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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: William Griffin who wrote (30319)	5/18/1999 6:38:00 PM
From: Henry Eichorszt	Read Replies (2) \| Respond to of 70976

Applied <AMAT.O> sees higher revenues, EPS in Q3 PALO ALTO, Calif., May 18 (Reuters) - Applied Materials Inc. said it expects orders to grow in the third quarter from the second quarter and that revenues in the third quarter should be in the $1.3 billion to $1.5 billion range. Joe Bronson, chief financial officer, told analysts on a conference call to discuss Applied's second quarter, that operating earnings should rise to about $0.50 to $0.54 a share, fully diluted. Gross margins should be in the high 40 percent range (of revenues), Bronson said. Earlier, Applied reported second quarter earnings that were better than analysts' expectations. Applied reported second quarter net sales of $1.12 billion and net income of $141.6 million, or 36 cents a share. Applied executives also said the company has reduced its spending on 300 millimeter technology, a next generation semiconductor manufacturing technology, which will enable more chips to be made on a semiconductor wafer. "To date, no customers have committed to 300 millimeter production," Bronson said. "The company is prepared to increase spending on 300 millimeter, upon customer requirements." 18:01 05-18-99 Copyright 1999 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon. All active hyperlinks have been inserted by AOL.