S A ADVISORY April - May 2001
"Corning, Inc. - Flextronics International"


S.A. Advisory
2274 Arbor Lane #3
Salt Lake City, Utah 84117

GLW - $21.47 * 607-974-9000

GLW is the world leader in telecommunications, advanced materials and information display. The teleco segment produces optic fiber and cable, optical hardware and equipment, photonic modules and components and optical networking devices for the worldwide teleco industry. The advanced materials segment involves with glass, glass ceramics and polymer technologies. The information segment manufactures glass panels and funnels for TVs and CRTs, liquid crystal display glass for flat panel displays and projection video lenses.

For the year ending 12/31/00 revenue rose 51% to $7.27 billion. Net income from 00 fell 20% $408.7 million. Net income was offset by the inclusion of a $462.6 million merger-related charge.

      Book - $11.51
      Cash - $1.94
      Debt/Equity - .39
      Shares outstanding - 928.1 million - float 918.8 million
      52 week range - $20 - $113.33

Earnings estimates for 01 equal $1.38, while 02 jumps to $1.70. These values have already been cut a few times and may be cut more. At present GLW trades at 15.5x 01 numbers. We believe that GLW is oversold and surely unloved by the analysts. They all had buy recommendations on GLW when it was trading over $100/share. Now that it trades 80% off its lofty high made during Sept. 00, Wall Street either goes neutral, drops coverage or places a hold on this world leader in FIBER.

We rate GLW as a strong buy for long-term investors, with a 2-4 year horizon. Again, we believe that it could easily appreciate 200 - 400% from current levels. We will monitor GLW in our tech wreck portfolio that was formed during Oct 00 for percentage gain performance.

Broker contact: Greg Nelson at 1-801-256-2160.

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FLEX - $16.00 * 408-383-7722

FLEX provides electronics manufacturing services to OEMs in the networking, computer, medical, consumer and teleco industries. For the nine months ended 12/00, net sales increased 90% to $9 billion. Net loss totaled $252.9 million. Net loss reflects $587.8 million in unusual pre-tax charges and continued investment in infrastructure.

      Book - $6.61
      Cash - .91
      Debt/Equity - .57
      Shares outstanding - 444.5 million - float 293.5 million
      52 week range - $16 - $44.90

Earnings estimates for year ending 03/01 have been cut to .92 and $1.23 for 02. Obviously, these numbers may be high or they may be low. Regardless, FLEX is trading at 16x 01 and 13x 02. Don't see much risk at current levels. Wall Street has already downgraded FLEX. Again, they loved it at the high and hate FLEX at the low! We rate FLEX with a buy and current levels for long-term investors who believe that the sky is not falling. We will monitor FLEX in Tech Explosion Portfolio for percentage gain performance.

Broker contact: Greg Nelson at 1-801-256-2160.

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