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Technology Stocks : 3Com Corporation (COMS) -- Ignore unavailable to you. Want to Upgrade?

To: Al Cano who wrote (28924)	3/11/1999 8:32:00 AM
From: Moonray	Read Replies (1) \| Respond to of 45548

3Com Completes Purchase of NBX, Sees 4th-Qtr Charge Santa Clara, California, March 10 (Bloomberg) -- 3Com Corp., the No. 2 network-equipment maker, completed its acquisition of closely held NBX Corp. for $90 million in cash and stock and will take a charge for the purchase in its fiscal fourth quarter. 3Com said late yesterday that it will take an unspecified charge for acquired technology in the quarter ending in May. The charge is expected to be less than 20 percent of the purchase price of NBX, or no more than $18 million. 3Com also said the purchase will dilute its earnings by 2 cents to 3 cents a share. 3Com is expected to earn 24 cents a share in the fourth quarter, the average estimate of analysts polled by First Call Corp. NBX, based in Andover, Massachusetts, makes a telephone handset that lets businesses send phone calls over the Internet. NBX's products help businesses with less than 500 workers cut costs by sending voice and data calls from their corporate networks onto the global computer network. Santa Clara, California-based 3Com, which last year formed a partnership with Siemens AG to develop similar products for large corporations, is battling No. 1 networking company Cisco Systems Inc. and others to supply so-called Internet telephony gear capable of carrying voice traffic. NBX began selling its NBX-100 handset in October and has about $1 million in revenue. Its 90 workers will become part of 3Com. 3Com shares fell 1/4 to 24 5/8. o~~~ O