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madrose1

10/27/06 7:57 AM

#509606 RE: MyHunch #509605

Just a previous OPCO downgrade on valuation b4 eps a few days before

DRIV Digital River: Continued solid upside; MSFT announcement won't be the last - Piper (52.11 ) *****

Piper notes that DRIV had solid Q3 results with 42% revenue growth - an acceleration from the 39% the co reported in 2Q06 and the 35% growth DRIV saw in 3Q05. They note DRIV continues to experience strong revenue growth driven by broadband adoption and increasing migration of software publishers online, helping the co to add new incremental customers and increase penetration within their customer base. They believe the co's recent announcement of its expanding relationship with MSFT to be the global eCommerce and digital download partner for Office2007 gives weight to what was already widely believed. They believe this announcement, although potentially the largest opportunity, will not be the only new product line DRIV will be selling for Microsoft.
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