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

To: Ramsey Su who wrote (21036)	7/1/1998 1:55:00 PM
From: Andrew Brockway	Read Replies (1) \| Respond to of 70976

Chip Sales Fell 12.8 Percent In May (07/01/98; 1:02 p.m. ET) By Margaret Ryan, EE Times Worldwide sales of semiconductors fell 12.8 percent in May from the year-ago period, according to world trade semiconductor statistics information that appeared on the Semiconductor Industry Association's (SIA) website. Global chip sales totaled $9.9 billion in May, down significantly from $11.4 billion in May 1997, according to the statistics. Sales were also down 3.9 percent from April's $10.38 billion total. The SIA declined comment on the lower sales until the official release of the statistics, scheduled for 10 a.m. PDT July 1. Sales in May were down in each of the world's geographic markets. Japan saw the biggest drop of about 19.3 percent, from $2.63 billion in May '97 to $2.12 billion this past May. Industry sources said Japan's recession has slowed the sale of chips, PCs, and consumer electronics, and pointed to the yen's lower value in comparison with the dollar. The Americas market posted the second largest decline of 17.93 percent, falling from $3.9 billion in May '97 to $3.2 billion in the recent May. Chip sales in the Asia-Pacific region fell 7.58 percent year to year, while Europe's sales fell 2.47 over the same period. Separately, financial sources said Thomas Kurlak, semiconductor analyst for Merrill Lynch, has restated his dour outlook for semiconductor stocks. Kurlak said he now expects a 10 percent drop in worldwide chip sales from 1997, and expects the Philadelphia Stock Index, which tracks semiconductor stocks, to drop from its current level of 250 to below 200. Kurlak was quoted as saying Europe will be the next market to experience a slowdown in chip sales