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Micron (MU +3.3%) jumps in afternoon trading on a report from The Nikkei it will buy bankrupt...

Micron (MU +3.3%) jumps in afternoon trading on a report from The Nikkei it will buy bankrupt Elpida (ELPDF.PK) for ¥200B ($2.51B). The companies have been talking for months about a deal, which stands to improve industry-wide DRAM pricing by limiting capacity, while increasing Micron's economies of scale and strengthening its relatively weak position in the fast-growing mobile DRAM market. There are concerns, however, about the impact on Micron's balance sheet.
Comments (2)
  • marden23
    , contributor
    Comments (28) | Send Message
     
    still losing $100mm a month and now they are buying another losing operation---all in the hope chip prices will be higher one day
    28 Jun 2012, 03:24 PM Reply Like
  • Russ Fischer
    , contributor
    Comments (2307) | Send Message
     
    Yeah, sounds dumber than hell, doesn't it?
    Who would engage in this insanity unless they already had follow on plans?
    28 Jun 2012, 08:23 PM Reply Like
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