I guess CHIPS act money is not coming any soon….
Desperation!!
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The new CEO has increased the systemic risk of this firm... add headcount, bet the farm on risky strategy, then cut heads because the demand drop was 'unforeseen' (haha), increase debt to help pay the dividend and cover the still bloated employee costs...
I would look for continued downgrades by the debt ratings agencies and more layoffs as the year goes on. Dividend at risk in second half or early next year. First things will unravel slowly... then suddenly, all at once.
Agreed to help fund a large water source upgrade for the city of Chandler Arizona where it has large presence . Going to take a few bucks .
Probably so the ELT can line their pockets before they bail and leave shareholders holding the bag.
@2exr+1l7A3ddm Don’t forget the 6 billion in dividends
$550 million interest/year. 2023 cash flow will be hugely negative.
Who are the id--ts that run government stuff at intel or is it just Pat hanging out around the White House. The Chips Act is a busted flush for us, any company that invests and builds in the US gets Chips Act subsidies, not just Intel. I remember the days 15 years ago when we hated and denounced subsidies and said they were anti competitive- now we are begging for them. Andy Grove must be spinning in his grave.
Forget about CHIPs act tax credit... remember shortly after it passed, congress passed the Inflation Reduction Act (b.s. name) that includes 15% min. corp. tax so guess what... Intel may not get the tax break after all... one hand giveth and the other hand taketh away.
Intel debt is now north of 50 Billion l, and they want to spend how much on CapEx as revenues plummet!
Totally unsustainable strategy here!
Ponzi scheme?
Best get d-mb money to buy-in before Intel gets formally downgraded to junk ... who in their right mind bought this turkey at a yield premium of only 0.215% to gov't debt ?! - insane.
https://www.bnnbloomberg.ca/intel-sells-11-billion-of-bonds-days-after-debt-downgrades-1.1880733
Haha the career politicians in Intel being outsmarted