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Biotech / Medical : SAFESKIN -- Ignore unavailable to you. Want to Upgrade?

To: John A. Stoops who wrote (595)	3/2/1999 9:35:00 AM
From: Steven Dopp	Read Replies (1) \| Respond to of 828

What I don't understand is why they borrowed money to buy back stock, particularly when their debt/equity ratio is so high. Management is certainly making a big bet on their ability to increase sales and revenues buy heaping on so much debt. Can anyone shed some light on this? Their last report strongly suggests that they can pay off their debt in a year or two. Plus, given a rapid growth in the equity side of the equation, the debt/equity could (should?) return to reasonable levels within a year. FWIW, I consider myself to be a long-term investor. I can wait a year or two.