3Com Launches Palm IPO.Business Editors/High-Tech Writers SANTA CLARA Santa Clara, city, Cuba Santa Clara (sän`tä klä`rä), city (1994 est. pop. 217,000), capital of Villa Clara prov., central Cuba. , Calif.--(BUSINESS WIRE)--March 2, 2000 Following today's successful initial public offering of stock in Palm, Inc., 3Com (Nasdaq:COMS COMS 3Com Corporation (stock symbol) COMS Certified Orientation and Mobility Specialist COMS Continuous Opacity Monitoring Systems COMS City of Manchester Stadium (UK) ) reconfirmed its intention to complete a spin-off The situation that arises when a parent corporation organizes a subsidiary corporation, to which it transfers a portion of its assets in exchange for all of the subsidiary's capital stock, which is subsequently transferred to the parent corporation's shareholders. of the remaining shares of Palm owned by 3Com in approximately six months. 3Com owns approximately 532 million shares, or approximately 95%, of Palm. There are currently approximately 349 million shares of 3Com common stock outstanding. Final approval of such distribution will be made by 3Com's board of directors based on the number of shares outstanding of each company at the time of the distribution. However, if such ratio were to be calculated based on today's outstanding shares, 3Com shareholders holding 3Com stock as of the distribution date would be eligible to receive approximately 1.5 shares of Palm for each share of 3Com. The Palm initial public offering will close on Tuesday Tuesday: see week. , March 7. As stated in the prospectus for the Palm initial public offering, the distribution is contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress" contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent formal approval by 3Com's board of directors and the receipt of a ruling from the Internal Revenue Service that the distribution will be tax-free tax-free adj. Not subject to taxation; tax-exempt. tax-free Adjective not needing to have tax paid on it: a tax-free lump sum Adj. 1. to 3Com shareholders. About 3Com Corporation With over 300 million customer connections worldwide, 3Com Corporation connects more people and organizations to information and each other in more innovative, simple and reliable ways than any other networking company. 3Com delivers e-Networking solutions through information access products and network systems to enterprises, small businesses, consumers, carriers and network service providers. For further information, visit 3Com's World Wide Web site at www.3com.com or the press site at www.3com.com/pressbox. |
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