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  1. #46
    John Navas
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingular as cause for the downgrade.

    [POSTED TO alt.cellular.cingular - REPLY ON USENET PLEASE]

    In <[email protected]> on Tue, 04 Apr 2006 15:28:42
    -0700, SMS <[email protected]> wrote:

    >GomJabbar wrote:
    >> What I mean to say is that the statement that 'Radio Shack dumped
    >> Verizon' is simplistic. That statement by itself does not give any
    >> details. What did actually happen to cause the split-up? Will we ever
    >> actually know the DETAILS?

    >
    >I think that we'll never know the actual terms that Radio Shack
    >demanded, or what Verizon offered. Suffice it to say, that they couldn't
    >come to an agreement on terms, and the result is that Radio Shack no
    >longer sells Verizon service.


    Nice try (not even), but what's clear from its own financial press releases
    (that I posted here earlier) is that Radio Shack was disappointed in Verizon
    sales, which it blamed as being the major factor in its disappointing results
    for 2005.

    >We do know that Radio Shack is suffering because they no longer sell
    >Verizon on the same terms they did up until the end of 2005.


    We do know that Radio Shack suffered in 2005 due to lower than expected sales
    of Verizon wireless.

    >"Sluggish sales in high-profit categories such as wireless products and
    >losses resulting from the termination of a sales agreement with Verizon
    >Wireless contributed to the decline."
    >
    >("http://www.tmcnet.com/usubmit/-retailer-closing-9-area-locations-moves-part-radio-/2006/03/29/1516601.htm")


    Again, not even a nice try. Press releases from the full year 2005 shows that
    Verizon was dumped by Radio Shack due to poor sales and poor returns.

    >Maybe Verizon's offer to Radio Shack was so poor that even if Radio
    >Shack had continued on Verizon's terms, that their results would still
    >have been bad.


    Their results were so bad early in 2005 that Radio Shack dumped Verizon in
    favor of Cingular.

    --
    Best regards, SEE THE FAQ FOR CINGULAR WIRELESS AT
    John Navas <http://en.wikibooks.org/wiki/Cingular_Wireless_FAQ>



    See More: RadioShack shares hit low on downgrade, analyst cites Cingular ascause for the downgrade.




  2. #47
    John Navas
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingular as cause for the downgrade.

    [POSTED TO alt.cellular.cingular - REPLY ON USENET PLEASE]

    In <[email protected]> on Tue, 04 Apr 2006 15:44:29
    -0700, SMS <[email protected]> wrote:

    >clifto wrote:
    >
    >> If you ran Radio Shack and Verizon dumped you, which of the following
    >> would you publish?
    >>
    >> 1. Verizon dumped us, so we now sell Cingular.
    >> 2. We switched from Verizon to Cingular as part of our enhanced
    >> sales plan for 2006.

    >
    >Clearly Radio Shack underestimated the strength of Verizon.


    Just the opposite -- Radio Shack was suffering from poor sales of Verizon, as
    the 2005 financial results make clear.

    >What they failed to realize is that wireless customers have become much
    >more savvy over the past five years or so. Customers no longer go just
    >by who gives them the most minutes per dollar, or which phone has the
    >most dumb features. This works in Verizon's favor since they have the
    >best network, even though their handset selection is not very good.


    Nonsense.

    --
    Best regards, SEE THE FAQ FOR CINGULAR WIRELESS AT
    John Navas <http://en.wikibooks.org/wiki/Cingular_Wireless_FAQ>



  3. #48
    SMS
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingularas cause for the downgrade.

    Scott wrote:

    > No it's not- Verizon chose to eliminate that sales channel. Spin it any
    > way you want- the truth is that Radio Shack got dumped.


    There are costs associated with each sales channel. Semiconductor
    companies deal with this a lot. Do you go through a distributor, and
    incur the costs charged by the distributor, do you go direct and incur
    those costs yourself, or do you do both. If you can't come to mutually
    agreeable terms with a distributor, then that channel is eliminated.

    Radio Shack's problem is that they were doing very well with Verizon,
    but that Verizon didn't want to continue with the high cost of the Radio
    Shack channel. Now that they switched to Cingular, and their results
    have been disappointing with Cingular, they're stuck.



  4. #49
    Scott
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingular as cause for the downgrade.


    "SMS" <[email protected]> wrote in message
    news:[email protected]...
    > Scott wrote:
    >
    >> No it's not- Verizon chose to eliminate that sales channel. Spin it any
    >> way you want- the truth is that Radio Shack got dumped.

    >
    > There are costs associated with each sales channel. Semiconductor
    > companies deal with this a lot. Do you go through a distributor, and incur
    > the costs charged by the distributor, do you go direct and incur those
    > costs yourself, or do you do both. If you can't come to mutually agreeable
    > terms with a distributor, then that channel is eliminated.
    >
    > Radio Shack's problem is that they were doing very well with Verizon, but
    > that Verizon didn't want to continue with the high cost of the Radio Shack
    > channel. Now that they switched to Cingular, and their results have been
    > disappointing with Cingular, they're stuck.


    Exactly.





  5. #50
    John Navas
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingular as cause for the downgrade.

    [POSTED TO alt.cellular.cingular - REPLY ON USENET PLEASE]

    In <[email protected]> on Tue, 04 Apr 2006 19:21:34
    -0700, SMS <[email protected]> wrote:

    >Scott wrote:
    >
    >> No it's not- Verizon chose to eliminate that sales channel. Spin it any
    >> way you want- the truth is that Radio Shack got dumped.

    >
    >There are costs associated with each sales channel. Semiconductor
    >companies deal with this a lot. Do you go through a distributor, and
    >incur the costs charged by the distributor, do you go direct and incur
    >those costs yourself, or do you do both. If you can't come to mutually
    >agreeable terms with a distributor, then that channel is eliminated.
    >
    >Radio Shack's problem is that they were doing very well with Verizon,


    The clear evidence is that they *weren't* doing well with Verizon.

    >but that Verizon didn't want to continue with the high cost of the Radio
    >Shack channel. Now that they switched to Cingular, and their results
    >have been disappointing with Cingular, they're stuck.


    No worse than with Verizon.

    --
    Best regards, SEE THE FAQ FOR CINGULAR WIRELESS AT
    John Navas <http://en.wikibooks.org/wiki/Cingular_Wireless_FAQ>



  6. #51
    Scott
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingular as cause for the downgrade.


    "John Navas" <[email protected]> wrote in message
    news:[email protected]...
    > [POSTED TO alt.cellular.cingular - REPLY ON USENET PLEASE]
    >
    > In <[email protected]> on Tue, 04 Apr 2006 19:21:34
    > -0700, SMS <[email protected]> wrote:
    >
    >>Scott wrote:
    >>
    >>> No it's not- Verizon chose to eliminate that sales channel. Spin it
    >>> any
    >>> way you want- the truth is that Radio Shack got dumped.

    >>
    >>There are costs associated with each sales channel. Semiconductor
    >>companies deal with this a lot. Do you go through a distributor, and
    >>incur the costs charged by the distributor, do you go direct and incur
    >>those costs yourself, or do you do both. If you can't come to mutually
    >>agreeable terms with a distributor, then that channel is eliminated.
    >>
    >>Radio Shack's problem is that they were doing very well with Verizon,

    >
    > The clear evidence is that they *weren't* doing well with Verizon.
    >


    And yet you have been unable to post "clear evidence"- all I've seen are
    third tier reports that fail to categorically state your claim. You simply
    repeat yourself like a child not wanting to hear the truth. How typical.
    How sad.

    Verizon decided to discontinue the sales channel. Live with it.





  7. #52
    SMS
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingularas cause for the downgrade.

    Scott wrote:

    > And yet you have been unable to post "clear evidence"- all I've seen are
    > third tier reports that fail to categorically state your claim. You simply
    > repeat yourself like a child not wanting to hear the truth. How typical.
    > How sad.


    All you can go by is what Radio Shack and the analysts say. They all
    agree that the major reason for Radio Shack's current woes is the change
    from Verizon to Cingular. You have to accept their explanation unless
    you have reason to believe that they are lying.



  8. #53
    John Navas
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingular as cause for the downgrade.

    [POSTED TO alt.cellular.cingular - REPLY ON USENET PLEASE]

    In <[email protected]> on Tue, 04 Apr 2006 22:05:41
    -0700, SMS <[email protected]> wrote:

    >Scott wrote:
    >
    >> And yet you have been unable to post "clear evidence"- all I've seen are
    >> third tier reports that fail to categorically state your claim. You simply
    >> repeat yourself like a child not wanting to hear the truth. How typical.
    >> How sad.

    >
    >All you can go by is what Radio Shack and the analysts say.


    Indeed.

    >They all
    >agree that the major reason for Radio Shack's current woes is the change
    >from Verizon to Cingular.


    They actually all agree that disappointing sales of Verizon is the reason
    Radio Shack switched to Cingular.

    >You have to accept their explanation unless
    >you have reason to believe that they are lying.


    You should take your own advice.

    --
    Best regards, SEE THE FAQ FOR CINGULAR WIRELESS AT
    John Navas <http://en.wikibooks.org/wiki/Cingular_Wireless_FAQ>



  9. #54
    DecaturTxCowboy
    Guest

    Re: RadioShack shares hit low on downgrade, analyst cites Cingularas cause for the downgrade.

    John Navas wrote:
    > No need to speculate -- here are the facts, which make it clear that

    Radio
    > Shack dumped Verizon based on poor performance and financials, not the other
    > way around:


    [References snipped out]

    I don't see any reference to Cingular or Verizon specifically mentioned.



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