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Politics : Formerly About Advanced Micro Devices -- Ignore unavailable to you. Want to Upgrade?

To: Reginald Middleton who wrote (28750)	2/24/1998 12:19:00 PM
From: Kevin K. Spurway	Read Replies (1) \| Respond to of 1572746

Re: "<You have two companies with the ability to generate $100 of future cash flows as discounted to present value....." Re: "Company A sells its assets for 2 billion dollars in cash on the market and uses it to buy a state of the art fab and open up additional channels of distribution or triple its marketing efforts, would you still feel the same?" You're changing the assumptions of the question. Either Company A has the ability to generate $100 of discounted future cash flow, OR it can sell its assets, open a new fab, and generate a different stream of cash flows. If you allow company A to sell its assets, you're changing the assumptions of the question. Kevin