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To: Ken Muller who wrote (2214)	12/30/1997 9:07:00 AM
From: Frank Povoski	Respond to of 9582

Ken, DRAM has always been a boom or bust market. We are obviousily in a bust, but given that consolidation and the delay of new fabs, the companies that weather it will have huge earnings growth a few years out. Go back on a long term chart on MU and see the huge growth of that small company a few years back. Many factors and I can't predict a tight market anytime soon. But it may happen and when it does ALSC will partiipate in a large way. Thanks, Frank

To: Ken Muller who wrote (2214)	12/31/1997
From: patrick tang	Read Replies (1) \| Respond to of 9582

Ken, you are forgeting that ALSC not only is in generic DRAMs like 1X16 EDOs, but also in some graphic rams like fast 256x16. At present, with video cards pushing 4M to 8M each, 256x16s are sold out probably for the next 3 months. The price for those are >$2.00 for a 4M (most of the other big boys who used to made those have converted their fabs to 16Ms) vs $2.00 for generic 16M. Since UMC fabs yield are good as compared to the up and down stuff like other fabs (names I will not mention), >$2.00 ASP for a 4M allows for considerable margins. I believe that is the reason why ALSC is so cocky. patrick tang