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Politics : Formerly About Advanced Micro Devices

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To: Paul Engel who wrote (32296)5/1/1998 4:39:00 PM
From: Yousef  Read Replies (1) of 1580619
 
Paul,

Re: "Moody's cuts Advanced Micro Devices ratings ..."

Good post ... as usual. I found some other interesting things in that
link. AMD's business model of buying wafers/parts from IBM and then
re-selling is also questioned in this link ... I believe that some of
us on this thread had already discussed that issue. <ggg>

biz.yahoo.com

"AMD has recently entered into a two year microprocessor foundry
arrangement with International Business Machines (senior at A1) whereby IBM will produce K6 chips solely for marketing by AMD ...

Moody's is not convinced that AMD can maintain a viable and robust long term
business model under this foundry arrangement. Moody's noted that the all of the
senior debt issues are secured by the company's semiconductor facility in
Austin, Texas, known as Fab 25, which is used to make its K6 microprocessor."


Make It So,
Yousef
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