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Technology Stocks : WDC/Sandisk Corporation -- Ignore unavailable to you. Want to Upgrade?

To: Ausdauer who wrote (21341)	12/18/2001 10:17:32 PM
From: charlyfi	Read Replies (2) \| Respond to of 60323

Micron Technology, Inc., Announces Intent to Acquire Toshiba's Commodity DRAM Business micron.com.

To: Ausdauer who wrote (21341)	12/19/2001 2:18:56 PM
From: Art Bechhoefer	Read Replies (1) \| Respond to of 60323

Aus, I would question whether the cost of transferring production to Japan is borne wholly by Toshiba. The reason is that SanDisk has announced its intent to issue $100 million of convertible bonds in a private placement. Must be some reason for suddenly needing all that cash. What I see is that SanDisk no longer owns even part of a fabricating facility, and meanwhile, it shares its technology with one of the largest chip producers in the world. Where's the benefit for SNDK? The bond issue will absorb at least $4 million annually just in interest costs, putting a further damper on near term profits. The stock performance today reflects these costs. Art