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October 27, 2008

Don’t Be Tempted by SGI

Tiernan Ray

For supercomputer builder Silicon Graphics, it doesn’t look as if the latest go-around will be any more profitable than it was for the company and its peers in years gone by. With a net deficit of $56.4 million in shareholder equity, and principal payments due next year on a $132.5 million loan from Morgan Stanley, SGI will be challenged to stay the course in a credit crunch, much less turn a profit.

Full story at Barron's

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