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Strategies & Market Trends : Zeev's Turnips - No Politics -- Ignore unavailable to you. Want to Upgrade?

To: Jdaasoc who wrote (94955)	7/15/2002 11:18:17 PM
From: Softechie	Respond to of 99280

After today late jam job, you can expect more selling to continue...Da Boys know where this market is going and have too much in inventories and need to lighten up...more Da Deers and Suckers will help them out...

To: Jdaasoc who wrote (94955)	7/15/2002 11:29:14 PM
From: stomper	Respond to of 99280

Intel CEO's Planned Speech Fuels Talk of Imminent Cuts By DON CLARK Staff Reporter of THE WALL STREET JOURNAL An address by Intel Corp.'s chief executive officer to employees Tuesday, combined with a dismal personal-computer market, is prompting speculation the chip maker may announce massive layoffs or other cost-cutting measures along with its second-quarter earnings. CEO Craig Barrett is scheduled to speak to employees at the Santa Clara, Calif., company after stock markets close, about the same time as the chip maker discusses its second-quarter results in a conference call with analysts. Intel declined to comment on what Mr. Barrett will discuss, nor on the possibility of any work-force reduction. Word of Mr. Barrett's planned speech spread rapidly Monday, prompted in part by a research note put out by Jonathan Joseph, an analyst at Salomon Smith Barney. He and other analysts were quick to say they had no direct knowledge of Intel's plans, but said they would not be surprised by a substantial belt-tightening. But Mr. Joseph noted the last time Mr. Barrett addressed the company this way, shortly after the Sept. 11 attacks, the CEO observed that Intel's headcount was about 20,000 higher than it was three years ago -- when revenues were about the same level as last fall. The implication, Mr. Joseph said, was the company's work force would have to shrink sharply if revenues didn't rise. Rather than rise, a revised forecast by the company in early June suggests revenue for the second quarter will decline, coming in at a range of $6.2 billion to $6.5 billion, down from $6.8 billion in the first period. Analysts expect only a modest improvement later this year. At the end of the first quarter, Intel had about 83,000 employees, down from 86,000 at the end of 2000. Current and former employees are speculating the company might lay off an additional 10,000 workers. But other former employees and analysts familiar with company's plans say Mr. Barrett may discuss a range of other options, including pay cuts, or simply offer a pep talk to employees. Joseph Osha, a Merrill Lynch analyst, said Wall Street is concerned with Intel's profit margins, and headcount reductions could help improve the margins. On the other hand, a big reduction could be seen as a negative sign about Intel's confidence in the growth of the PC market. "Intel likes to continue to invest during the down times," said Ashok Kumar, an analyst with U.S. Bancorp Piper Jaffray. "If they bring down the hatchet, the signals will be mixed." In 4 p.m. Nasdaq Stock Market trading, Intel shares rose $1.13 to $19.12 each. Write to Don Clark at don.clark@wsj.com Updated July 16, 2002