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To: Black-Scholes who wrote (40206)4/27/1999 6:28:00 PM
From: Don Dorsey  Read Replies (1) | Respond to of 50808
 
A divi spinoff is on the table as a possibility, but I wouldn't expect it. Alex B. clearly believes from a business standpoint it is a big advantage to have a single company which can provide a total solution. So it is a balance between doing what is best long term to maximize the earnings of the company, and doing what is best to improve shareholder value. I think the only way we see a spin off is if the stock should revisit its lows.



To: Black-Scholes who wrote (40206)4/27/1999 8:13:00 PM
From: John Rieman  Read Replies (1) | Respond to of 50808
 
Listen to the last few minutes of the conference call. Here's Divicom/semi revenue/earnings break-down:

Revenue:

Semi $58.3M

Divi $38.2M

Income from operations:

Semi $11.9M pay taxes x.30= -$3.6M= $8.3M/41.3M shares = $.201

Divi $4.4M pay taxes x.30= -$1.3M= $3.1M/41.3M shares = $.075

The rest was interest income and a small capital gain.

The margins are higher for the semi part than the Divi part.