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Technology Stocks : Silicon Graphics, Inc. (SGI) -- Ignore unavailable to you. Want to Upgrade?

To: Thomas A Watson who wrote (8455)	1/3/2001 10:53:23 PM
From: Ms. Baby Boomer	Respond to of 14451

SGI and Goldman Sachs Announce Real Estate Deal Companies Complete $276 Million Sale and Lease Back of SGI Campus MOUNTAIN VIEW, Calif., Jan. 3 /PRNewswire/ -- SGI (NYSE: SGI - news) today announced the sale of a portion of its corporate real estate in Mountain View, Calif. to an affiliate of The Goldman Sachs Group, Inc. (NYSE: GS - news) for approximately $276 million. As a part of the deal, SGI has leased back the property and will continue to occupy its current campus. The transaction, which was completed on December 29, 2000, will result in initial net proceeds to SGI of $185 million. The balance of the transaction will be completed and proceeds received prior to December 31, 2001. SGI had previously announced plans to sell select non-operating assets during the fiscal year as a part of its overall financial restructuring outlined in October 2000 by Harold Covert, the company's new CFO. ``Our plan is to take advantage of our real estate situation and better leverage these assets to continue to build our business,'' said Covert. ``Ultimately, this move allows us to improve our cash position, invest in our core business and deliver enhanced shareholder value.'' The company will announce its second quarter earnings on January 18, 2001. ``This transaction is part of our continued strategy of helping corporations raise capital by monetizing the value of their real estate holdings,'' said Steven M. Feldman, managing director for Goldman Sachs. About SGI SGI, formerly known as Silicon Graphics, Inc., is a technology solutions provider with a broad range of high-performance computing, advanced graphics, and consulting services that enable its technical and creative customers to maintain a competitive advantage in their core businesses. Whether they are being used to design and build safer cars and airplanes, discover new medications and oil reserves, help us understand and better predict the weather, or entertain us with thrilling movie special effects, SGI(TM) systems and expertise are empowering a world of innovation and discovery. The company is headquartered in Mountain View, Calif., and has offices worldwide. About Goldman Sachs Goldman Sachs is a leading global investment banking and securities firm, providing a full range of investing, advisory and financing services worldwide to a substantial and diversified client base, which includes corporations, financial institutions, governments and high net worth individuals. Founded in 1869, it is one of the oldest and largest investment banking firms. The firm is headquartered in New York and maintains offices in London, Frankfurt, Tokyo, Hong Kong and other major financial centers around the world. NOTE: SGI is a trademark of Silicon Graphics, Inc. All other trademarks mentioned herein are the property of their respective owners. SOURCE: SGI biz.yahoo.com