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

To: Sam who wrote (881)	6/1/1999 12:37:00 PM
From: Robert Douglas	Read Replies (1) \| Respond to of 1989

Sam, As your post pointed out, Seagate's value is approaching the point where half of it is from VRTS. Although about 6 weeks old, let me quote from a Credit Suisse First Boston report on Veritas Software: <<Management noted particularly robust demand from many of the leading e-commerce vendors, including eBay, Amazon.com, AOL and E*Trade, which collectively estimated to represent between 15-20% of Veritas' March quarters revenues compared with roughly 5% a year ago. These figures support our belief that storage management software will continue to benefit from growth in Internet-related user population, traffic, bandwidth consumption and commerce activity…>> Does this mean that Veritas and therefore Seagate are Internet stocks?

To: Sam who wrote (881)	6/1/1999 5:55:00 PM
From: Mark Madden	Read Replies (1) \| Respond to of 1989

"Seagate completes sale to VRTS; their VRTS stock was valued at $3.1 billion" Sam, How is this value realized? Does it just show up in the balance sheet as a huge figure under "Cash and Marketable Securities"? Does the earnings of VRTS just raise its stock price and therefore the value of SEG assets? Is it the ownership in other companies that makes the SEG cash position look so large? The value must be almost invisible considering Seagate's stock value. Mark M