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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Glenn D. Rudolph who wrote (38617)	2/7/1999 6:06:00 PM
From: KeepItSimple	Read Replies (1) \| Respond to of 164684

Do you think there's a possibility I could convince Covey to moonlight as my accountant? I'm sure she could come up with some interesting "interpretations" for my yearly income that would save me 6 figures on my taxes. First she could start out by declaring all my debts to be assets, and then declare all my assets to be debts. The IRS will probably be confused by such a contradiction, but have no fear- if she can convince the equities markets that black=white regarding Amazon's income, then i'm sure she would be able to pull the wool over anyone trying to audit me. :)

To: Glenn D. Rudolph who wrote (38617)	2/7/1999 6:10:00 PM
From: Bill Harmond	Read Replies (1) \| Respond to of 164684

Amazon wasn't profitable in book sales for q4. Perhaps I posted that incorrectly. Book sales were profitable in December. Her point was that with the current infrastructure costs, when book-sales scaled up to their December peak it pushed the category into the black. Point is the book model works once certain revenue run-rate thresholds are met. Count on organic growth to raise the baseline run-rate to those magical December 1998 levels. That post from Cowan (#10) is right on the money. Covey said that ROIC was their principal gauge, and advised us not to be surprised to see Amazon passing on higher-margin products initially.