Ellison said in a television interview that he was not surprised by the lawsuit. He said J.D. Edwards executives were probably disappointed that they werent going to get what he said were lucrative bonuses if PeopleSoft bought their company. PeopleSoft President and CEO Craig Conway acknowledged on Thursday during a conference call with analysts and press that he and Ellison have discussed merging the companies application software businesses before. Conway also predicted that Oracle would lose PeopleSoft customers database business to IBM as a result of its takeover bid."Ironically, one of the reasons he dismissed it was he felt that there needed to be one code base. And I felt that it was not advisable to leave 10 or 12,000 customers having to convert," Conway said. PeopleSoft Chief Financial Officer Kevin Parker added that one other meeting of senior managers from Oracle and PeopleSoft did occur. There were few new revelations during the conference call to detail why PeopleSofts Board of Directors voted unanimously to reject Oracles takeover bid as Conway and Parker reiterated that the deal was rejected largely because of fears that it would be held up by antitrust scrutiny, leaving customers, employees and the industry itself in limbo. Conway and Parker declined to comment on whether or not PeopleSofts Board might approve the deal if Oracle increased its offer from $16 per share. Conway said that the issue is now closed.
"I had approached Larry a little bit more than a year ago when Oracle was having some very significant problems with the quality of their applications release, Oracle 11i," Conway recounted. "At the time industry analysts were encouraging Oracle to be a technology stack company, and I offered to acquire the Oracle applications suite and maintain it and improve it under PeopleSoft. That discussion led to one other discussion between he and I, and he dismissed that.