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Newbridge Over Troubled Water

Cramer's difficulties with this stock remind him of trading rules that can't be broken.
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The Bridge of San Luis Rey. The Bridges at Toko-Ri. The Bridge on the River Kwai. Occurrence at Owl Creek Bridge. A Bridge Too Far. The Newbridge Networks (NN) ?

Name me six bridges that crush everything in their paths, leaving death and destruction in their wake.

Thanks, Alex!

Yeah, and for me it is Double Jeopardy. This is the second time I have been gaffed by this darn Newbridge. Not big, but more pleasurable than any of those other dramas for the participants.

Amazingly, I thought things were going to work either way here. We would either get a bid from someone who lost out for



or we would have a great quarter. Lots of people betting that way. The word was out: a great quarter for Newbridge.

Once again, I come back to rules that can't be broken: You can't speculate on companies with poor operating histories. Life is too short.

No matter that, on the conference call, it was execution issues -- not demand -- that hurt the quarter. When they straighten things out, will the orders still be there? Beats me.

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I will hold my Newbridge. Not going to sell it down here at 27. Hanging on to a piece of the bridge, hoping to be washed to the 30 shore, where I will jump off, hopefully in one piece.

Nasty way to start the day.

Random musings:




Wrath of Khan

? Too early to tell.

James J. Cramer is manager of a hedge fund and co-founder of At time of publication, his fund was long Newbridge, although positions can change at any time. Under no circumstances does the information in this column represent a recommendation to buy or sell stocks. Cramer's writings provide insights into the dynamics of money management and are not a solicitation for transactions. While he cannot provide investment advice or recommendations, he invites you to comment on his column at