LOS ANGELES (Reuter) - The stock of snowboard maker Ride Inc. slid 
25 percent after confusion broke out when the company told 
analysts its annual earnings would be concentrated in the second half 
rather than spread evenly. 

The analysts accordingly cut their first half estimates and applied 
them to the second half. However the changes sent the shares on a 
downhill slalom, even though the overall forecasts for 1996 were 
either unchanged or raised. 

The Preston, Wash.-based firm's stock fell $8.50 to $25, making it the 
biggest loser on the Nasdaq system. 

``I'm amazed at the apparent level of panic,'' Ride Chairman Roger 
Madison said in an interview. 

Hambrecht & Quist analyst Shelly Young said the selling was 
overdone and she expected a partial retracement on Monday. After 
speaking to the company, she maintained her buy rating and her 
1996 earnings estimate. 

Throughout the day, Madison called about half a dozen analysts to 
give them an update on their earnings models, telling them that costs 
were increasing as a result of increased manufacturing capacity and 
research spending. However gross margins were increasing too, he 
added. 

``Our SG&A (Selling, General & Administrative costs) is becoming 
more fixed because of the fact that we acquired a manufacturing 
plant and because we're adding SG&A to support increased levels of 
sales that are happening,'' Madison said. 

``A lot of that you incur in the first quarter even though the 
revenues don't come till the third and fourth quarters.'' 

Analysts had been a little optimistic about the company's ability to 
reduce the company's reliance on seasonal factors, he said. But he 
was very comfortable with the updated models. 

Madison is Ride's third biggest shareholder with about 550,000 
shares. The biggest shareholder is Chief Executive Officer James 
Salter with 1.2 million shares. The company has about 10.5 million 
shares outstanding, he said Friday. 

06:37 01-15-96