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To: Dutch who wrote (30103)	8/22/2000 12:19:35 AM
From: Mannie	Read Replies (1) \| Respond to of 35685

As it closed tonight, I think you can get 10% on SSTI Sept 30's, plus the appreciation of the stock to 30...I may dip my toe in on that. After I see how the market reacts to the FOMC I will make some decisions and wade in. Good night ....me to...Scott

To: Dutch who wrote (30103)	8/22/2000 7:28:38 AM
From: cowgirl-ona-1eyed-horse	Respond to of 35685

Dutch, others re:SSTI CE Unterberg upgrades SSTI, reiterates Strong Buy. Will we get our 'pullback' for new positions in SSTI? cowgirl ------------------------------------------------------------- A Yahoo poster comments on the CE Unterberg Teleconference... messages.yahoo.com ---------------------------------------------------------------- SSTI upgraded today by Unterberg Tow stockquestor 8/21/00 10:55 pm CE Unterberg Reiterates Strong Buy on SSTI (8/21/00) Silicon Storage Technology, Inc / (SSTI $24 7/8) STRONG BUY Q3 TRACKING AHEAD OF EXPECTATIONS - RAISING ESTIMATES- REITERATE STRONG BUY RATING Karl Motey 415-659-2242 kmotey@unterberg.com Kalpesh Kapadia 415-659-2243 kkapadia@unterberg.com Tim Miller, CFA 415-659-2245 tmiller@unterberg.com * Q3 tracking ahead of expectations: After meeting with management on Friday, we believe SST is experiencing strong business momentum driven by the continued supply/demand imbalance in the Flash market. Additionally, we believe margin expansion should continue due to improving yields and higher ASP’s, partially offset by somewhat higher wafer prices. As such, we are raising our estimates for the remainder of CY00. Our estimates for Q300 go to $145M and $0.28 from $130M and $0.24. Our estimates for Q400 go to $190M and $0.36 from $165M and $0.30. * Supply environment remains tight: Management’s recent visit to Taiwan included high level meetings with several of its foundry partners. We believe leading foundries are already in the process of production planning for 2002, suggesting a continued tight supply environment through 2001. SST’s wafer supply situation in 2001 should improve, primarily due to the Company’s strong relationships with its foundry partners, in our opinion. We believe the increased wafer supply combined with the Company’s shift toward 0.18 micron should result in substantially higher bit output (about 3-4x bit growth vs. CY00). * Demand outlook remains robust: SST is currently negotiating volume purchase agreements with over 100 OEM’s, many of which are Tier 1, diversified across multiple end markets. Additionally, we believe SST is experiencing strong demand for its recently introduced ATA-Disk Chip (ADC) product family from the Internet Appliance market. This higher margin business could provide substantial upside to our 2001 estimates. On the embedded flash front, SST is gaining several high profile design wins with key OEM’s such as Motorola, National Semiconductor, TSMC, and Alcatel among others. We believe SST’s royalty revenue stream could grow as much as 3-4x y/y in 2001. * Reiterating strong buy rating and $65 target price (split adjusted), based on about 36x our 2001 EPS estimate of $1.78. Key Data 52 Week Range $39- $4 Weighted Average Shares (MM) 95.8 Float 75M % Held Institutionally 20% Market Capitalization (MM) $2384 Average Daily Volume (000) 4760 Revenues – LTM (MM) $248.9 Total Debt (MM) $0.0 Cash Per Share $2.26 Long Term Growth Rate 50% 12 Month Target Price $65