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Politics : Formerly About Advanced Micro Devices
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To: Petz who wrote (92960)2/14/2000 1:52:00 AM
From: Aaron Cooperband  Read Replies (1) of 1576121
 
John -

Re: "If additional sales come out of inventories rather than additional production, there is an automatic, built-in profit of $20 to >$100 from each CPU sold from inventory."

Not if these CPUs were early lots that cost $100 each to produce and are carried in inventory at that the lower of cost or market. I haven't claimed that this is the case, only that it is a possible scenario. This scenario would explain why AMD announced increased sales without also announcing increased earnings at the same time.

Aaron
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