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Technology Stocks : THQ,Inc. (THQI) -- Ignore unavailable to you. Want to Upgrade?

To: Todd D. Wiener who wrote (10697)	4/29/1999 3:10:00 PM
From: Marc Newman	Respond to of 14266

Todd W.--so you see this deal as being worth $.50 to eps? That's huge! More than my million or two or three guess. That's a million per title and seems a little optimistic to me but your guess is better than mine. Todd D--Knights of Carnage is just between you and me. :) My mom, sister, and future bro-in-law have done great with THQ. Steve T--I too can't wait for the Rugrats 64 rev stream to come online. It doesn't seem to be priced into the stock at all. New highs in July, for sure. Thread--is there going to be a WCW gameboy from EA? Doesn't seem to be there style and there is no history of WCW on that platform. THQ might have the wrestling locked up on GB. Fishing should do real well. I wonder if it can draw an adult audience? It looks like this is going to be the best year in THQ's history for GB and PC, by far. (Crossing my fingers that Yoda Stories gets released.) PSX should do better than ever too, as Thunder has likely already equalled Nitro and Rugrats is a runaway success. N64 should blow away last year's numbers too due to the much higher sku count. Marc

To: Todd D. Wiener who wrote (10697)	4/29/1999 3:17:00 PM
From: Jeff Bond	Read Replies (1) \| Respond to of 14266

>>With every month that passes, THQ's 1995 decision to stay in the GB market seems more and more prescient<< Are you suggesting that THQI management has the foresight to look 4 years into the future, when making business decisions, and that even when doing so make good judgement calls? If so, that would qualify as "platinum" management in my books. <spoken in jest> :o) I am wondering, because I have been trying to figure out something concerning management style. Does THQI's "conservative" management style provide these types of opportunities? In other words, by deciding to go for the sure but less sexy bet on GB 4 years ago (ala a conservative managment decision), has THQI established a more secure position in the future? It seems a balancing act, as well as a paradox. A conscious decision to make GB products 4 years ago could be interpreted to mean the company has decided to forego potential future growth, especially on new platforms, and at the risk of falling behind the pack. Yet, it seems that the decision to do so has provided a nice revenue stream, which can be used to fund development of games for newer platforms. Is this a benefit of conservative management decisions? Also, the decision on how much resources to delegate to old vs. new platforms seems like a massive balancing act. How much capital is allocated for GB, and how/why is that decision made? Pretty tough choices if you ask me, with plenty of opportunities to make the "wrong" choice. It seems to me that THQI has a conservative style, that is geared towards long-term growth, rather than making a quick buck. The decisions being made DO NOT usually appear to be very "sexy", and sometimes people seem to bemoan that fact. But, I think it will (and is beginning to have) a VERY strong impact in a positive way. There is plenty of cash on hand, there is no debt, there are new licenses being secured that are extended in length, there is reorganizations taking place that suggest mergers are a part of future plans, and there is a conservative CEO who consistently beats earnings estimates in spite of the reactions of the market. My take? I think Mr. Farrell knows EXACTLY what he wants to accomplish, he knows HOW he wants to accomplish it, and he's not going to let anyone external tell him to do otherwise, regardless of the consequences. In effect, Mr. Farrell seems to possess the skills of an entrepreneur, confident enough to go his own way despite the feedback, yet also make strategic decisions that demonstrate a reluctance to let this desire run wild. I like this very much; as an entrepreneur, my BIGGEST fault may be an inability to step back and look at the big picture. It's easy to get caught up in what you're doing at the moment, and lose sight of what you really want to accomplish. By hiring and reorganizing the company, Mr. Farrell seems to be freeing up some of his time to continue doing the things that have got us here today. It sure seems like good foresight to me Todd, and I think the moves being made today are going to have positive impact down the road. Let this man drive, and THQI is the ultimate long-term play, especially in a market that is becoming less and less friendly to that style of investing. I'm going to hold, and buy on the dips. It's amazing how as much as we sometimes stray from that perspective, it has remained a VERY viable strategy to making good money on THQI. In the end, I think the company and Mr. Farrell have been much more consistent than most of us (me included). By the way, I think bowling would make a GREAT game for GB, I agree 100%. Regards, JB