To: robert b furman who wrote (1966 ) 4/25/2013 1:00:06 AM From: richardred 1 Recommendation Respond to RE:ISIL Dividend $ retirement $ the less risk Steven Eliscu - UBS Investment Bank, Research DivisionFirst question is around the dividend. Can you help us understand especially with the losses on Haswell, what type of stress tests or scenario analyses that you've run internally that can give investors confidence that you'll be able to maintain the dividend even if things end up being a little bit worse that you expect, especially in the economy where it can certainly surprise on the downside? Mercedes Johnson - Interim Chief Financial Officer, Independent Director, Member of Audit Committee and Member of Compensation CommitteeWell, let me give you my view, 3 weeks into the job. First of all, we have a substantial level of cash, $161 million is a significant amount of cash. Secondly, we manage our balance sheet in such a way that working capital requirement typically do not consume cash on a given quarter. Sometimes it does, but it's typically in very small numbers. And on top of all that, we have a substantial line of credit, which we have not tapped into. So when you add all those data points together, I think you can gain a significant amount of confidence that we are able to finance and have the liquidity necessary for us to pay the dividend for several quarters forward, even if the environment becomes difficult.
