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Technology Stocks : Intel Corporation (INTC)
INTC 37.81-4.3%Dec 12 9:30 AM EST

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To: Amy J who wrote (168153)7/14/2002 12:40:29 AM
From: Dan3   of 186894
 
Re: what is the state of Intel's processes and why are the margins so poor nowadays

It's a business with high fixed costs and low variable costs. When volume goes down, so do profits - especially if your forecasts are based upon the theory that PCs are replaced by businesses on a 3 year cycle and the high number of systems bought in 1999 were going to be replaced this year.
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