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Technology Stocks : Maxtor (MXTR) -- Ignore unavailable to you. Want to Upgrade?

To: spyhunter who wrote (388)	1/27/2000 5:21:00 PM
From: Rick McDougall	Read Replies (2) \| Respond to of 467

Here's the good news. Hopefully we can get an up market tomorrow along with a couple of buy recos. Thursday January 27, 4:30 pm Eastern Time Company Press Release SOURCE: Maxtor Corporation Maxtor Corporation Reports Profit for Fourth Quarter, Fiscal 1999; Company Achieves Significant Sequential Growth in Net Income MILPITAS, Calif., Jan. 27 /PRNewswire/ -- Maxtor Corporation (Nasdaq: MXTR - news) today announced results for its fiscal fourth quarter, ended January 1, 2000. The company earned $4.0 million or $0.03 per diluted share on sales of $691 million for the quarter. Sales for the full 1999 fiscal year were $2.5 billion with a net loss of $50.1 million or $(0.48) per share. ``Maxtor achieved a significant increase in net income from the third quarter while increasing unit shipments 15% to a record 6.78 million drives,' said Mike Cannon, Maxtor's president and CEO. ``These results reflect a number of Maxtor-specific factors including our continued consistent execution on new products, manufacturing flexibility, ongoing efforts to lower costs, and strong customer relationships. Demand was also seasonally strong, and the industry pricing environment was moderate for the fourth quarter in comparison with prior quarters. We ramped our new products to more than 70% of shipments during the quarter and improved our gross margin to 11.9%. ``In addition, we managed our assets well, reducing inventory 16% from the third quarter to $104 million and generating cash from operations in excess of $80 million. Maxtor's quarter-ending cash and marketable securities increased to $354 million.' During the fourth quarter, Maxtor announced and began shipping its first server appliance and its Reflect-It software which aids in data backup and recovery. In January 2000, the company began shipping the MaxAttach(TM) 3000 which includes configuration options for JBOD, disk mirroring (RAID 1), and disk spanning. Maxtor also previewed an extended family of server appliance solutions up to 240 GB, including rack mounted appliances and web and email server appliances that will ship in the first half of 2000. ``The network attached storage and server appliance markets are exciting opportunities, and the required capabilities match well with Maxtor's competencies,' Cannon said. ``Broadening our reach into providing high-value storage solutions for traditional business networks and to support the data management requirements of the Internet infrastructure is a key area of focus as we work to build the value of the company.'