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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: fooledalot who wrote (54694)	3/24/1999 11:15:00 AM
From: rupert1	Read Replies (2) \| Respond to of 97611

fooledalot: That coincides with the rumour I heard that Michael Dell is prepared to pitch in the proceeds from his DELL stock sales in a consortium to include EP and EM, to take CPQ's hardware and services off Prodigy's hands. It's only speculation, mind, and for goodness sake, do your own due dilligence, but I heard that the grand plan was to sell the new entity to DELL, so that it could then mount a reverse takeover of IBM. When and if it happens, the plan is to spin off IBM's component division so that they can maintain the purity of DELL's business model of never making its own components. The new DELL-COMPAQ-IBM will then enter into a 35 year pact to buy components from the new IPO. Think about it - it makes sense!

To: fooledalot who wrote (54694)	3/24/1999 11:18:00 AM
From: Lynn	Read Replies (4) \| Respond to of 97611

f, this story is still unfolding. >I had heard that since Prodigy was >going to severance EP, EM and others in top management, they were going to take >the hardware & service business private in an LBO. I heard something along these lines myself. What I heard was that these people thought the real money today was to be made in the traditional hardware business, have a clash of vision with the management at Prodigy, and view Prodigy's buy-out as the solution to their problems and answer to their dreams: dump that AV, in which CPQ has been wasting money to 'beef it up; if Prodigy wants it, good riddance. Since Prodigy obviously lacks any vision (since they want AV) they will be able to take the remainder of the company private for the price of a song. I have heard those financing problems, too. Without knowing what they have to pay Prodigy, I do not know if their recent sales of CPQ will bring them enough money or not. Lynn