Intel said it expects net losses on equity investments and interest and other for the fourth quarter to be roughly $230 million.
According to the company's 10Q, the expected loss is the result of an estimated net loss on investments in equity securities of $280 million, primarily as a result of impairment charges.
Intel said that its gross margin percentage in the fourth quarter should be around 47%, plus or minus a couple of points, compared with 46% in the third quarter.
That projection assumes a richer overall product mix, firming demand, and improving factory utilization, the filing said.
The company expects depreciation for the fourth quarter to be nearly $1.1 billion, while it expects amortization of goodwill and other acquisitionrelated intangibles and costs to be about $550 million in the fourth quarter, according to the 10Q.
Intel continues to hold its capital expenditure figure for 2001 at $7.5 billion.
This spending plan is depends on delivery times of various machinery and equipment, and construction schedules for new facilities.
If the demand for its products doesn't continue to grow and move rapidly toward higher performance products in various market segments, revenue and gross margins could be adversely affected, and manufacturing capacity could be underused, the filing said.
Intel designs, makes and sells computer, networking and communications products.
By Chad Clinton, Dow Jones Corporate Filings Alert; 2026289798; chad.clinton@dowjones.com
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