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To: Clint E. who wrote (16470)	6/9/1998 10:19:00 AM
From: Tiley	Read Replies (1) \| Respond to of 68461

Hi Clint, Back to the market. Looks like the market wants to head higher. Your thoughts?? Best Wishes, - MJ

To: Clint E. who wrote (16470)	6/10/1998 5:56:00 PM
From: Johnny Canuck	Read Replies (1) \| Respond to of 68461

Wow Clint, That was some sell program in the last half hour. Do you know know who are currently LSCC largest telecommunciations customers. This should have a ripple effect on quite a few companies and product segments. It looks like the emphasis will shift to earnings now, The merger rumours should take a back seat to the foward guidance. Earnings season has officially started ! It looks like NT is slowing the rate at which they are hiring in certain divisions in order to get a handle on costs. So the slow down is not necessarily company specific. This is temporary as far as I know, but it indicates there will be some pressure on companies this Q due to timing issues around contract wins and deliveries. Harry ********************************************* Wednesday June 10, 3:50 pm Eastern Time Chips off on earnings jitters, TI on IBM SAN FRANCISCO, June 10 (Reuters) - Shares of several semiconductor stocks tumbled Wednesday, as a first quarter earnings shortfall warning by Lattice Semiconductor Corp (LSCC - news) sent more jitters about earnings through the group. Also hurting chip stocks was a big decline in Texas Instruments Inc (TXN - news), which tumbled 6.49 percent after International Business Machines Corp (IBM - news) announced plans to enter the digital signal processor market, a market TI dominates with an approximate 45 percent market share. ''These things are getting killed,'' said one trader. ''Lattice blew up and it's taking everything down.'' TI, based in Dallas, is going to come under increased competition in the booming digital signal processor market. Last week, Motorola Inc (MOT - news) and Lucent Technologies Inc announced a joint venture and design center to work together on designs for next-generation DSP chips. The chip sector has been hit in recent weeks with earnings warnings from National Semiconductor Corp (NSM - news) and Motorola, in part due to problems in its semiconductor business. Texas Instruments was off 4-3/16 to 51-11/16, Lattice Semi lost 9-3/8 to 27-3/16, Motorola was down 1-2/16 to 50-11/16, Xilinx Inc (XLNX - news), a Lattice rival, eased 1-9/16 to 34-3/8. Lattice, which makes programmable logic devices, told analysts that orders from PC makers accounted for only about 20-30 percent of its shortfall. ''Management suggested that the weakness...has been broad-based in the U.S. and Europe,'' said Mark Edelstone, a Morgan Stanley analyst, in a note, adding that 60-70 percent of Lattice's weakness was due to weakness in the data communications sector. Lattice's forecast for a sequential drop in first quarter revenues of nearly 20 percent is likely making investors nervous of more widespread semiconductor woes, traders said.