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To: Bob Howarth who wrote (18337)	5/2/1999 2:42:00 PM
From: contax	Respond to of 25814

Here is an interesting read: SAN FRANCISCO, April 29 /PRNewswire/ -- The following is being issued by BancBoston Robertson Stephens, a member of the National Association of Securities Dealers, CRD number 41271: BancBoston Robertson Stephens managing director and senior semiconductor equipment analyst Sue Billat today pointed to compelling buying opportunities in semiconductor equipment industry stocks. In the wake of pressure on the stocks, she reiterated her Strong Buy rating on Teradyne Inc. (NYSE:TER). "Conventional wisdom has inextricably linked PC growth and DRAM pricing to the fortunes of the semiconductor capital equipment industry. However, we believe that there has been a significant shift in drivers that account for the recent strong growth in the equipment sector's bookings and that bode well for the future of the industry. The Internet and the communications industries, both wired and wireless, have become a crucial driver of expenditures for capital equipment. In addition, we note that sophisticated electronic games, such as Sony's Playstation, are contributing to the growth in demand," explains Billat. Billat continued, "On the other hand, we expect that DRAM makers' proportion of equipment demand will only be approximately 25 percent of capital spending versus 45 to 50 percent during previous cycles. With regard to the PC market's decreasing importance in the equipment sector's health, we note that BancBoston Robertson Stephens estimates a healthy 13 percent unit growth of PC in the wake of the sub $500 per free PC. In our view, this growth level will require capacity buys as well as technology buys that ensue from the industry's move to 0.18 micron devices. Thus, we believe that determining the equipment sector's performance by tracking PC and DRAMs pricing is not only an oversimplification, but also highly misleading." "Specifically, Strong Buy-rated Teradyne has, in our view, come under undue pressure in the wake of softening DRAM prices. The company recently reported a stellar quarter, and we reiterate that, in our view, the company derives approximately 45 percent of its business from testers of devices commonly communications and networking applications. Moreover, we believe that the company is supplying the leading producers of wireless communication ICs directly as well as their chipmakers," said Billat. "Therefore, Teradyne's overall product mix of high speed logic, mixed signal and advanced memory positions the company exceptionally well, in our opinion, to leverage the growth drivers in of the semiconductor equipment industry." Clients interested in receiving more information should contact their salesperson at 415-781-9700. BancBoston Robertson Stephens is a leading international investment banking firm focused on emerging growth companies. The firm's 55 equity and high yield research analysts cover more than 600 companies. Additional information is available upon request. SOURCE BancBoston Robertson Stephens · 0- 04/29/99 /CONTACT: press only, Elizabeth Keys of BancBoston Robertson Stephens, 202-326-1763/ /Company News On-Call: prnewswire.com or fax, 800-758-5804, ext. 110914/ /Web site: rsco.com Good Luck to All! Karim