Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : LEGATO SYSTEMS LGTO -- Ignore unavailable to you. Want to Upgrade?

To: gmccon who wrote (670)	1/22/2000 12:41:00 PM
From: Edwarda	Read Replies (2) \| Respond to of 1138

Obviously you did miss it. From the press release: The Company is restating results for the third quarter of 1999 to reflect an adjustment concerning one contract that decreased revenue in the third quarter from $71.7 million to $65.9 million. The Company believes that this revenue will be recorded in the first and second quarters of 2000. As a result of this adjustment, earnings per share in the third quarter is reduced from $0.18 to $0.14. "During the last few days, in connection with the audit of the Company's 1999 results, Legato was informed by its auditors that one contract recorded as revenue in the third quarter should be recorded as revenue in 2000," said Stephen C. Wise, Legato's chief financial officer. "In spite of solid revenue and earnings growth," commented Louis C. Cole, Legato's president and chief executive officer, "we are very disappointed that results for the fourth quarter fell short of expectations." The shortfall in fourth quarter revenue resulted primarily from the Company's determination, in consultation with its auditors during the last few days in connection with the 1999 audit, that revenue from two contracts signed during the fourth quarter should be recognized during 2000.