Posts by David Skilling

UNDERWHELMED

Dells choice of Walmart in the US leaves us unimpressed here. Dell is a retailer first--(TIC) while Walmart may locate Dell back by the milk at first-- few clerks have the technical computer savy to assist customers. If volume doesnt meet Walmarts expectations we will be doing the Walmart prayer--on our knees in the aisles looking for Dell on the bottom shelf. Hope Dells picks are better in Europe for the basic box sales.

At any rate, I expect Dells recent expansion into Brazil and the south american markets will more than surpass profits from US walmart stores. The B in BRIC stocks are flying and seem to have a solid future--I wish Dell luck there.

POLITICAL INSPIRATION

Service--

Dell knew service was poor and had already pledged before this suit to spend $150 million more on service, add 2,000 technicians,retrain 5,000 more.

That Dell had farmed out service to the lowest common denominator in the past was,from my experience, true-- but unless an actual service contract

was broken the NY consumer will gain little in this states legal

action--unless that customers ear rotted off from having a phone stuck

in it for extended periods.

Sales Financing--

New York state seeks $500 payment--TO THE STATE--for each violation

arising from any provable claim when Dell (operating a joint venture

with CITI--that did sales/financing) caused consumer injury when CITI dangled a "no interest" loan offer to customers then denied 85 percent of those.Those CITI screened and rejected were then offered Dell Financial loans averaging over 16% a year. In both instances a customer could say NO. Normal customers with good credit paid 8%.

In both venues Dell sought to shift the work load --on service to Bangladesh--on sales/financing to a sly financial firm. DELL forgot the old rule--If you want something done right -do it yourself.

What's actually in the suit for NY consumers if CUOMO is successful?--

1.a whopping legal bill for the states legal expenses

2.NY will enjoin Dell from making such offers in future

3.actual affected customers will get "unspecified" refunds.

In other words -affected consumers will get little

-the suit is just a NY tax on Dell and Dell investors. The case will probably be settled out of court with a token payment to consumers and a surplus for the politicians-- that view all surpluses in a budget as a "deficit of spending". Been there--done that.

Dells defense--use me for example--I had a credit score of 768 when I

sought to purchase a high end Dell notebook last year-and was being be

steered to a poor rate--at that point I could have simply said NO to

the sale as should any customer --I chose to write a check--without

incurring any interest. It was CITI making the lowball offer to these

NY consumers and then rejecting them--(skimming the cream off the top) where are they in this suit?