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Technology Stocks : CheckFree Holdings Corp. (CKFR), the next Dell, Intel? -- Ignore unavailable to you. Want to Upgrade?

To: HRM who wrote (5231)	5/2/1999 11:28:00 AM
From: p friend	Read Replies (2) \| Respond to of 20297

>>On a separate front - anyone have any ideas on what the potential financial impact could be from the guaranteed service level agreements mentioned below? and from the recent earnings release.. >>''We certainly could reduce costs in Q4 to achieve higher EPS -- keep in mind that 1 cent of EPS equals only about a half million dollars. However, cutting costs in our EC division would be a mistake,'' Sinisgalli concluded. Sounds like the cost of refunding late charges, free month of service and other appropriate gestures will subtract well over a penny per share on the next earnings report. The test of management will be how they handle the after-effects of this. Sometimes, a very public corporate crisis can have a positive effect if the management reacts quickly, takes the high road, accepts full responsibility, makes everyone affected whole, and demonstrates a commitment to avoid a repeat. Hopefully, Pete Kight will lead the team to do this. In the short run, the earnings will be hit, and we will soon get another potential "buying opportunity," Not that we wanted it ...