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Technology Stocks : Advanced Fibre (AFCI) ** IPO -- Ignore unavailable to you. Want to Upgrade?

To: E_K_S who wrote (2044)	3/31/1999 12:51:00 PM
From: Douglas V. Fant	Read Replies (1) \| Respond to of 3299

Eric, One question I would like to ask of AFCI at its next conference call deals with Cerent. On the portion of the company owned by Norwest Venture Partners, I'm wondering if CSCO and AFCI have a preferential right to buy NW's portion when they choose to exit and move onto their next venture deal....

To: E_K_S who wrote (2044)	3/31/1999 1:11:00 PM
From: David Busch	Read Replies (1) \| Respond to of 3299

AFCI stock activity has hit the Dow Jones Newswire. Nothing really new. The highlights of the article: Activity today is probably based on the rumor that a new CEO naming is imminent, according to analyst David Karson of Black & Co. in Portland, Ore. Karson and "unnamed analysts" also mentioned the "widespread expectations" about the possible contract with one of the Baby Bells, probably SBC ... An announcement of such a contract would be "an important financial and strategic milestone, analysts said." Company officials have no comment (of course). Another brave unnamed analyst went out on a limb with the following: "The fact that the company has reached the end of the first quarter without announcing an earnings letdown has helped some investors gain confidence that the company's first quarter will at least match estimates, said one analyst who asked to remain anonymous." So all in all nothing to get real excited about -- still rumor and no news. Long and holding ....

To: E_K_S who wrote (2044)	3/31/1999 8:46:00 PM
From: E_K_S	Read Replies (3) \| Respond to of 3299

Bloomberg story says AFC's "imminent" contract is most likely w/ SBC and is valued at $25-$40 million per year..... Advanced Fibre Rises 28% on Speculation of New CEO, Contract (http://quote.bloomberg.com/analytics/bquote.cgi?story_num=42764103&view=story&version=marketslong99.cfg) Petaluma, California, March 31 (Bloomberg) -- Advanced Fibre Communications's shares rose 28 percent on speculation that the phone-equipment maker is close to hiring a new chief executive and announcing a supply contract. Advanced Fibre rose 2 3/32 to 9 19/32 in trading of 7.57 million, more than triple the three-month daily average. The shares had lost almost half their value since mid-January. Advanced Fibre, which makes equipment that boosts the capacity of phone networks, is close to naming a new chief executive nine months after Chief Executive Carl Grivner resigned to join Cable & Wireless Plc, analysts said. An "imminent" contract with a local phone company, most likely SBC Communications Inc., the second-largest in the U.S., could be valued at $25 million to $40 million a year, analysts said. "This is a company that's had a really poor track record of executing," said Dain Rauscher Wessels analyst George Notter, who rates Advanced Fibre "neutral." A contract with a company like SBC "gives them more credibility," he said. Petaluma, California-based Advanced Fibre last year earned $27.2 million, or 34 cents a share, on revenue of $312.7 million. Advanced Fibre couldn't be immediately reached for comment. SBC spokesman Larry Solomon said the company doesn't comment on speculation. ===================================================================== A contract of $45 million per year would represent a 14% increase in annual revenues and more importantly provide AFC more credibility going forward when working with other RBOC's. If such a contract is landed, it should help replace the concerns from the one lost with GTE last October. EKS