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Technology Stocks : Advanced Micro Devices - Moderated (AMD) -- Ignore unavailable to you. Want to Upgrade?

To: tejek who wrote (52090)	8/22/2001 10:05:17 PM
From: wanna_bmw	Read Replies (1) \| Respond to of 275872

Ted, Re: "However the balance sheet indicates the company made a profit last quarter so they shouldn't be burning cash. Where did the cash go?" I assume it went towards acquisitions and/or R&D/CapEx. Intel is still building and expanding their manufacturing on several sites. This costs a bundle. Someone feel free to correct me, though, if these are listed elsewhere on the balance sheet. wanna_bmw

To: tejek who wrote (52090)	8/22/2001 10:06:21 PM
From: Dan3	Read Replies (1) \| Respond to of 275872

Re: Intel is sitting on a lot of cash..... on $9.4 billion... Intel spends about $6 Billion per quarter, and has $9 Billion on hand. AMD spends about $0.9 Billion per quarter and has $1.1 Billion on hand. The matchup is much, much, less uneven than it appears at first glance. Intel has 4.5 months of cash available while AMD has 3.5 months of cash available.

To: tejek who wrote (52090)	8/22/2001 11:10:08 PM
From: brushwud	Read Replies (1) \| Respond to of 275872

However the balance sheet indicates the company [INTC] made a profit last quarter so they shouldn't be burning cash. Where did the cash go? Intel has a regular program of spending $1 billion/Q to buy back their own shares. I think it's hilarious that every $28 would earn $1/year in interest if they held onto it, but invested in INTC earned only 3 cents last Q. Intel is sitting on a lot of cash..... on $9.4 billion...they could go for over 3 years at what appears to be their quarterly burn rate. You seem to imply that any level of cash is just discretionary, but every company needs a certain amount of cash just to run their business. I doubt if they'd be very healthy with, say, $3 billion in cash.