Corvis Corporation Reports Financial Results For the Fiscal
Fourth Quarter and Year-End
COLUMBIA, Md., Feb 7, 2002 /PRNewswire-FirstCall via COMTEX/ -- Corvis
Corporation (CORV), a leading provider of intelligent optical networking
solutions, today reported financial results for its fiscal fourth quarter ended
December 29, 2001. Revenues for the fourth quarter of $15.2 million were
generated by continued commercial deployment under the company's
contracts with Broadwing Communications, Inc. and Williams
Communications.
Pro forma net loss for the current quarter was $39.9 million, or $0.11 loss per
share, excluding restructuring and other charges, goodwill and other
intangible assets amortization expense and equity-based expense compared
with a pro forma net loss of $23.9 million, or $0.07 loss per share for the
fourth quarter of 2000. Reported net loss was $374.8 million, or $1.05 loss
per share, for the current quarter as compared with a reported net loss of
$89.7 million, or $0.27 loss per share for the fourth quarter of 2000.
"The past year was very challenging and was perhaps one of the more difficult
years in the history of telecommunications," said Dr. David Huber, president
and CEO. "Yet, during 2001, Corvis achieved a number of significant
milestones including delivering the world's first all-optical network. We
achieved these milestones while taking the steps required to align our
business with the current market reality. While the market remains difficult,
Corvis enters 2002 eager to meet the near-term challenges and to build a
strong long-term business."
For fiscal year 2001, Corvis recorded revenue of $188.5 million as compared
to $68.9 million for the prior year. Pro forma net loss for fiscal year 2001 was
$135.3 million, or $0.39 per share as compared to $96.3 million, or $0.29 per
share, for the same year ago period. Reported net loss for fiscal 2001 was
$1,378.1 million, or $3.94 per share, as compared to $283.6 million, or $1.80
per share for the same year-ago period.
"Corvis ended the fiscal year in solid financial position," said Lynn Anderson,
senior vice president and chief financial officer. "Going forward, we intend to
maintain our financial discipline and to continue to make the strategic
decisions required to position the company for long-term success and
profitability."
Fourth Quarter Restructuring and Other Charges
In the fourth quarter, Corvis recorded restructuring and other charges totaling
$303.4 million. These charges comprised the following:
-- a $117.4 million charge associated with a write-down of excess and
obsolete materials, excess purchase commitments, and the discontinuance
of certain product lines -- a $60.0 million charge related to recent workforce
reductions, consolidation of excess facilities, and the write-down of idle
equipment -- a $122.4 million charge for the write-down of goodwill associated
with the acquisition of Algety Telecom -- a $3.6 million charge for the
write-down of certain equity investments
Webcast Information
In conjunction with this announcement, Corvis will host a conference call
discussing its fourth quarter financial results, customer updates and other
important information today at 5:30 pm EST. The live broadcast of the
conference will be available via Corvis' website, www.corvis.com. An archived
audio of the conference call will also be available for replay purposes through
the Corvis website.
About Corvis
From point-to-point links to all-optical networks, Corvis Corporation delivers
innovative optical network solutions that drive carrier profitability faster than
any other vendor. Corvis continues to demonstrate optical leadership with
numerous industry firsts, including the first and only commercial all-optical
network and integrated all-optical switches, the first to transmit over 6000 km
without costly electronic regeneration and first to deploy Raman amplification
commercially. Corvis' innovative solutions enable carriers to provision new
wavelength-based services rapidly and to tailor dynamic service level
agreements for rapid revenue generation. Corvis' future-ready product portfolio
solves carrier network challenges with scalable, robust solutions that reduce
capital and operating expenditures. With offices across North America and
Europe, Corvis operates Research and Development centers of excellence at
its global headquarters in Columbia, Maryland, and in Lannion, France. For
more information, call Corvis at (443) 259-4000 or visit www.corvis.com.
Corvis and the Corvis logo are trademarks and/or service marks of the Corvis
Corporation. All other trademarks are the property of their respective owners.
Note: This announcement contains certain forward-looking statements that
are subject to risks and uncertainties. Actual results could differ materially
from those currently anticipated as a result of a number of factors, including,
but not limited to, the risks and uncertainties discussed under "Risk Factors"
and "Management's Discussion and Analysis of Financial Condition and
Results of Operations" in the Company's filings with the Securities and
Exchange Commission. |
