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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: GVTucker who wrote (174376)	5/7/2003 9:37:40 AM
From: Road Walker	Read Replies (2) \| Respond to of 186894

Reuters Intel backs outlook, quantifies option cost Wednesday May 7, 9:17 am ET NEW YORK, May 7 (Reuters) - Intel Corp. (NasdaqNM:INTC - News), the world's largest microprocessor maker, on Wednesday backed its second-quarter revenue outlook and said expensing stock options would have cut first-quarter earnings by one-third. ADVERTISEMENT An uncertain global economy makes it difficult to predict demand, Intel said in a filing with the Securities and Exchange Commission (News - Websites). It forecast second-quarter revenue of $6.4 billion to $7 billion, the same outlook that it gave on April 15, when it reported first-quarter results. The Santa Clara, California, company said it expects to spend between $3.5 billion and $3.9 billion on equipment and other technology used in manufacturing chips, unchanged from previous expectations. Intel said it sees amortization costs related to acquisitions at $80 million in the second quarter and $300 million for 2003. The company said it would update investors again on its business on June 5. Intel, a vocal opponent of accounting regulators' efforts to mandate the expensing of stock options, said that move would have cost it $298 million or 5 cents per share, in the first quarter, based on the Black-Scholes option pricing model. That would have cut quarterly net income to $617 million, or 9 cents per share -- 33 percent less than the $915 million, or 14 cents per share, that the company reported. In the year-earlier quarter, expensing stock options would have cost Intel $287 million, or 4 cents per share, reducing net income by 31 percent.