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Technology Stocks : Qualcomm Incorporated (QCOM) -- Ignore unavailable to you. Want to Upgrade?

To: Boplicity who wrote (93171)	2/2/2001 12:49:35 PM
From: Labrador	Read Replies (1) \| Respond to of 152472

How much could they get for the chip business, and what would they do with all that cash?

To: Boplicity who wrote (93171)	2/2/2001 1:12:27 PM
From: cfoe	Read Replies (2) \| Respond to of 152472

RE: INTC buying Spinco. 1 - Management just said it will be proceeding with spin-off to stockholders. 2 - Tax-wise, from the standpoint of the individual investor, of which management are among the largest, distribution of stock must! proceed anything else or the tax hit on the money received will be huge. It would turn real and potential capital gains into ordinary income. We do not want this! We want distribution of stock to stockholders. BTW - this rumor was just been announced on CNBC. Now, there may be one way for all this to work. I wonder if INTC could buy Spinco for INTC stock and simultaneously QCOM would distribute this stock, tax-free, to its shareholders. Cost basis of INTC stock received would be the cost basis of Spinco shares in a distribution. I am not a tax expert, so i have no idea if this would work. Anyone else out there have some expertise in this area?