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Technology Stocks : Intel Corporation (INTC) -- Ignore unavailable to you. Want to Upgrade?

To: t2 who wrote (75613)	3/6/1999 2:54:00 PM
From: Mary Cluney	Read Replies (1) \| Respond to of 186894

tech2000,>>>Does anyone have any other source for the rumor that---Intel is asking customers if they plan to cancel orders and to let them know within 5 days? If that rumor is true and there are no cancellations---so what? Does it mean they warn anyways? Just can't shake this fear that march sales may not be enough to offset January weakness. My bet is that they won't preannounce but I don't have the confidence yet.<<< Michael Murphy was quite emphatic in his interview with CNBC Thursday after the market close about the deadline that Intel gave to customers for cancellation of orders on March 10. In any case, common sense would tell me that 1Q is done and any cancellations would impact 2Q. I doubt very much that Intel could have supplied all their customers with enough PIII's within 30 days after they hit the market. And, that it would take more than several weeks before they could tell how sales are going. There are people spreading wild rumours of PC channel stuffing and weak retail sales for several months now - but they have never offered any concrete proof. Dan Niles, Ashok Kumar, Mark Edelstone, and Michael Murphy have their antennaes out in this area and have not seen any evidence that these rumors have any validity. These are guys that make a living knowing about this market and they work at it full time - and they have a pretty good track record. But, I'll say this much - when people spread rumors persistently - it leaves lingering doubts. Chances are these rumors will not totally go away even if Intel does not preannounce. Chances are these guys will somehow find something in the data to indicate weak sales in 1Q - even though Intel has already guided weaker 1Q sales because of traditional seasonality. The lingering doubts caused by these rumors will persist into 2Q. Just my take on the situation. Mary