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To: Jorj X Mckie who wrote (57752)	10/26/2000 5:41:23 PM
From: Junkyardawg	Read Replies (1) \| Respond to of 63513

INTERVIEW:Analog Devices China Sales To Top $100M By '02 By JASON DEAN OF DOW JONES NEWSWIRES BEIJING -- Analog Devices Inc.'s (ADI) sales in mainland China are more than doubling every year and should break $100 million in the next two years, Executive Vice President Brian McAloon said Tuesday. In Beijing to launch a new research and development center, McAloon also said the company is still on track to boost total revenue by 45% next year on top of 75% growth this year. "We're not, at this stage, pulling back from the forecasts for next year," he told Dow Jones Newswires in an interview. Analog Devices makes microchips that process digital and analog signals for everything from television remote controls to mobile phone equipment. The company officially opened its $5 million research and development center here, saying it planned to double the investment and the project's 28-person staff over the next few years. Analog Devices also plans to double its China sales force to 50 people in that period. Executives declined to specify how much Analog Devices sells in China now, but McAloon said revenue is "doubling and tripling every year." "We can already see a path whereby China will be over $100 million within the next couple years," McAloon said, adding that the threshold could be broken sooner depending on the production schedules of its clients here. China is part of wider growth story in Asia-Pacific for Analog Devices. The region now accounts for about 33% of total worldwide sales, compared with about 45% for North America. McAloon said Asia's share could rise by one or two percentage points in the next year or two. Analog Devices surprised investors last quarter by announcing an unexpectedly sharp jump in revenue and profit. The company earned 43 cents a share, compared with 15 cents a year earlier, and it told analysts to expect between 12%-14% growth in the revenue for fourth quarter, which ends this month. With other chipmakers suffering, the market cheered the news, sending Analog Devices' shares to $101.375 by Sept. 1 from less than $60 in early August. The stock has since settled, ending Monday in New York down $1.0625 at $79. Analysts expect the company to post a quarterly profit of about $0.50 a share when it announces its latest results November 14. McAloon said Analog expects to reach sales of $2.5 billion this year but declined to comment on results for the latest quarter. More broadly, he said strong expansion in the telecommunications sector will continue to drive Analog Devices' revenue. Sales to the telecom industry rose to 40% of total revenue last year from 15% in 1995. McAloon said telecom sales are now running at about 50% of the total. Taken from the ADI thread: