Replies to post #72146 on Zeev's Turnips Patch-No Politics (ZEEV)

[Paul A]

Actually- gotta agree with you re: cisco..

As Punkles experience was a positive one, I will say this much.. A few years ago before the 'game' came to a sudden halt, Cisco was buying tons and tons of memory from our company.. Realizing something wasnt 'normal' our company put the brakes on and refused 3 huge purchase orders.. The thinking was that sure, it was great to receive these huge orders with insane margins but at the same time- if our guess was correct and the demand/price for sdram was about to take a dive off a cliff, what would we do when Cisco wanted us to take back the product?

I wish I could be more specific, but I know of 2 memory companies that literally got destroyed by not putting the brakes on.. There was a point where you couldnt even get the product and companies like CSCO, JNPR, SCMR, CORV would pay ANY price for product.. The profit margins were criminal to put it mildly, and in some instances Cisco and such were paying $200 for modules that cost about $10.00 to ship out the door.. (Important to note that this is just my guess- I have/had no access to specific product costs etc etc) but trust me- Im probably being conservative.. Heck- most manufactures had assigned special part numbers for the modules so it was nearly impossible for competitors to sell comparable product for considerably less unless they actually physically looked at the modules.. and since everyone had money to blow? nobody cared..

Thats my experience with Csco.. and JNPR, and SCMR, and CORV to name a few.. Blinded by greed, and carelessly pissed away all the success of the decade as a result. This hands on experience is what turned me heavy to the dark side at just the right time..

Im stunned CSCO is still trading in the teens.. Im hoping we get a -war- rally that takes Cisco back into the 15-16 range so I can short it back to single digits..

[basserdan]

MLSOFT and other Gold Bulls,

I hope you all had a great day! Mine was as good as gold! <GGG>

It appears that some good things are finally happening w/r to Wheaton River Minerals (WHT) and I think it will finally break out of the $0.22 trading range it's been stuck in for the past six weeks or so.

If so, the propellant will be the street's newfound recognition that, as now seems to be the case, WHT is about to be transformed from being considered a junior to becoming the eighth largest Canadian gold producer. What makes it all possible is BHB finally deciding to not excercise their first right of refusal to aquire 25% of Rio Tinto's Argentine property that WHT had agreed to purchase if BHB passed on it.

BHP Billiton: Doesn't Want Rio Tinto's Alumbrera Stake
Tuesday February 4, 7:55 pm ET

MELBOURNE -(Dow Jones)- Australian-based resources conglomerate BHP Billiton Wednesday said it isn't interested in exercising it preemptive right over Rio Tinto's 25% stake in the Alumbrera copper and gold mine in Argentina.

Rio Tinto last month made a preliminary agreement to sell the stake to Canada's Wheaton River Minerals Ltd. .

"We have notified Rio Tinto that we aren't going to exercise our preemptive right," a BHP Billiton spokeswoman told Dow Jones Newswires.

BHP Billiton has a 25% stake in Alumbrera. Australia's MIM Holdings Ltd. is the operator and holds the remaining 50% stake, but doesn't have a pre-emptive right over Rio Tinto's stake.

Wheaton River last month entered into a letter of intent to acquire Rio Tinto's stake, as well as a 100% interest in the Peak gold mine in Australia, for US$210 million.

The acquisitions will make Wheaton River the eighth-largest Canadian gold producer, with estimated production in 2003 of 458,500 gold equivalent ounces ( 371,000 gold ounces and 6.4 million silver ounces).

Production at Alumbrera for the year ended June 30, 2002, totaled 759,360 ounces of gold and 199,550 metric tons of copper. Over the next five years, the operation is expected to average 540,000 ounces of gold and about 180,000 tons of copper a year.

As of June 30, Alumbrera had proven and probable mineral reserves of 7.1 million ounces of gold and 1.9 million tons of copper.

http://biz.yahoo.com/djus/030204/1955001026_2.html

And to pay for it........

Wheaton River arranges $333.5-million financing
2003-02-04 17:31 PT - News Release
An anonymous director reports

WHEATON RIVER ANNOUNCES CDN.$333.5 MILLION FINANCING TO FUND ...

Wheaton River Minerals has engaged BMO Nesbitt Burns Inc. and Griffiths McBurney & Partners, as lead agents on behalf of a syndicate which also includes Canaccord Capital Corporation, CIBC World Markets Inc., Yorkton Securities Inc., Fahnestock Canada Inc. and Sprott Securities Inc., to sell, by way of private placement, 230 million subscription receipts at a price of $1.45 per subscription receipt for gross proceeds of $333.5-million.

Each subscription receipt will entitle the holder to acquire one common share and one-quarter of one common share purchase warrant of Wheaton River, without payment of additional consideration. Each whole warrant will be exercisable for one common share at a price of $1.65 until May 30, 2007.

The proceeds will be used by Wheaton River to finance the $210-million (U.S.) purchase price of Rio Tinto's 25-per-cent interest in the Bajo de la Alumbrera gold-copper mine in Argentina and 100-per-cent interest in the Peak gold mine in Australia. The proceeds will be held in escrow pending: (i) receipt for a final prospectus in each province of Canada qualifying the distribution of the common shares and warrants underlying the subscription receipts; (ii) filing and acceptance of a registration statement in the United States registering such common shares and warrants; and (iii) closing of the acquisition.

With the acquisition, Wheaton River will transform itself into the eighth largest Canadian gold producer with estimated production in 2003 of 458,500 gold equivalent ounces (371,000 gold ounces and 6.4 million silver ounces) at an estimated pro forma cash cost of $124 (U.S.) per gold equivalent ounce in 2003 (net of copper revenue).

Completion of the private placement is subject to receipt of all necessary regulatory and other approvals including the approval of the Toronto Stock Exchange and the American Stock Exchange. It is anticipated that closing of the private placement will occur on or about Feb. 27, 2003.

http://new.stockwatch.com/newsit/newsit_newsit.pasp?bid=B-205499-C:WRM&news_region=C&symbol=...

A lot of dilution to be sure, but with where the PoG is headed, the shareholders should do quite well, thank you. <VBG>

Hang in there,
Dan

[Blue Horse Shoe]

MLSOFT

Not to be sappy but you are kind of like Morpheus in the Matrix. I used to lurk at Yahoo CY back in the day and always valued your opinion. My handle: SSWgod. I did a search and luckily someone posted a link to you over here. You have a following...

What are your thoughts on a PM breakout. Can JPM/PPT/HFs hold it down? Is silver a better play? How will the stocks fare relative to the POG POS? I picked up some CDE. Looking at DROOY, SIL, and RIC. Would I be better off taking physical posession? I think the bull is only beginning, though I'm worried that CNBC is starting to talk going long PMs, contrarian, but I'm not convinced that even the mighty Fed can save equities at this point. Even a quick victory won't resolve the fundamental economic issues. Will JPM and C fall?

Did you see Greenspan was burglarized? Is he wanting out?

Stay warm up there in Vol country. Blue Horse Shoe loves UGA! How Bout Them Dawgs!!