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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: lindend who wrote (13182)	2/21/1999 7:04:00 PM
From: Michael T Currie	Read Replies (1) \| Respond to of 122087

Thought I would go check out Zenith as the primary manufacturer of DIVX systems. Too late - they're in Chapter 11. Mike

To: lindend who wrote (13182)	2/21/1999 7:24:00 PM
From: Jose Matos	Respond to of 122087

Linden, I agree with the downside potential for CC based on DiVX. It's a bit too late to the game and has alot to overcome in the retail business since the distribution channel is limited to CC, Best Buy, Ultimate, and a few more chains. Most large retailers won't carry DiVX because they would be helping CC's sales in doing so. What may be keeping CC's price near its' highs is the potential that they may announce some Ecommerce plans sometime soon. Just a rumor, but I read last month in wideBand magazine about some large retailers (such as Best Buy & CC) which will probably announce the opening of a retail web sites sometime soon (no quarter stated). That, and the fact that the US consumer spending numbers and xmas sales were very good has helped all retailers. CC will come down eventually, but I wouldn't bet against it just yet. However, if the DiVX product really bombs,CC can take a nasty hit. Just look at Sears (S) for reference. Sears is still at 12 month lows, and never recouped from the automotive repair groups' problems (I think that's what initially hurt Sears, but there could be more to it). regards. Jose.