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Technology Stocks : Ciena (CIEN) -- Ignore unavailable to you. Want to Upgrade?

To: 4finger who wrote (6935)	4/7/1999 5:48:00 PM
From: Doughboy	Read Replies (1) \| Respond to of 12623

After reading the management discussion in the 8-K, I'm a bit gloomy about Ciena. There are several pieces of bad news that at least to me was not known before: 1. Sprint will be contributing little revenue in '99. Since they are 50% of Ciena's revenue, where does that leave us? 2. MCI WorldCom contributed de minimis revenue in '98. That's a surprise. Ciena said all along that WCOM simply changed their procedures to a just-in-time supply, and Ciena expected that that simply meant that revenue would not be recognized from WCOM in the first half of '98. Now we learn WCOM never bought anything the whole year. 3. Bell Atlantic has not contributed a dime in revenue since announcing its supply arrangement with Ciena in March of '98. That's a long time without any purchase by BA and suggests that Lucent (which split the contract with Ciena) is getting the orders. The report says that testing continues, and BA revenue, if any, will be recognized in the first half of '99. We shall see. Now we're going experience why it is such a problem to be a "one-trick" pony. Doughboy.