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Technology Stocks : Cabletron Systems (CS: NYSE) -- Ignore unavailable to you. Want to Upgrade?

To: polarisnh who wrote (6032)	5/6/1999 4:39:00 PM
From: Bungee	Read Replies (1) \| Respond to of 8358

Maybe the CS takeover (even in parts) is a done deal. But since it wouldn't work out below 4 to 5 times sales the stock price has to rise because shareholders of the acquiring companies wouldn't accept a premium of about 4 times market cap. Just IMHO, of course. B.

To: polarisnh who wrote (6032)	5/6/1999 4:46:00 PM
From: 4finger	Read Replies (2) \| Respond to of 8358

Is it just my imagination or is this personal for you? If you have any details to share re: this and the Reed fiasco etc I'd love to hear them. I was a seller on that news because I just could not come to terms with the "it's no big deal" company line. I liked what I heard strategically from Reed and the next thing you know he was toast. In fact wasn't it just days after he talked about enhancing shareholder value by possibly spinning off Spectrum that he got hooked? I don't think anyone disputes the fact that they have to get the equipment busines off the canvas, but the fact is that the market had/has still assigned a value of approx $0 (net cash + a fair valuation for Spectrum pretty much accounts for market cap) to this part of the business and I don't think that even the most bearish of folks would argue that it's that bad. How do you value it?

To: polarisnh who wrote (6032)	5/7/1999 11:20:00 AM
From: polarisnh	Respond to of 8358

Cabletron considering sale or spinoff of units ROCHESTER, N.H., May 7 (Reuters) - Cabletron Systems (CS - news) is considering the sale or spinoff of parts of its businesses by the end of the year, the company said on Friday. Spokesman Darren Orzechowski said the computer networking firm's Spectrum software business is the most likely candidate to have a stake sold or spun-off, although the firm's other three units are under consideration as well. Whatever Cabletron did with Spectrum, it would still keep a controlling interest in the unit, Orzechowski said. He said Cabletron Chairman and Chief Executive Craig Benson wants to unlock shareholder value in the company. "He's the largest shareholder in the company. He was the founder. More than anybody, he's got shareholder interest at heart," Orzechowski said.

To: polarisnh who wrote (6032)	5/7/1999 11:33:00 AM
From: polarisnh	Read Replies (1) \| Respond to of 8358

Sorry, Darren! If Craig wants to unlock the value in Spectrum then spin it off without Cabletron still having control of it. Otherwise how is this supposed to unlock value? Craig, smoke and mirrors won't cure what is ailing Cabletron. Cabletron is getting is getting its head handed to it by Cisco because of their superior marketing, professional management, and by investing in their people. Cisco doesn't offer better products then Cabletron but it does offer products that customers need. I also question the statement that Craig has other shareholder's interests at heart. Spinning off Spectrum completely is a start in the right direction.