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Technology Stocks : Alliance Semiconductor -- Ignore unavailable to you. Want to Upgrade?

To: DJBEINO who wrote (6743)	1/4/2000 4:59:00 PM
From: DJBEINO	Respond to of 9582

Lattice Semiconductor To Report Gain On United Micro Investment HILLSBORO, Ore. -- Lattice Semiconductor Corp. said Tuesday it will record a pretax gain of $150 million, or $92 million after taxes, sometime in the first three months of 2000 from investments made in affiliates of United Microelectronics Corp., Taiwan's second-largest chip maker. Hillsboro, Ore.-based Lattice (LSCC) said the gain represents appreciation of investments in United Integrated Circuits Corp. and Utek Corp., both of which are to be merged with United Micro in the next several weeks. Lattice said it will record the gain upon completion of the transaction. United Micro said Tuesday it will list 2.49 billion new shares on Jan. 10 as a result of its merger of several affiliates. The new equity will initially be listed in the form of share certificates with the actual shares only being created in mid-February. In June, United Micro announced its intention to merge with several of its affiliates, including United Integrated Circuits and Utek. Lattice now owns 61% of United Micro's shares. The company can't sell the shares until July, with regulatory restrictions gradually expiring sometime between July 2000 and January 2004. Lattice didn't specify how the gain will affect earnings for its fiscal fourth quarter, which ends in April. The mean estimate of 15 analysts surveyed by First Call/Thomson Financial was for fiscal fourth-quarter earnings of 40 cents a diluted share, excluding gains. For the fourth quarter ended April 3, 1999, Lattice earned $11.8 million, or 49 cents a diluted share on a presplit basis, on revenue of $53.8 million. In August, the company declared a 2-for-1 stock split payable on Sept. 16, 1999. Copyright (c) 2000 Dow Jones & Company, Inc. ++++++++++++++ Xilinx To Post Gain On United Silicon Merger Dow Jones Newswires SAN JOSE, Calif. -- Xilinx Inc. (XLNX) said Tuesday it will post a gain of about $400 million in its fiscal fourth quarter ending April 1, related to a merger in Taiwan of United Silicon Inc. and United Microelectronics Corp. Xilinx said the gain represents the appreciation of its investment in United Silicon. It will report the gain as other income. A First Call/Thomson Financial survey of 23 analysts estimated the company will post earnings of 20 cents a share in its fourth quarter. In the fourth quarter ended March 31, 1999, Xilinx earned $39.3 million, or 24 cents a diluted share, on revenue of $184.3 million. The merger gives Xilinx ownership of 222 million United Microelectronics shares, or about 2% of the UMC Group. Due to restrictions imposed by United Microelectronics and the Taiwan Stock Exchange, Xilinx will be subject to a certain holding period during which it won't be able to sell its shares. When these restrictions are removed, Xilinx said its potential gains may change, although it has no plans at present to sell the stake. Xilinx also said its wafer capacity arrangement with UMC Group is unchanged, though the new structure will allow it to access foundry capacity within the entire UMC Group. +++++++++++++ Trident To Report $125 Million Non-Recurring Gain From UMC Stock Appreciation SANTA CLARA, Calif., Jan. 4 /PRNewswire/ -- Trident Microsystems, Inc. (Nasdaq: TRID - news), today announced that it intends to realize a $125 million pre-tax gain in its Statement of Operations for the quarter ending March 31, 2000. This gain will be reported as Other Income and represents the appreciation of an investment made in United Integrated Circuits Corporation (''UICC'') wafer fab joint venture in Taiwan. The event which triggers this gain recognition is a now completed merger of UICC into United Microelectronics Corporation, (''UMC''). As a result of this merger Trident now owns approximately 46.5 million shares of UMC. The gain represents the difference between Tridents cost of its previous investment in UICC and the most recent quoted market price of the UMC shares on the Taiwan Stock Exchange. The gain announced today places the current total value of Trident's previous investment of $49.6 million at approximately $175 million. In addition to the gain announced today, Trident has also experienced an increase in value of its original UICC investment as a result of today's more favorable rate of currency exchange in the conversion of U.S. dollars to Taiwan dollars (NT). The gain realized from the appreciation of this investment does not include the 12.5% guaranteed fab capacity also granted to Trident as a part of the merger agreement. As of today, a portion of the UMC shares received by Trident as a result of the merger may now be sold at Tridents discretion, however, in order to preserve the 12.5% wafer capacity guarantee there are some restrictions on this ability. At such time as the Company chooses to exercise its ability to sell any UMC shares it is likely the amount of any gain will have changed.