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Technology Stocks : Cymer (CYMI) -- Ignore unavailable to you. Want to Upgrade?

To: Mr. Aloha who wrote (12029)	12/28/1997 5:20:00 PM
From: Elroy Jetson	Read Replies (1) \| Respond to of 25960

I would hope we see some consolidation among manufacturers of memory and some other components. But memory may join disk drives as a perpetually profitless business. The lead article in Barron's made the obvious point that the marginal producer sets the price in these markets. A financially dead zombie Korean memory manufacturer with 5% market share can sell at a a price which eliminates everyone's profits. For this reason I cannot imagine why the US and Japan, individually or through the IMF, would be interested in bailing out Korean memory makers. I think there's every incentive to see that these Korean plants close as soon as possible. I'm sure the clean rooms can be used for something useful. Can you picture Micron in the US and Hitachi in Japan each investing $1 Billion each in new equiptment only to see their own governments subsidize capital expenditures of the walking dead in Korea? Lots of new Cymer equiptment will end up in Korea only over the vehement objections of US and Japanese manufacturers.

To: Mr. Aloha who wrote (12029)	12/28/1997 5:38:00 PM
From: Angela	Read Replies (1) \| Respond to of 25960

<< I'm expecting a lot of consolidation in the memory business etc.. >> Yes -- I just saw an NY Times article in my local paper (St. Pete Times) about the S. Korean companies being prime takeover targets. Angela