing with their resellers,'' he said. Compaq is embarking on a strategy that is not cost effective and one from which other vendors ultimately have backed away, Dukes said. ''Their new strategy apparently fails to recognize several important factors, including the powerful relationships which resellers have with their customers (the ability to influence brand preference), as well as the importance of third-party products offered by resellers and distributors, which are critical to providing customers a complete solution. ''It is surprising that Compaq seems to have forgotten what drove them to No. 1 market share -- the blend of their great products complemented by their unwavering commitment to the channel,'' Dukes said. According to Dukes, the question now becomes who will benefit from Compaq's new strategy. ''Will Hewlett Packard, IBM and other vendors implement programs to strengthen their commitment to the channel? Or will they follow Compaq's move? Should they do so, the current momentum of channel assembly and white boxes will become an absolute tidal wave as market share begins to shift dramatically,'' Dukes said. The current members of the GTDC include: Actebis, Gates/Arrow Distributing, a subsidiary of Arrow Electronics Inc. [NYSE:ARW - news], CHS Electronics Inc. [NYSE:HS - news], Computer 2000 AG, Electronic Resources Ltd., Ingram Micro Inc. [NYSE:IM - news], Merisel Inc. [Nasdaq:MSEL - news], Pinacor, Scribona, Siltek Distribution Dynamics, Softbank Corp., Synnex Information Technologies, Tech Data Corp. [Nasdaq:TECD - news] and Tech Pacific Holdings Ltd. In addition to being an industry advocate, another major goal of the GTDC is to enable and drive the adoption of open and common business processes across the global information technology supply chain, while also creating understandable industry performance benchmarks on the entire supply chain. As a first step, the GTDC has sponsored an independent, self- funded, non-profit global consortium called RosettaNet, which is creating common business interfaces, including content and transaction rules and a vocabulary for companies that buy and sell IT related products. Since early 1998, RosettaNet has attracted the support of 40 leading companies, including manufacturers, software vendors, resellers, distributors and bankers from every part of the technology industry supply chain.