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Technology Stocks : Disk Drive Sector Discussion Forum -- Ignore unavailable to you. Want to Upgrade?

To: Tom Simpson who wrote (8627)	8/30/2000 6:02:24 AM
From: Sam	Read Replies (2) \| Respond to of 9256

Let's see. First, Seagate says pricing pressures are just terrible this quarter, terrible. Now they say their build plan might be reduced because of component shortages, not enough ADICs. Squeezed by ruthless competitors, squeezed by crummy suppliers. Geez, business is tough, really tough. I really hope SL and Texas Pacific don't notice, and lower their offer. The Seagate BoD must be holding their collective breath, waiting in anticipation. Sam [The above is sarcastic, if anyone can't guess.] Seagate Tech Retains Its View For Remainder Of FY'01 Tuesday, August 29, 2000 04:35 PM WASHINGTON (Dow Jones)--Seagate Technology Inc. (SEG, news, msgs) said the continuing shortage of ASIC chips used in its disk drives might limit upside potential for the company, but it will not affect its earnings expectations for the current quarter and the remainder of fiscal 2001. In an interview with Federal Filings Business News, a spokesman for the company said, as previously indicated, Seagate could possibly be up in terms of unit volume but would be flat in terms of revenue, margins and earnings for the first quarter, ending Sept. 30. As reported Monday, Seagate said in its annual report filed with the Securities and Exchange Commission that it had shortages and delays in receiving ASICs, or application specific integrated chips, during the fourth quarter ended June 30 and expects similar delays and shortages into fiscal 2001. The filing also said Seagate would have to reduce its manufacturing operations if it couldn't get certain materials, which could have an adverse effect on its results of operations. When asked whether there has been a reduction of operations in the current quarter, the spokesman said, "If there has or if there hasn't, we don't feel there's a significant material impact on the plans or operations for the quarter." The spokesman couldn't comment on whether Seagate has any contingency plans, such as using other suppliers, to mitigate the chip-shortage situation. Seagate, of Scotts Valley, Calif., provides technology and products that allow users to store, access and manage information.