Palm stops production of CDMA Pre and Pre Plus

Word has it that Palm has told Foxconn to stop all production of CDMA Pre and Pre Plus smartphones, which currently see action from Sprint and Verizon, respectively. This temporary suspension applies to the month of February only, and it seems that nobody else knows whether shipment will resume from March onwards. Other quarters claim that Palm has issued this directive not because it is in trouble, but due to the Chinese New Year holidays. Do you buy that story from Palm?