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Technology Stocks : Oracle Corporation (ORCL) -- Ignore unavailable to you. Want to Upgrade?

To: Neil H who wrote (8789)	11/9/1998 8:03:00 AM
From: Neil H	Respond to of 19080

Oracle COO Lane turning a deaf ear to Siren's song of EDS BY CHRIS NOLAN Mercury News Staff Writer SHAKESPEARE had Hamlet. The Democratic Party had Mario Cuomo. Silicon Valley has Oracle President and COO Ray Lane. It seems whenever there's talk of a large computer-related company needing a CEO, Lane's name springs up. The latest round of rumors has him moving to Electronic Data Systems Corp., the Plano, Texas, consulting company where he once worked. EDS spokesman Reed Byrum declined to comment on the rumors, citing company policy. And, he cautioned, the search is just getting started. For his part, Lane says he's not going anywhere, anytime soon. ''I like where I am. I like what I'm doing,'' he said. He said he has not talked to anyone from EDS or to any headhunters representing the firm. But EDS would be a good place for Lane. One of his main claims to fame at Oracle has been building up the Redwood Shores database and software company's consulting business, helping companies that buy Oracle products use them more efficiently. ''You can take for granted EDS is going after him hot and heavy,'' said an official at an Oracle competitor. The business Lane has built at Oracle is the business EDS is doing. Even Lane concedes he's a logical candidate. Plenty of people watching Oracle wouldn't be surprised to see Lane leave. What would surprise them, they say, is if Oracle CEO Larry Ellison let Lane leave. Lane negotiated a lucrative deal with Oracle last year after he was offered the CEO job at Novell Inc. He's not just doing well financially. He's doing fabulously well financially, mostly from options to purchase Oracle stock, which Lane clearly wants to keep. ''My options don't fully vest for the next 4 1/2 years,'' he said. If Oracle's stock goes up, those options, particularly a large grant made in January 1997, become more valuable. Lane's friends say he does not think the Texas company would be able to match Oracle's offer. However, because Lane's vesting is staged, he could cash in on some options long before the full package is available. Wall Street wouldn't take it well if Lane left Oracle. The street considers Lane's management level-headed and profitable. ''Larry's a billionaire because of Ray,'' said the Oracle competitor. But, others note, Ellison's already met one of Lane's offers. Will he do it again? ''Larry is not without options,'' said an Oracle observer. There may be some good reasons for Lane to move on. First, almost no one watching Oracle believes that Ellison will leave the CEO's job anytime soon. And that leaves Lane with a dilemma. ''He's too young to retire and he's never been CEO,'' said a money manager, who has invested in Oracle stock. Besides, working for Ellison is by all accounts, not easy. ''It's kind of a mystery to me why he keeps doing it,'' said the official at the Oracle competitor. ''He's got all the money he needs. He's expecting a kid. Why would you want to do that?'' Why indeed? Because he's happy with the arrangement he and Ellison have made. ''I am not a CEO. I've been approached a lot to be a CEO. I've said no for six years now,'' Lane said. Lane and Ellison have an agreement to share different responsibility for running the company, one that Lane likes and that suits his lifestyle right now. ''I'm not sitting here waiting for him to die,'' Lane said of Ellison. ''That has never been part of my plan.'' Regards Neil