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Technology Stocks : Dupont Photomasks (DPMI) -- Ignore unavailable to you. Want to Upgrade?

To: shane forbes who wrote (170)	2/22/1998 3:01:00 PM
From: jeffbas	Respond to of 955

Although I believe that your conclusion is generally correct, you can't just ignore the effect on mask counts of combining (eliminating) several simple chips into one complex one. For example, I read recently that some day cell phones will have a lot fewer chips in them than now, maybe just one. The guys whose chips are eliminated won't be doing business with DPMI any more, just the guy with the complex one. Unfortunately, I just have no idea what impact this trend has on the overall growth in mask demand.

To: shane forbes who wrote (170)	2/23/1998 12:03:00 PM
From: Duane L. Olson	Read Replies (2) \| Respond to of 955

Wiz, thanks for jumping in with your usual laser-like focus on the key factors... My simplistic view simply focuses on the fact that the massive increase in Fabs, alone, would tell us the demand for chips is skyrocketing. But what is really great about it is, as DJ and Paul and I have been discussing... is that the new chips are much more complex and require significant increases in the number of masks.. So your analysis hits it right on the head.. more chips, and more complex chips...a winning combination for DPMI.. Oh, and I forgot to respond about the "flat" quarter for DPMI...Note, that in a quarter which was "Flat" to "down" for most in the semi industry...DPMI actually did BETTER... They had over $.60 per share made.. But they had not taken the precaution of hedging their currencies...and got caught in the SE Asia situation... for a Ten Cents per share hit to reported earnings. The main point to focus on though, is that the Ten Cents per share was a ONE TIME hit...while basic results are going on at an increased rate approximately 20% above prior year... Comparing that with the miserable results in the industry they support...GROWTH prospects for DPMI are exceptional... Thanks for your insights! TSO

To: shane forbes who wrote (170)	2/24/1998 12:25:00 AM
From: DJ Clancey	Read Replies (1) \| Respond to of 955

Shane, Thanks for spelling it out. I agree with your statements as will the market when the numbers eventually come in. Most people think of electronics within the scope of their PC's. If we even consider a small market such as cellular telephones, and the increase of technology that has allowed them to become about the size of a watch while quantities have been increasing at an alarming rate, you can visualize the future requirements for complex masks. Throw in a few more areas like the move to HDTV and advanced networking requirements to support infrastructures, and the future becomes more clear... DJ