Given the weaker outlook, we expect the 2001 consensus estimate of $1.76 to come down substantially.

It's tough to No. 2 in the microprocessor market.

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The much hoped for mid-October pickup in personal computer demand has failed to materialize, which suggests to us Intel's guidance on its Tuesday afternoon conference call will be more cautious than most investors anticipate.

The bottoms-up picture, however, went cautionary recently, apparently brought on by a slight slowing in cellular phone growth expectations and the rapid increase in capacity.

These two product areas are important because they are the most extreme, and we would expect will show the first signs of reversal.

The company continues to rapidly expand capacity at a time when demand is coming in much weaker than anticipated, which we believe will have a leveraged and negative impact on margins in the fourth quarter and 2001.

We totally and one hundred percent sign off on 'the semiconductor sector is recovering' theory, ... There were a lot of analysts saying they were going to reduce the range. Midpoint is a victory.