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Technology Stocks : Silicon Graphics, Inc. (SGI)
SGI 92.00-0.1%Nov 12 3:59 PM EST

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To: Don Green who wrote (4829)5/7/1998 3:52:00 PM
From: Jim Davison  Read Replies (1) of 14451
 
I think the sale of MIPS is a good move. MIPS is a company with a huge future that is diverging from SGI's markets. By creating an IPO this brings the hithertofore hidden value of this company to the fore. It also increases the flexibility of SGI to raise cash if it needs to and positions the company to be more flexible in using INTEL chips. They will still have full control over MIPS, so as I see it, they get the best of both worlds. If the IPO is successful, it will be a nice pop for SGI -- maybe $2 - $3/share. --JD
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