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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: The Phoenix who wrote (90033)	10/12/1999 8:46:00 PM
From: puborectalis	Read Replies (1) \| Respond to of 186894

Where's the doom and gloom in this.............Intel Earnings Rise 21 Percent SANTA CLARA, Calif. (Reuters) - Intel Corp., the world's largest maker of semiconductors, reported third quarter earnings that were slightly below analysts' estimates, as the average price of its core microprocessors fell in the quarter. But the company also forecast a ''seasonally strong'' fourth quarter, comments which could help ease investor worries. In recent weeks, investors have been nervous that the recent Taiwanese earthquake would have a negative impact on semiconductor makers and the personal computer industry. Excluding acquisition costs, Intel reported net income of $1.9 billion, or 55 cents a share, up 21 percent from the third quarter a year ago. According to First Call, the consensus among analysts was for 57 cents a share. ''Average selling prices were down from the second quarter and a little lower than we expected,'' said Intel chief financial officer Andy Bryant, in an interview. ''We did take market share at the low end, which causes ASPs to be lower.'' Intel has been gaining market share at the low-end of the PC industry against rival Advanced Micro Devices Inc. as the two companies have engaged in constant price cutting. In after-hours trading, Intel's shares fell $5 to $71.25, traders said. Intel's shares closed at $76.6875 Tuesday. Intel's results were released after the market closed. Including acquisition costs, Intel reported net income of $1.46 billion, down six percent from the third quarter of 1998's net income of $1.56 billion. Diluted earnings, including merger costs, were 42 cents per share, down from 44 cents a year ago. Revenues jumped nine percent to $7.3 billion in the quarter, from $6.7 billion in the third quarter a year ago. Third quarter revenues include post-acquisition revenue of companies acquired in the third quarter. Third quarter revenues were also up nine percent from the prior second quarter. Intel said that its gross profit margins were down slightly compared to the gross margins of 59 percent of revenues in the prior second quarter. Average selling prices of microprocessors were down in the third quarter from the second quarter, but the company was not more specific. Intel said that shipments of microprocessors, chipsets, and flash memory chips all grew substantially to new records during the quarter. Craig Barrett, Intel's chief executive, said that Intel's core microprocessor business was ''solid.'' The chip giant also said that it looks forward to ''seasonally strong'' business in the fourth quarter, with revenues in the fourth quarter up from third quarter revenues of $7.3 billion. Gross margins in the fourth quarter are expected to be up a couple of points from the third quarter. ''We forecast the quarter to be up, which includes our assessment of Taiwan,'' Bryant said. ''We talked to all the suppliers and our supply lines are in place. None of our customers have said they are going to do anything different because of the earthquake. Right now we are pretty comfortable that revenue will be up in the fourth quarter.'' Intel also said that capital spending for 1999 is now expected to be up to $3.3 billion, up from the company's previous guidance of $3.0 billion. This is primarily due to the capital spending of companies Intel acquired in the third quarter and the earlier-than-expected ramp of its online services business, Intel's data center and Web hosting business. In the third quarter, Intel completed its acquisition of networking chip maker Level One Communications Inc. for $2.3 billion, in a stock-for-stock deal. The company also acquired privately-held Softcom Microsystems Inc., a networking chip company which develops chips for high-speed networks, in cash. Earlier Stories

To: The Phoenix who wrote (90033)	10/12/1999 8:51:00 PM
From: puborectalis	Respond to of 186894

Squawk box tomorrow... Enter name or symbol Symbol Lookup Full Guest List Video Highlights Your Feedback FULL GUEST LIST CNBC Guest List for October 13, 1999 Last Updated: 4:50 PM ET 10/12/99 Today's Business: 5:00-7:00am ET Christopher Low Chief Economist First Tennessee Capital Markets re: Markets Alan Murray The Wall Street Journal re: Washington Briefing Nick Hastings Dow Jones Newswires re: Foreign Exchange Ed Keon Dir. of Quantitative Research Prudential Securities re: Markets Tom Herman The Wall Street Journal re: Tax Report Robert Stovall Portfolio Manager Stovall/Twenty-First Advisers re: Stock Pickers Club - Value Squawk Box: 7:00-10:00am ET Liam Dalton President Axiom Capital Mgmt Squawk Box Guest Host Franklin Raines Chairman & CEO Fannie Mae Drew Peck Semi-conductor Analyst SG Cowen re: Sector Spotlight Charles Boucher Semiconductor Analyst Bear Sterns re: Sector Spotlight Farooq Kathwari Chairman & CEO Ethan Allen Interiors Charles White President Avatar Associates re: Word on the Street