Good, I did read your email, and agree that the reporting of the chromatic acquisition costs and write offs has been unfair to ATI. My point is more that KY is faced now with a declining growth rate - from 60% to 25%, and declining gross margins - from 12% to 8%. Thus if you back out chromatic altogether, you have a company that appears to be going through a dramatic slowdown from traditional growth and margin models. Not encouraging.
KY is also faced with the market perception that he is in a commodity business which is being subsumed by the "black hole" of Intel, and which has savagely short product cycles. KY is placing a big bet on SOC, which takes him out of the add on board business, and into the mainstream chip business, just as its going through a significant inflection point. KY has been very successful in placing bets in the past. But right now all we have to sustain us is him saying "trust me!"
I understand how you reached your figures, but I'm missing the problem. You came up with next year's projection @ $.79 vs current $.51. You also said the P/E would be 15 vs current 23. But then you said that is no growth? I'm not arguing, I'm just confused.