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To: uclatrader who wrote (2615)	4/13/1999 1:25:00 AM
From: Nelson Chang	Respond to of 7772

>>>just saw the news wonder why it didn't price the shares at 190 or 200<<< Who would buy a stock for $190 when it is selling at $176? Hmmmm...dont take too long thinking about this one.

To: uclatrader who wrote (2615)	4/13/1999 1:30:00 AM
From: Eric	Respond to of 7772

nothing to be upset about ... the pricing of the secondary is good news! normally a stock goes down on the announcement of a secondary and goes up on the pricing. The price of the secondary will put a floor on the stock price. EBAY will not go below 170 for a meaningful duration of time. Well, if everyone does the job right, EBAY will be substantially higher than 170 by the time secondary is sold. The secondary are mostly sold to institutional investors. It is to their interests to see EBAY move substantially higher than 170, that will make the secondary very attractive. It is to the underwriter's interest to see EBAY go higher so that the secondary will generate good demand. To them, the logic is simple, why would anyone buy the secondary at 170 if the mkt price of the stock is about the same? to us, the existing shareholders, the logic is equally simple, if 170 is an attractive price for buyers, what does that say about 176 --> pretty attractive also ... > wonder why it didn't price the shares at 190 or 200 why don't all underwriters price the stock offering at the maximum price? sure, they could have priced ivillage at 80, but why price only at 24? I think you will find your own answer to the question.