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Technology Stocks : EDS - Recent pullback a buy opportunity??? -- Ignore unavailable to you. Want to Upgrade?

To: Daniel Liberty who wrote (1367)	2/11/1999 1:24:00 AM
From: Jolie Renee	Read Replies (1) \| Respond to of 1841

Thursday February 11, 12:08 am Eastern Time EDS to acquire MCI WorldCom unit - sources NEW YORK, Feb 10 (Reuters) - Electronic Data Services Corp. (NYSE:EDS - news), the world's second-largest provider of computer services, is expected to acquire MCI WorldCom Inc.'s (Nasdaq:WCOM - news) Systemhouse unit, which offers computer outsourcing and systems integration, sources said on Wednesday. An announcement is expected as early as Thursday morning. MCI WorldCom declined to comment. EDS could not be immediately reached for comment. As part of the long-awaited deal, MCI WorldCom, the No. 2 U.S. long distance company, will outsource its information technology services to EDS. In exchange, MCI WorldCom will provide communication services for EDS, sources familiar with the situation said. Additional details were not immediately available. The deal mirrors a similar agreement between AT&T Corp., the No. 1 U.S. long distance company, and International Business Machines Corp., the world's largest computer services company, which was announced in December. Under that deal, AT&T agreed to buy IBM's global communications network and the two companies agreed to contract about $9 billion in services to each other. Separately, MCI WorldCom is expected to report fourth-quarter earnings on Thursday.

To: Daniel Liberty who wrote (1367)	2/11/1999 1:30:00 AM
From: Jolie Renee	Respond to of 1841

I can't say I've heard first hand about all of the items mentioned - the one about the reserved parking spots sounds a little harsh. However, he did request that each one of us think of a way to save $1000 this year. That's an attainable goal and when you multiply that by 100,000 employees you get a $100 million. Here's a little more on the Xerox deal: "In the release, EDS announced it filed suit against its Xerox customer today in New York State Court over Xerox's obligation to pay for certain infrastructure services related to laptops and desktops. We are disappointed in having to resort to this action, largely because EDS has been quite successful in working with our 9,000 or so other customers to resolve issues as they arise. EDS and Xerox have been able to settle numerous contract issues over the years. However, efforts to settle differences regarding this particular issue broke down in December after more than a year of negotiation, and we believe this action was our only available option. The suit involves only part of the contract and does not specify a damage amount. Furthermore, EDS is continuing to perform under the contract."