Intel to Take a Charge for Faulty Parts

Intel Corp. said it will take a second-quarter charge of $200 million for replacing faulty parts and said earnings from interest and other investments will be more than triple what it expected. The world’s largest computer chip maker isn’t changing forecasts for its operating earnings, which exclude the charges. Intel expects interest and other income of about $2.3 billion, boosted by higher-than-expected gains on the sale of some investments. That’s up from the $725 million the company predicted in April. Most of the gain comes from the sale of shares of Micron Technology Inc. Analysts expect Intel to report earnings of 71 cents a share, according to First Call/Thomson Financial. Santa Clara, Calif.-based Intel will report earnings July 18. Its shares closed up $1.81 at $138.31 on Nasdaq.