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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: 16yearcycle who wrote (48832)	4/3/1999 12:16:00 PM
From: Larry Brubaker	Read Replies (1) \| Respond to of 164684

A steal of an acquisition for AMZN Programmers Paradise (PROG) is a reseller of software development tools to information technology professionals. Primary sales channel is catalogue, but they are transitioning to the internet. 1998 sales, $235 million. 1999 sales projected to be $270 to $280 million. 1998 profits, about $3 million, 1999 profits projected to be about $5 million. Current market cap of PROG is $60 million (not billion, but million). At a 100% premium to PROG's current price, by buying PROG AMZN could add almost 40% to their 1998 sales, for only .4% (4/10ths of 1%) of their outstanding shares. Besides adding 40% to their revenues, they would pick up about $10 million in cash flow, since PROG pays hefty income taxes as it earns a profit. I can't imagine where AMZN could pick up this much revenue (plus positive cash flow) for so little cost.