Zeev's Turnips Patch-No Politics (ZEEV)

[JMK]

Hi Zeev and board

Long time lurker and first time poster. I was hoping to get some clarity in regards to the Intel earnings announcment. First call current estimate is $0.25 Is this GAAP or pro-forma. I thought the first call estimates were always pro-forma. If that's the case then the math is incorrect. We should get pro-forma earnings of around 0.31 to 0.33

Revenue 8.6B minus about 3.4 B of cost of earnings minus about 1.2B research and development minus about 1.1 administrative makes about 2.9 B income before taxes. Now if you subtract about 800 M in taxes you have 2.1 B net earnings. That divided by 6.5B shares makes about $0.32 and not $0.25 as the street calls for.

I think that first call already subtracted the Q4 charge of 600M that Intel announced. That would make sense. But that wouldn't be pro-forma, would it.

Could it be that they want us to believe that Intel beats by 6+ cents. A setup? Am I missing something?

JMK