pomp,
Produce or return the capital infusion, with interest. (Of course, I don't know the terms of the cash infusion, but I have to think Intel has some leverage there)
intel.com
Intel Makes $500 Million Equity Investment In Micron Technology, Inc.
Funding to support memory development and supply, accelerate RDRAM development
SANTA CLARA, Calif., Oct. 16, 1998 - Intel Corporation and Micron Technology, Inc., announced today that Intel will make a $500 million equity investment in Micron. Intel will acquire stock rights exchangeable for common stock representing approximately 6 percent of Micron's outstanding common stock.
Date Open High Low Close Adj. Vol. Adj. Close
Oct-16-1998 33.875 34.5 32.0 32.0 12,254,400 16.0
May-5-2000 62.0 63.0 60.0625 60.5 4,657,000 60.5
So, if Intel chose to take back their MU investment and sold their shares, they only would get $1.89B for their $500MM.
On the other hand, Micron might possibly be planning more RDRAM production than is generally believed.
Barry
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