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Technology Stocks : CBSI-complete bus. solutions. new y2k play! -- Ignore unavailable to you. Want to Upgrade?

To: Mohan Marette who wrote (450)	11/21/1998 10:28:00 AM
From: Ron Kline	Read Replies (1) \| Respond to of 506

For anyone still left on this thread... BID & ASK: Y2K Stocks for 2000 and Beyond Tom Byrne (11/19/98) This past Wednesday, we were asked on our live Yahoo! chat what we thought of the Year 2000 (Y2K) problem and how investors could play it. Thanks to two analysts at Individual Investor (NASDAQ: INDI), Jim Capozzola and Glenn Curtis, we have a couple of suggestions. But before I get to those ideas, let me first explain exactly what the Y2K problem is. We hear a lot of talk about it, yet very few people understand the nuances of the problem or its ramifications. The Y2K Problem Defined For decades, software programmers used two-digit year formats (i.e., "97" in place of "1997") to expedite programming and reduce expenses. Most of these old applications, also known as "legacy applications," were designed using the assumption that that the first two digits of the annual date were "19" as in 1997; therefore, "00" will be assumed to be "1900," not "2000," under the old set-up. Ironically, a shortcut used by programmers, that was meant to be thrifty when adopted in the 1950s, has created a huge debacle half a century later. To create a simple mainframe software application for tasks such as automating accounting or inventory, computer programmers had to write millions of lines of software code. As a consequence, programming shortcuts such as the use of two digits, ('99) instead of four (1999) to denote the year became increasingly popular. In the 1950-60's, these types of shortcuts helped circumvent another problem: the dearth of data storage space (memory) available on these gargantuan computing machines. The programming community unwittingly created a situation that may now devastate computer systems and companies that are dealing with date-sensitive issues or products. The problem is that '00 will be understood as 1900 not 2000. Many industry behemoths that are dependent on mainframe computing (including Insurers, Banks, and Utilities) are now confronting this date problem. If this problem is not rectified, many computer systems will produce incorrect results after December 31, 1999. Some of these institutions are experiencing the impact today. For example, 30-year mortgages and bond issues maturing after January 2, 1970 will face this problem; moreover, accounting systems and fixed asset registers with amortization schedules of more than five years will be corrupted if they are viable beyond 2000. Ultimately, most of the date fields in the existing legacy applications must be revamped or replaced. Our Picks: Complete Business Solutions & Crystal Systems Two companies that are addressing the Y2K problem and make sound investments are Complete Business Solutions (NASDAQ: CBSI), a company first uncovered by Jim Capozzola after he discovered some insider buying a few months back. Another is Crystal Systems (NASDAQ: CRYSF), a company mentioned on our website a few weeks ago by Glenn Curtis. Both companies are doing a fine job attacking the Y2K problem, but that is not the only reason I like them. They both have staying power, even after the Y2K problem is fixed. Complete Business Solutions and Crystal Systems each have products and services that serve the Information Technology (IT) market that go above and beyond the Y2K problem. Companies that are hanging their hat on the Y2K problem may make a lot of money over the next two to three years, but then what? They will be scrambling to find work. Complete Business Solutions and Crystal Systems planned ahead and are both very sound investments at current prices.