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Technology Stocks : Amkor Technology Inc (AMKR) -- Ignore unavailable to you. Want to Upgrade?

To: Artslaw who wrote (583)	2/29/2000 2:11:00 AM
From: tech101	Respond to of 1056

Thanks for the information, Steve. Packaging outsourcing does make sense because of the higher and higher complexity and entry barrier to the business when chips become more complex, smaller in size and higher in speed. The trend seems to be that the cost of packaging is taking a higher share in the total chip cost.

To: Artslaw who wrote (583)	2/29/2000 2:31:00 AM
From: tech101	Read Replies (1) \| Respond to of 1056

According to SSB: (http://messages.yahoo.com/bbs?action=m&board=9029795&tid=amkr&sid=9029795&mid=11597) (The Anan fab) "At a current run rate of 17,000 wafers/month (which will eventually be expanded to 30,000 wafers/month), the company produces about 200,000 wafers per year. This is about 25% of the current wafer run rate of Chartered Semiconductor (CHRT, 1H), which has a market capitalization of about $11.1 billion currently. This suggests Amkor got a very good deal." That means if Amkor/Anam spins off the fab business today, it may be worth $2.775 billion! Well, Amkor is taking 42% of Anam with a price tag $459 million plus things other than the fab. Unless this purchase of Anam includes very heavy debt taking over, 42% of $2.775 is $1.1655 billion -- a much high value than the $459 million being paid.