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

To: Ali Chen who wrote (36771)	9/7/1998 1:17:00 AM
From: Paul Engel	Respond to of 1571061

Ali - Re: " If you add up these deferred expenses, you will find out that Intel was NOT PROFITABLE since 1996 at least." What a lonely genius you are ! You are the only one among thousands of Wall Street Analysts that have "noodled out" this information. You should package it and sell it. In fact, why don't you stuff it in a thin plastic tubing and you can peddle it like your other baloney. Paul

To: Ali Chen who wrote (36771)	9/7/1998 2:53:00 AM
From: nihil	Read Replies (2) \| Respond to of 1571061

RE: $6 billion Intel bought about $3.5 billion in stock and retired it (i.e. "concentrated ownership" in the remaining stockholders) during the first half of '98. This was good for sellers and keepers. Owners of put warrants put $920 million (included in above) at prices of 70 to 84, not at "top prices." This was not a net purchase, since premiums earned offset ~ $174 million during the same period. I think this is a nice way to spend money -- paying stockholders rather than subsidizing chip buyers like NSM and AMD do. The net dilutive effect of stock options exercised was small - about $.03 per share (or 4 %) which considering that they are compensation for performance look like a bargain. I wish my AMD stock could be diluted for the same reason (and not because of Jerry's repriced options.) I wish AMD would reprice my stock! Intel Corporation Consolidated Condensed Statements of Income (unaudited) (in millions, except per share amounts) Three Months Ended Six Months Ended ------------------ ---------------- Jun. 27, Jun. 28, Jun. 27, Jun 28, 1998 1997 1998 1997 ---- ---- ---- ---- Net revenues $ 5,927 $ 5,960 $11,928 $12,408 Costs and expenses: Cost of sales 3,027 2,343 5,776 4,650 Research and development 623 575 1,218 1,156 Marketing, general and administrat 671 704 1,382 1,397 Purchased in-process research and development -- -- 165 -- ------- ------- ------- ------- Operating costs and expenses 4,321 3,622 8,541 7,203 ------- ------- ------- ------- Operating income 1,606 2,338 3,387 5,205 Interest expense (8) (7) (15) (14) Interest income and other, net 152 219 359 434 ------- ------- ------- ------- Income before taxes 1,750 2,550 3,731 5,625 Provision for taxes 578 905 1,286 1,997 ------- ------- ------- ------- Net income $ 1,172 $ 1,645 $ 2,445 $ 3,628 ======= ======= ======= ======= Basic earnings per common share $ 0.69 $ 1.01 $ 1.47 $ 2.22 ======= ======= ======= ======= Diluted earnings per common share$ 0.66 $ 0.92 $ 1.38 $ 2.02 ======= ======= ======= ======= Cash dividends declared per common share $ 0.00 $ 0.03 $ 0.03 $ 0.055 ======= ======= ======= ======= Weighted average common shares outstanding 1,691 1,635 1,666 1,636 Dilutive effect of: Employee stock options 78 106 83 106 1998 Step-Up Warrants -- 56 23 ------- ------- ------- -------