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Brad Reese

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  • Fast And Furious Dividend Growth To Start 2014 [View article]
    Hi Tripp,

    You're missing The Hershey Company (HSY) which increased its dividend by +15% during 2013:

    http://bit.ly/xu7HGl

    Expect at least a +10% dividend increase for HSY to be announced shortly.

    Sincerely,

    Brad Reese
    Apr 17 03:38 PM | Likes Like |Link to Comment
  • Cisco And Heartbleed, A Class Action Lawsuit In The Making [View article]
    Hi Haleiwahu,

    Obviously, Cisco's crisis/issue and corporate reputation management PR guru, Nigel Glennie, is NOT accountable to me.

    However, I most certainly believe Nigel Glennie is accountable to Cisco's customers.

    Hopefully, Nigel Glennie has been responsive to Cisco's customers.

    I mean, when was the last time a Cisco crisis/issue and corporate reputation management PR guru publicly posted their identity and then made a comment to a Seeking Alpha article?

    Never that I can recall.

    Sincerely,

    Brad Reese
    Apr 11 11:02 PM | 1 Like Like |Link to Comment
  • Cisco And Heartbleed, A Class Action Lawsuit In The Making [View article]
    Hi Nigel,

    As you're well aware, I reached out to YOU more than 3-months ago with regard to Cisco's ongoing product security issues:

    Rumor Cisco product development engineers penalized for reporting security issues.

    "Most of Cisco products have a bazillion security flaws that are well known to the product development engineers. These risks are of little concern to the product development VPs.

    "Their incentive structure is based around units sold and new revenue from features added. They pay little attention to their engineers' concerns regarding security flaws. The VPs' bonuses don't get increased by correcting latent security flaws yet to be discovered by the market. Any focus on these security issues costs resources that could be focused on greater VP incentive opportunities.

    "A process was instituted at Cisco enabling any product development engineer to report security issues to John Stewart's team and Stewart's team has the ability to force the product VPs to prioritize and fix the issues.

    "The whistle blowers receive no incentive and their identity is not protected. As you can imagine, the initial conscientious engineers who squealed about security issues to Stewart's security advocates were not viewed favorably by their VPs who were forced to redirect resources to address the flaws.

    "All the squealers were heavily penalized in terms of bonuses, project choices, and advancement opportunities. Many were forced to depart the company.

    "This program still exists in theory, but it no longer has any participants. As a result, Cisco has to reactively scramble to address each security flaw already known to its engineers when it is discovered by the market."

    http://bit.ly/1hsc1bs

    Well now, it finally appears that Cisco's customers are getting a response from YOU!

    Sincerely,

    Brad Reese
    Apr 11 09:57 PM | 3 Likes Like |Link to Comment
  • Cisco Preps For Hybrid IT By Making Significant Changes To Its Channel Programs [View article]
    Hi Zeus,

    With regard to your statement:

    "The partners who register deals with CSCO will qualify to receive a discount differential of up to 8 points now, up from the current 5 points."

    Well, by my calculation that appears to be a -$1.4 billion margin haircut for Cisco going forward:

    http://bit.ly/1fp5I3N

    What's your calculation?

    Sincerely,

    Brad Reese
    Apr 2 03:22 AM | Likes Like |Link to Comment
  • Will Cloud Acquisitions Boost Cisco And IBM? [View article]
    Perhaps Cisco will buy cloud storage firm, Box, Inc:

    IPO comparison: Arista Networks vs. Box, Inc.

    I mean, hundreds of millions of dollars will be invested and at risk in these two IPOs, based on the following Pre-IPO financial statements, which one do you think will reward investors the most, Arista or Box?

    http://bit.ly/1fga802

    Sincerely,

    Brad Reese
    Mar 31 04:13 PM | Likes Like |Link to Comment
  • Value Hidden In Plain Sight: Top Dow Stocks - Cisco [View article]
    Hi tsmonitor8,

    If you interpret my "accurate facts" about Cisco as "doomsday for Cisco," well, that's most certainly your prerogative.

    Meanwhile, today it appeared Cisco announced -$1.4 billion margin haircut:

    http://bit.ly/1fp5I3N

    Sincerely,

    Brad Reese
    Mar 27 05:50 PM | Likes Like |Link to Comment
  • Value Hidden In Plain Sight: Top Dow Stocks - Cisco [View article]
    Hi Run Rickey,

    Glad YOU don't think returning 150% of cash flow is nothing to be concerned about.

    Meanwhile, Cisco's top executives continue to cash out showing absolutely NO CONVICTION that Cisco's stock price will ever appreciate in value:

    http://1.usa.gov/1hdUCCz

    Kind of like playing no limit table stakes poker, however, everytime a Cisco executive wins, they immediately take their pot winnings off the table so their winnings are never at risk in future poker play.

    Sincerely,

    Brad Reese
    Mar 27 10:19 AM | Likes Like |Link to Comment
  • Value Hidden In Plain Sight: Top Dow Stocks - Cisco [View article]
    Hi Shiv,

    Cisco Chief Financial Officer, Executive Vice President, Frank Calderoni, stated during Cisco's Q2'FY14 earnings conference call:

    "I am pleased that in the first half of FY'14, we have returned in excess of the 150% of free cash flow to our shareholders ... This dividend increase, combined with the anticipated share repurchases in the second half of the fiscal year, would comfortably exceed a return of over 100% for the full fiscal year of our free cash flow.

    "In Q3, we anticipate incurring additional debt to refinance our maturing bonds and enhance our domestic cash balances to support our ongoing commitment of returning cash to shareholders."

    http://seekingalpha.co...

    I'm curious as to why you don't view that as a "huge red flag," which in my opinion demonstrates desperation bordering on "panic" by Cisco's top executives?

    I mean, how long is borrowing $8 billion per quarter to pay dividends and repurchase Cisco stock to negate the shareholder dilution related to stock-based compensation (i.e. stock-based compensation related to Cisco's RSA/RSU issuance) sustainable?

    Sincerely,

    Brad Reese
    Mar 25 07:32 PM | Likes Like |Link to Comment
  • Cisco: Too Little, Too Late? [View article]
    Hi ijshearer,

    Cisco clearly stated:

    "Cisco expects to invest over $1 billion to build its expanded cloud business over the next two years."

    http://bit.ly/1nXINWn

    The key word here is "expects."

    I mean based on the above statement (i.e. expects), Cisco has clearly NOT obligated itself to spend even a single thin tiny dime.

    Sincerely,

    Brad Reese
    Mar 25 12:39 PM | 1 Like Like |Link to Comment
  • Cisco: Too Little, Too Late? [View article]
    Hi texasbucks,

    You state:

    "Those are real people with real lives that will lose their jobs at Cisco, and it will cause them massive grief and stress. Someone is actually looking forward to that, and that's worth printing here? Unbelievable."

    Well, there's a 147 comments so far and counting with regard to that subject matter (i.e. Cisco employees being guillotined):

    http://bit.ly/1kS7zEZ

    Texaxbucks, you know as well as I do that Wall Street loves the "smell of employee blood being spilled and/or guillotined."

    With regard to your statement:

    "How does a statement like that help people invest, which is the purpose of this website."

    Once again Texaxbucks, you know as well as I do that Wall Street loves the "smell of employee blood being spilled and/or guillotined."

    Sincerely,

    Brad Reese
    Mar 25 12:32 PM | Likes Like |Link to Comment
  • Cisco: Too Little, Too Late? [View article]
    Earlier this morning I received the following two very alarming comments (at least in my opinion):

    ----------------------

    "Cisco recently formed a new group called Cloud and Virtualization Group (CVG), which among other things was not mentioned in the latest barrage of marketing blitz of this $1 billion dollar inter-cloud bullshit.

    "This newly formed business unit is led by Gee Rittenhouse, who took over the previous SVP which led CSMTG (Cloud & Systems Management Technology Group). CSMTG has been in decline in recent quarters and has been a constant musical chairs of SVPs rotating. On top of that, several business units within Cisco have been thrown into this new group as well. I can say with sincerity that no one - absolutely no one - is happy with this agreement.

    "Part of the reason why I think this new group was not mentioned in the news is because it's still half-baked. There are many products and features overlap between the newly introduced business units and they will be forced to compete against one another. It will be an absolute bloodbath and backstabbings once the idiot politicians are done wiping their hands clean. All for what? A Pyrrhic victory to lead a team of dunces over the cliff? In the recent CSMTG/CVG all-hands, the atmosphere in the room was cold and tense, and everyone is looking around anxiously trying to protect their asses.

    "Grab some popcorn and let the hunger games begin! Looking forward to layoffs this Autumn to mop up all the carcasses!"

    http://bit.ly/1fXxovM

    ----------------------

    "Rest of the portfolio is still bunch of boxes covered by a fat layer of infomercials, pretty powerpoint decks. All overloaded with buzzwords and corporate/boardroom lingo. Getting a demo of an actual solution/product is not easy, unless customer is willing to spend fortune with Cisco.

    "Many in management spend all day in pointless meetings and their only way of communicating is through Powerpoint decks. They will make technical decisions based on how the blocks on the slides are arranged."

    http://bit.ly/1fXxovQ

    ----------------------

    Sincerely,

    Brad Reese
    Mar 25 09:20 AM | Likes Like |Link to Comment
  • Cisco Should Be Upgraded, Not Downgraded [View article]
    Hi combatcorpsmanVN,

    You make a very good point:

    Never let "accurate facts" cloud your judgement.

    For example, according to Cisco's Quarterly Sales:

    Switching sales topped out during Q3'FY10.

    NGN Routing sales topped out during Q1'FY11.

    SP Video sales topped out during Q3'FY13.

    Collaboration sales topped out during Q1'FY12.

    Wireless sales topped out during Q4'FY13.

    Security sales topped out during Q4'FY10.

    Other sales topped out during Q2'FY10.

    http://bit.ly/R0y2Dj

    Sincerely,

    Brad Reese
    Mar 19 10:50 PM | Likes Like |Link to Comment
  • 5 Reasons John Chambers Should Leave Cisco (And 3 Reasons He Should Stay) [View article]
    Hi Goalkick9,

    If you're a Cisco shareholder who believes NOBODY can replace John Chambers, well, you both deserve each other.

    Change is necessary, for example HP vs. Cisco:

    http://yhoo.it/OCdBfe

    Alcatel-Lucent vs. Cisco:

    http://yhoo.it/OCdzE0

    Once more, if you're a Cisco shareholder who believes NOBODY can replace John Chambers, well, you both deserve each other.

    Sincerely,

    Brad Reese
    Mar 19 02:16 PM | Likes Like |Link to Comment
  • Cisco probed by SEC, Justice Department over Russia unit [View news story]
    Hi Frank,

    Personally I don't think I'm beating a "dead horse," as I've been blogging about Cisco for more than 7-years now.

    First for 3-years on the networking industry Bible, Network World:

    Brad Reese on Cisco

    http://bit.ly/1gAziCJ

    And now for 4-years on BradReeseCom the voice of networking:

    Brad Reese speaks out

    http://bit.ly/KgBscV

    All of my blog posts are "accurate facts" with regard to Cisco.

    Here's my dilemma and/or opportunity (depending on one's viewpoint):

    Readers keep forwarding interesting Cisco issues to my attention, which I love by the way.

    I mean, you can't make up these "accurate facts" about Cisco!

    Sincerely,

    Brad Reese
    Mar 19 02:06 PM | Likes Like |Link to Comment
  • 5 Reasons John Chambers Should Leave Cisco (And 3 Reasons He Should Stay) [View article]
    Hi Albright85,

    Cisco's entire Board of Directors have got to go:

    The only way shareholders will achieve a turnaround at Cisco is by forcing the retirement of Cisco Chairman and CEO John Chambers through the replacement of Chambers' handpicked Board of Directors in a shake-up.

    http://bit.ly/18xvT5d

    Keep in the mind that Chambers has vowed to stay on indefinitely as Cisco's Chairman upon appointing his "successor" as CEO.

    In other words, meet the "new" boss, same as the "old" boss!

    Sincerely,

    Brad Reese
    Mar 18 02:36 PM | 3 Likes Like |Link to Comment
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513 Comments
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