and things get worse for ATI.........

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BigTaf

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http://securities.stanford.edu/1035/ATYT05_01/
Summary: According to a press release dated August 18, 2005, the complaint charges ATI and certain of its officers and directors with violations of the Securities Exchange Act of 1934. ATI is the world's second largest computer graphics chip maker.

Specifically, the complaint alleges that during the Class Period, defendants made false and misleading statements regarding the Company's business and prospects. As a result of defendants' false and misleading statements, ATI's stock traded at inflated levels, allowing the Company's top officers and directors to sell or otherwise dispose of more than $54 million worth of their own shares at artificially inflated prices.

The complaint alleges that the true facts, which were known by each of the defendants but concealed from the investing public during the Class Period, were as follows: (a) the Company was selling desktop and notebook products with lower and lower profit margins; (b) ATI's gross margins were being weakened by high sales of its IGP products, which have profit margins well below the corporate average; (c) the Company was earning lower-than-anticipated yields on certain products due to operational issues in its own packaging and test areas of its manufacturing process; (d) the Company was experiencing production/design/yield issues with its R520 chip; (e) the Company was losing market share to arch-rivals Nvidia Corp. and Intel Corp.; and (f) despite defendants' previous statements to the contrary, a fire at one of the Company's primary suppliers in Taiwan was preventing the Company from receiving necessary supplies.

The complaint further alleges that on or around June 6, 2005, ATI warned that its revenue for the third quarter 2005 would fall well below its previously announced forecast. Thereafter, when the Company issued its actual third quarter 2005 financial results on June 23, 2005, reporting a quarterly loss of $445,000 in the third quarter 2005 compared to a profit of $48.6 million in the third quarter 2004 and further reducing fourth quarter 2005 revenue expectations by $20-$50 million, the Company's stock price fell another 8% to its lowest point since July 2003 on extremely high volume.
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Well apparently the problem wasnt only with the guy in charge. This is not looking good for ATI. All I want is an RV520 or RV580 to play with damnit :eek:

and the ATI sub-forum will remain a ghost town for a while longer it seems....
 
missed the front page link (for those who have seen it)


enought with the hostility, any new information is good information, the previous posts were for the most part in regard to the class action lawsuit held against the CEO. This is entirly different
 
Shifra must own stock, which (right now) would suck.

When it rains it pours, I keep waiting for murder charges to be filed against ATI.

Although somehow all of this stock stuff (lawsuits, sec investigations) seem to be tied together. Hopefully they will get their s*** together as this can be a major distraction at work.
 
PRIME1 said:
Shifra must own stock, which (right now) would suck.

When it rains it pours, I keep waiting for murder charges to be filed against ATI.
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OMG...you think they killed R520?...bastards! ;) *L*

Terra - Bad Southpark copy, I know ;) *L*
 
What stupid is that Nvidia needs competition do progress, I mean why are they sitting on their asses with the 7800 ultra? Just to be funny? If they've got something good I want it now.

I do agree that everything seems to be linked together.
 
illgiveumorality said:
What stupid is that Nvidia needs competition do progress, I mean why are they sitting on their asses with the 7800 ultra? Just to be funny? If they've got something good I want it now.

I do agree that everything seems to be linked together.
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Nvidia has the advantage right now, they just have to one up whatever ATI releases next and from what I hear theyre having amazing production luck. This means they could wait till the day ATI releases the RV520 and then release their untra version and have it to retaillers that week. This damn RV520 better be worth all this agrivation, because damnit it the time its taken so far ive managed to put aside enough money for a couple of them and a Crossfire board too.
 
ATI is not in bad shape. They are still a very strong company. Nvidia will not be releasing another card until the new year. The r520 will kick the 7800's ASS. ATI made HUGE profits in every quarter of 2004.
 
Terra said:
OMG...you think they killed R520?...bastards! ;) *L*

Terra - Bad Southpark copy, I know ;) *L*
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No.. The R520 killed ATI litteraly.
 
Lestang said:
The r520 will kick the 7800's ASS. ATI made HUGE profits in every quarter of 2004.
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Um, how do you know this? :rolleyes:

Anyone that says that the "unreleased" product (not to mention, without a product line "NAME" of course) of anyone else's is going to be better than a product already out is going to be sadly disheartened.
 
Mister E said:
Next time spell 'literally' right. It makes you look less stupid.
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Maybe you could relise this isn't school or a spelling contest and maybe people make typos? It will make you look less stupid as well.
 
If their stock falls any lower they will be ripe for a takeover. This could be a good thing considering the way the company is going.
 
purefun65 said:
If their stock falls any lower they will be ripe for a takeover. This could be a good thing considering the way the company is going.
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Is everybody an analyst now? I can tell you haven't been following ATI as a business for more than a year.
 
I sold my stock in may. I'm well aware of the trouble ahead. I guess I was a little ahead of the curve!
 
purefun65 said:
I sold my stock in may. I'm well aware of the trouble ahead
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But you're obviously not aware of where ATI was as a company before the R300, you know, when their stock was at <4 and thier profits were less than a third of what they are now
 
Quote:
Originally Posted by purefun65
I sold my stock in may. I'm well aware of the trouble ahead


But you're obviously not aware of where ATI was as a company before the R300, you know, when their stock was at <4 and thier profits were less than a third of what they are now.


Funny thing i was and made a profit.
 
There are 6 class action suits filed in total. :eek:

I wish Ho, his corrupt insider-trading family, Orton and other assorted corporate crooks were in prison already.
 
Lestang said:
ATI is not in bad shape. They are still a very strong company. Nvidia will not be releasing another card until the new year. The r520 will kick the 7800's ASS. ATI made HUGE profits in every quarter of 2004.
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That's complete speculation. With no basis in fact to back it up. The FACT is that the 7800GTX is a very strong card. Currently the worlds most powerfull graphics card. By a large margine. The FACT is that ATi has no products to compete with either the 7800GTX or SLi. What's on the drawing board does not count. When there is product in stores and on-line awaiting order, then it counts.

Even if they release R520 anytime soon, I'd expect that if R520 is faster, it won't be by much if any at all. Bear in mind that from a technological standpoint, ATi and nVidia are very close. One rarely outright destroys the other in benchmarks. They usually trade places for the number 1 and 2 spots, depending on the game. They are closer than alot of the !!!!!!s would like to believe. And usually the difference isn't something you'd notice typically in a blind taste test between the two. The differences in frame rates are the kind of thing that impresses benchmark whores. Image quality isn't the issue it used to be. So really, its often a speed thing more than anything. Both companies usually produce comparible products.

There is no reason to expect anything will change.
 
Personally, I'd like to see more stuff about video cards in this subforum. :(
 
coz said:
Personally, I'd like to see more stuff about video cards in this subforum. :(
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I think the problem really is that people don't use the vendor specific forums for vendor specific news, this forum would be a lot more cleaner if stuff was posted in the correct areas so you don't have to sift through so much bs to get what you want. I think it's just that some people want anti-company news to be posted in the general area so it gets more attention then it actually deserves, from people who don't even own or have any personal experience with the problem in question
 
SnakEyez187 said:
Whoa, what? Is that a sensible comment I see? It....it can't be....!!
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It's been known to happen from time to time.
 
yes, but not often.

IMHO, the high end doesnt matter that much from a company standpoint. You are all blowing the R520 issues and the 7800GTX way out of proportion. Companies make their profits in non-extreme [H]core enthusiast sellings, they do it in industry and dumb mid range consumers.

This delay won't affect ATI much, they'll recover, and next year we'll all be raving about the R580 and G80.
 
Russ said:
yes, but not often.

IMHO, the high end doesnt matter that much from a company standpoint. You are all blowing the R520 issues and the 7800GTX way out of proportion. Companies make their profits in non-extreme [H]core enthusiast sellings, they do it in industry and dumb mid range consumers.

This delay won't affect ATI much, they'll recover, and next year we'll all be raving about the R580 and G80.
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Yep.
 
companys are not willing to be delayed either. they are consumer based also. they need to say to their customer yes will can fullfill your order and if they dont have product then they cant sell. so they go to the vendor that says yes dell we ship x amount units no problem. ati has fallen short of this promise.
 
pArTy said:
Maybe you could relise this isn't school or a spelling contest and maybe people make typos? It will make you look less stupid as well.
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agreed.
 
joe six pack buys a gaming computer from dell and expects his rig to be balls to the walls with his new ati card but instead finds a voucher for the card when it eventually comes out. now that is is one hell of a paper launch lol:)
 
I have the inside scoop from my informant at ATI. Here it is:

The R520 will be released,... some time in the future. It will have between 8 and 72 pixel pipes. It will run at a speed between 1hz and 50 GHz. It will be optomized for something between 256 mb and 8 gigs of video memory. It will either be better than the 7800 series,... or not as good, and it will come in AGP as well as PCIe.... or maybe not AGP.

Well there it is, the cold hard facts. Lets end all the speculation because it is pointless.
 
Look, this is nothing more than common practice. Every time a company runs at less than projected margins, a bunch of yahoo's file lawsuits. It happens to tons of publicly traded companies every quarter, and it's nothing to get your shorts in a twist over. ATI has a lot of non-R520 product lines, that are doing quite well.

 
Oldie said:
Look, this is nothing more than common practice. Every time a company runs at less than projected margins, a bunch of yahoo's file lawsuits. It happens to tons of publicly traded companies every quarter, and it's nothing to get your shorts in a twist over. ATI has a lot of non-R520 product lines, that are doing quite well.

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life is made for change
 
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