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

To: Jim McMannis who wrote (89115)	1/23/2000 9:44:00 PM
From: kash johal	Respond to of 1571806

Jim, Welcome back. The price action last week was surprising to everybody. It rallied to $45 and then plummeted with very high volumes. I am wondering if its the bondholders who have conversion rights at around $37/share. I can see lots of them converting into stock and dumping immediately for a quick 5-10% gain. Considering that bondholders are conservative by nature - holding onto AMD common stock would be the last thing they would do. And I can't see them holding off of conversion as likelihood may be that stock will dump below $37. Do you or anyone else know the mechanics of bond conversion and subsequent sale. Is this like an easy real time event or something requiring time and lotsa paperwork. I don't recall how much the bond and price was. but if they raised $250M when stock price was $27 (with a right to convert at $37) and a 10% interest rate. So hypothetically there could be conversion of up to 20M shares or so. Of course we would all get diluted but balance sheet would look better. regards, Kash regards,