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Technology Stocks : WDC, NAND, NVM, enterprise storage systems, etc. -- Ignore unavailable to you. Want to Upgrade?

To: Art Bechhoefer who wrote (541)	8/1/2016 9:04:39 PM
From: neolib	Respond to of 4836

Yeah, the debt is certainly an issue, but in the current rather frothy semi merger market, that is what is happening. Avago/Broadcom, even Intel with Altera, now SoftBank/ARM. Its hard to say whether some of these are true visions of the future and seizing opportunity, or whether they will crater on debt. On thing is very clear about WDC, they had to do something for the future other than there core HDD, which was clearly limited in lifetime. So noting that their HDD will continue to decline is the rather expected result. That is exactly why they took on the huge debt, because they had to either organically grow a new market or buy into it. I think they certainly did the correct move, but whether they can manage it successfully remains to be seen. Given that the bump in expense is one of the main issues being quoted by analysts, I'd say they should have more carefully managed the performance payments, as that was cited as a significant contributor to the growth in expense this quarter. But those terms might have been written into the purchase agreement, so perhaps they couldn't manage them any better.

To: Art Bechhoefer who wrote (541)	8/1/2016 11:31:09 PM
From: SiliconAlley	Read Replies (1) \| Respond to of 4836

No one seems to care about the debt but you. The debt levels are healthy, and in case you didn't notice, they just paid down $3B of this debt. Institutions do not have "misgivings" about the debt, and if you didn't notice, institutions have invested billions in funding this debt. They would not do that if they had misgivings about recouping their investment. And contrary to your assertions, the hard drive business is not a drag on earnings. In case you didn't notice, they reported better than expected earnings, despite having a hard drive business. The GAAP number that troubles you so, and that you believe management is trying to cover up, are related to one time charges that are investments for the future, as well as writedowns related to the acquisition. The GAAP loss was a surprise to no one, and no one really cares except for a guy named Art that once wrote a misguided letter to the FBI. I ask again, how'd that work out for you?

To: Art Bechhoefer who wrote (541)	8/2/2016 10:51:51 AM
From: BeenRetired	Read Replies (3) \| Respond to of 4836

Samsung & Micron/Intel 64-layer '16...SanDisk by '17 end............................................. Since 3D is stouter, will 2D languish in marketplace? I was considering moving my IRA mutual fund into WDC until I read that Samsung (In their CC) said they'll have 64-layer in '16. Their design, as well as MU/INTC, is different than SanDisk. ...No royalties? My time horizon for stocks is very short. My only regrets? That I didn't sell when SanDisk hit $100+ 2-3 times.....