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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: davesd who wrote (14671)	1/14/1998 11:06:00 AM
From: 16yearcycle	Respond to of 70976

I have seen a lot of strange things go on in the last 17 years, but I can't recall being this shocked before. Great technology companies have seen their stock prices drop 30-60% in the past 3 months, on the idea that growth would slow dramatically because of worldwide economic conditions.To be fair, many of these stock prices were too high when this concern began. We have now seen in the past week several bits of information that would lead one to believe that 1) the severe drop off in tech spending in asia has not happened; 2) europe has made up the difference already; 3) the larger companies are staying very profitable. In addition, interest rates are low and staying there. At this point, it appears to me very likely that this drop is/was unwarranted. I may be alone in this conclusion. I believe we are in an all clear mode, in that conditions will certainly improve within a few months, if they haven't already. I am compressing my purchase plan because I don't believe amat will go below 22.

To: davesd who wrote (14671)	1/14/1998 2:28:00 PM
From: FJB	Respond to of 70976

Dave, RE:that $5.3 billion number includes the FAB they bought from Digital for $700 mill.....therefore they will be spending $4.6 billion this year if you take out the $700 mill. They paid cash for the fab. What they said in the CC is that capital expenditures for '98 include upgrading of the Digital fab. Bob