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Technology Stocks : Orckit (ORCT) -- Ignore unavailable to you. Want to Upgrade?

To: BEACHCOMBER who wrote (1810)	6/8/1999 6:39:00 PM
From: savolainen	Respond to of 1998

[wstl as a hedge for bt] greetings beachcomber, you might be right about wstl as a hedge for bt... at least near term as the pop should be nice.. fwiw... believe that wstl is no longer the player they once were in the xdsl picture... and therefore upside longer term potential is somewhat limited, even with bt, should it come their way via fujitsu am inclined to agree with NBMO's assessment of wstl (as recently graciously posted by SteveG): "- Significant challenges persist. It is important to note that Westell still faces significant challenges. - Difficult competition in ADSL space. It is important to note that we believe Westell's ADSL technology is behind that of its competitors' (Alcatel, Orckit and Cisco). In addition, the top-tier RBOC customers have already aligned themselves with their primary ADSL suppliers. While Westell still may win second-source ADSL supplier status with some RBOC customers this year, we view this as unlikely; more to the point, we do not believe that Westell will see the significant ramp in ADSL revenues that these other vendors will. - Restructuring underway. Most important, the company has recently announced a significant restructuring, which includes a shift in the company's customer focus (from top-tier service providers to smaller players), a planned downsizing (both workforce reductions and production capacity reductions) and increased dependence on new products for revenue generation. While the company expects that these actions will reposition the company for future growth with improved profitability, we believe that these factors represent significant challenges looking forward. Investment conclusion. We are downgrading Westell to a HOLD and recommending that investors swap out of shares of Westell into other plays in the ADSL space, including Orckit (ORCTF) and PairGain (PAIR)..." Message 8883413 til later s