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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Petz who wrote (86254)	1/10/2000 12:43:00 AM
From: tejek	Respond to of 1575424

From an accounting point of view, this will not help the stock price. Cap gains are reported as a separate line item in the report, and analysts will be looking at 1)total revenues 2)operating earnings per share including acquisition costs John, normally I would agree with you but my experience with Intel and the analysts leads me to believe that the analysts will do almost anything to keep Intel on top. They will grumble about the sold stock and how it helped on the profit side but I bet their ratings will stay intact and the institutions will not sell off like they did with Dell. Maybe missing a third quarter will be the charm but I doubt it. There is almost a double standard for Intel and a couple of other stocks like MSFT where the rules just do not seem to apply. JMO. ted

To: Petz who wrote (86254)	1/13/2000 5:31:00 PM
From: Petz	Read Replies (3) \| Respond to of 1575424

Thread, here's what I wrote about "one time charge" on Sunday (follow link after "who wrote" above): There is one thing Intel can do to obscure a bad quarter -- take a "charge" against earnings. For example, Intel could "write off" most of the development cost for the i820 and report it as a "one time loss." In fact, there's three or four things Intel could take "one time losses" for this quarter. So, instead ofr reporting a profit of 0.60, they report a profit of 0.64 plus a "one time loss" of 0.04. The accountants can have a field day dreaming up things that qualify to be a "one time loss." Intel will explain that the i820, CC820 redesign costs, RAMBUS subsidies, etc., etc., are only one-time costs that it have now been put behind. Actually, I'm glad they did this. If the R&D charge is mostly IR&D of acquired companies, then their quarter was really OK, but not great. Petz