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To: Proud_Infidel who wrote (9416)	11/4/1997 5:01:00 PM
From: Andrew Vance	Respond to of 17305

AV--Contrary to the more popular beliefs, I think the tech sector was unduly eviscerated these past weeks based on Asian fears of order cutbacks for semiconductor related equipment. With backlogs as long as they are for some equipment suppliers, it would actually seem to be a relief that some orders are pushed out. This allows other companies to pull in orders for expansions that have been adversely affected by leadtimes for equipment. I know the INTC also scared a few people with its Texas plant scenario but I beleive the decision was to really concentrate on the Israel plant to get it up and then move to the Texas facility. Sort of like escape tunnels. Dig 3-5 and then go for it with the one that has made the most progress. Once completed, go for the next one. Personally, I have not seen any cutbacks in Capital Appropriations Requests or Capital Programs for 1998. Asian jitters just means more opportunities for the US and Europeans. This Asian crisis might even give the ROW (rest of the world) time to catch up competitively. Also, the Asian crisis may also allow for the true ASPs of ICs to regain some of its value now that the Asian Foundries are not in a solid position to undercut prices and expand uncontrollably with government subsidies. My AMAT position is slightly better than yours because I skipped the 36 step and loaded up in the 30-31 range with both long shares and options. The ANQAZ calls were really my salvation at 3.875 on 10/24. While I like your optimistic numbers, my options are January 98 with a strike of 32.5 with personal expectations of a 45-50 price by that time. I truly hope you are correct at 60 since it would bring nothing but great pleasure to my back pocket. From your keyboard to reality. Andrew