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Technology Stocks : PROGRAMMER'S PARADISE (PROG) -- Ignore unavailable to you. Want to Upgrade?

To: KellyW who wrote (20)	1/9/1999 10:51:00 AM
From: Zeev Hed	Respond to of 2383

Kelly, the cash burning was a one time even, reduction in $10 MM accounts payable to MSFT. As I mentioned, they do need to improve collection. On the other hand, I like their inventory situation, they ended September with only $5 MM in inventories, this on quarterly sales of $54 MM, this is a tour de force in running the cash situation of the company. As I stated, as web site sales become a greater part of the total, their receivable should come down. We may actually see a situation where they may be throwing more cash in then they are making profits, since I truly believe that their receivable could easily be brought down to 33% of quarterly sales (30 DOS, now about $24 MM). Zeev