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Technology Stocks : Speedfam [SFAM] Lovers Unite ! -- Ignore unavailable to you. Want to Upgrade?

To: GuinnessGuy who wrote (3403)	5/13/1999 11:28:00 AM
From: Short A. Few	Respond to of 3736

Whole sector is acting bullet proof. Seems to be very much in favor. good luck, short

To: GuinnessGuy who wrote (3403)	5/13/1999 12:34:00 PM
From: Lex Luther	Read Replies (1) \| Respond to of 3736

This should help you see the light! To: Justa Werkenstiff (5109 ) From: Lex Luther Thursday, May 13 1999 5:09AM ET Reply # of 5113 Justa, Keep this in mind, SFAM is better than a baby LAM especially if you combine them with NVLS and have the ability to grab a big piece of the projected copper market growth which is slated at $1.7 billion by the year 2003! Think of it like this: 1. Richard Hill has got to be smarter than us so wouldn't he want to combine the synergies of both companies, especially as it relates to being able to "package" the copper solution. 2. Say he uses the NVLS stock as currency and offers SFAM .50 to .60 a share of NVLS for each share of SFAM. That would be about $25 to $30 dollars per share for us, which by the way we wouldn't have to take a capial gain on if we just kept the NVLS stock. 3. by the year 2003 the combined revenues for both companies could easily climb to $2 bil when you factor in the bonus in revenue growth from cooper and 300mm. This would leave approx $200 to $300 mil in profits which translate to $4 to $6 EPS with approx 53 million shares outstanding of the new co. 4. This would translate into a stock price of somewhere around $120 to $200 based on todays valuation models. It could be higher! 5. As far fetched as this may seem SFAM and NVLS will never come close to achieving that type of growth on their own, but together they would be in a much better competitive environment against AMAT! Let's face it, AMAT's dominance is going to have a significant negative effect on everyone elses gross margins. 6. If NVLS and SFAM merge it would give them the ability to offer the same "Total Solutions" package that AMAT offers PLUS they would now have the "infrastructure" to support it. 7. This is what the analyst's should have been talking about at the conference call today. 8. I hope Richard Hill is smarter than I am, but maybe I should send him an e-mail and ask him! Take care, Lex