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Author: AndrewTR29 Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: of 836  
Subject: Buy or bye-bye? Date: 2/10/2000 2:43 PM
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Stock performance sucks. Management can't get it together. Earnings disappoint. and so we're at about four year low. If you have a better place to put your money, its probably a good idea to do that. BUt beeing the emotional hanger on that I am, I chose to average down and here are my reasons:
This company has a history of making succesful changes in the past 30 years. The changeover was not unexpected and I think INVX has done a good job transitioning. Insiders are buyers over the past few months. Management has made changes aimed at getting the company on track.

Whatever your opinion may be, I beleive it will take some time (2 qtrs) to see if they have pulled it off or not.

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Author: DNeiman One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 833 of 836
Subject: Re: Buy or bye-bye? Date: 2/10/2000 11:58 PM
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Strange message there, Andrew. The first paragraph sounds like you see no future in the company, then in the rest of it, you state good reasons for staying with them. It sounds like you really DON'T know which way to jump on this one.

By the way, the company agrees with you. They're NOT going to turn around in a week like a ".com" company. But they ARE going to turn around, and are deep in the process of doing so. It's going to take a few quarters--this Q is projected negative--but I think (don't hold me to this; I can't remember) they expect to be cash-flow positive for the overall year.

Your message makes a great case for going to annual meetings, especially of companies you have doubts about. I've gone to several, and always gain useful information about the past year and future prospects that helps me make better (although not always good) investment decisions. In the case of INVX, the meeting was held last week, just down the street from me (yay!), so I went to find out about exactly what you're agonizing over. Basic story is they're in transition (for the nth time, as you mention), to a new business model very heavy on flex circuit prototyping and production. They showed a great graph which indicated how much their business is going to swing towards flex percentage-wise--it's very impressive. The main reason they're in the red last Q and this one is that the company they bought out (Adflex) was near bankruptcy and had stopped prototyping. This caused a dip in revenues which is hitting INVX hardest right now. Their transition out of lead wire (bye! *sob!*) coincided with the gap in revenues from flex circuits, leading to their current low point.

I think you're right; they've done a good job transitioning and a couple of quarters will tell the tale.

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Author: PsychoDaisies Big red star, 1000 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 834 of 836
Subject: Re: Buy or bye-bye? Date: 3/13/2000 6:26 PM
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Their transition out of lead wire (bye! *sob!*)

Do you know who they sold this business to?

Thanks,

Ryan

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Author: DNeiman One star, 50 posts Add to my Favorite Fools Ignore this person (you won't see their posts anymore) Number: 835 of 836
Subject: Re: Buy or bye-bye? Date: 3/13/2000 8:05 PM
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Do you know who they sold this business to?

I don't think they sold it to anyone. The demand for lead wire assemblies dropped off as disk drive makers transitioned to newer technologies: INVX's flex circuits and HTCH's TSA assemblies.

They probably sold the equipment to somebody, but I don't know who it would be.

I think there was also some business doing lead wires for the medical industry; obviously, that segment disappeared too, or INVX simply stopped selling to that market.

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