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To: Bald Eagle who wrote (14027)1/5/1999 9:10:00 AM
From: REW  Read Replies (1) | Respond to of 44908
 
CCI can be compared to the athlete who trains for the continuing competitions of his career. The goal is always to win but the initial striving force is to overtake those who are not the best and become one of the contenders. Once the strong contender status is achieved the media begins to acknowledge the steps taken to strive for improvement to the point of equality or leadership.

Watch out AMZN, TSIG is in training.



To: Bald Eagle who wrote (14027)1/5/1999 9:31:00 AM
From: ztect  Read Replies (1) | Respond to of 44908
 
Baldy:

My understanding is that AMZN has been spending its potential earnings on expansion and advertising to further establish its market presence and leading brand name status. Consequently, a better barometer of AMZN's success may be cash flow and revenues rather than earnings.

AMZN's approach also puts into question what TSIG should do with earnings from their CCI division. If TSIG uses these earnings for expansion through development or acquisition into the other "card" divisions, earning projections that most of us anticipate will not be as great as we anticipate.

This would be a good question for REW to ask Gordon. Namely, how is expansion into the other divisions going to occur?

z



To: Bald Eagle who wrote (14027)1/5/1999 10:48:00 AM
From: cicak  Read Replies (3) | Respond to of 44908
 
Hi Bald Eagle - interesting article about AMZN today:

Regards,

Phil

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Amazon.com Says Its Sales Surged,
But It Doesn't See a Narrower Loss

An INTERACTIVE JOURNAL News Roundup

Amazon.com Inc. said its sales surged to $250 million in the fourth quarter, nearly four times the level it reported a year earlier, but the online bookseller said it doesn't expect the stronger sales to translate into a stronger bottom line.

The Seattle company, considered a bellwether in Internet retailing, blamed the lack of improvement at the bottom line on aggressive price cutting and the large role that music and video sales played in the quarter's overall sales tally. Those products offer slim profit margins.

Higher expenses incurred on fulfillment -- the process of getting ordered products into the hands of customers -- also hampered its ability to move toward profitability. Amazon said it made an "all-out push" to fill customers' orders as its business surged during the holiday period.

The company didn't make a specific projection for its losses. In the year-ago quarter, it posted a loss of $9.3 million, or about 20 cents a share as adjusted for a 2-for-1 stock split in June, on sales of $66.1 million. Amazon expects to report its latest fourth-quarter earnings in late January.

In a statement released early Tuesday, Amazon said, "higher seasonal sales will not translate into correspondingly lower net losses in the fourth quarter." Bill Curry, a spokesman for the company, said he couldn't be more specific about the company's expectations for its bottom line, and he wouldn't comment on analysts' projections for the period.

Analysts surveyed by First Call have forecast a loss of about 54 cents a share for the fourth quarter.

Amazon shares skidded in early trading on Tuesday, dropping $9.0625 to
$109.24 on the Nasdaq Stock Market. The company recently declared another split, this time 3 for 1, and its stock price was adjusted to reflect that split beginning on Tuesday.

Amazon said activity was hot during the holiday season -- between Nov. 17 and Dec. 31. During that time, it said it logged 1 million new customers, and shipped more than 7.5 million items. In terms of shipping products, Amazon said it hit a peak of $6 billion on one day.