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Technology Stocks : Compaq -- Ignore unavailable to you. Want to Upgrade?

To: Captain Jack who wrote (61226)	5/12/1999 10:50:00 PM
From: Chad Beemer	Respond to of 97611

Here is some interesting reading from THE SHOW in Chicago FYI a link for "News from the show" (in Chicago) tradeshownews.com

To: Captain Jack who wrote (61226)	5/13/1999 10:53:00 AM
From: rudedog	Read Replies (2) \| Respond to of 97611

A Tandem employee told me that in a recent conference call, Rosen said that they were working to develop a more accurate forecasting mechanism and that CPQ would not predict sales or earnings until they had a process in which the executive team had confidence. Rosen commented that he wanted to be able to predict and hit the numbers accurately, and that consistent and predictable growth would be the key to building shareholder value. Looking at the slow but steady rise in CPQ stock price I would expect us to get into the low 30's quickly, maybe in a month or so, but a big rise after that will be dependent on CPQ behavior.

To: Captain Jack who wrote (61226)	5/14/1999 2:13:00 AM
From: rupert1	Read Replies (1) \| Respond to of 97611

Captain: Elimination of employees... esp expensive managers helps the bottom line quickly. As I understand it, the primary goal of declaring individual managers or layers of management redundant is to speed up decision-making and empower lower levels. Reduction in payroll costs is a secondary goal. So far we know of a few individual redundancies in senior management. Even allowing for the elimination of the cost of their support staff, it is not a significant saving. Add the cost of laying off and replacing those to be replaced e.g. CEO and CFO and I think the effect is probably neutral so far. The DAP system has the potential of producing much larger net redundancies but when it was presented there was no mention of lay-offs. The talk was of the re-assignment of staff to demand-producing activities. Perhaps Services could carry more staff as it expands. But the changes do prepare the ground for a possible announcement of substantial new redundancies.