Open Software Foundation

[Stephen X. Nahm]

In article <3648 at psuvax1.psu.edu> ehrlich at blitz.cs.psu.edu (Dan Ehrlich)
writes:
>It is my understanding the AT&T currently owns 20% of SUN Microsystems'
>stock (it may be less with options up to 20%).

Not true.  AT&T can and has bought 5% of Sun's stock on the open market.
The remaining 15% of Sun's stock will be sold to AT&T at Sun's discretion.
This stock will be newly issued shared and AT&T will buy the shares at
a fixed percentage premium over the current market price (averaged over
about 20 days).

So far, Sun has issued AT&T about an additional 2.5% (of Sun's outstanding)
shares.  The average price was about $36, and AT&T bought these for around the
low- to mid-forties.

>                                                        Anytime a single
>company or individual owns that large a block of stock they most
>assuredly can influence major decisions.

This, of course, is true (even given that AT&T now owns "only" 7.5% of Sun).

We now return you to comp.osf.debate (from this brief excursion into
comp.finances.AT&T.sun).

Steve Nahm                              sxn at sun.COM or sun!sxn