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Technology Stocks : Citrix Systems (CTXS) -- Ignore unavailable to you. Want to Upgrade?

To: Mike Buckley who wrote (8615)	6/26/2000 3:26:00 PM
From: puborectalis	Respond to of 9068

Citrix Founder Resigns, Stock Drops (06/26/00, 10:04 a.m. ET) By Elisabeth Goodridge and Aaron Ricadela, InformationWeek Battered by disappointing earnings and a shareholder lawsuit, software maker Citrix Systems suffered another one-two punch Friday as its founder resigned from the company and its stock tanked. Edward Iacobucci, founder of Citrix (stock: CTXS), as well as a board member and former chairman of the company, stepped down. Another board member, Michael Brown, also resigned. Citrix shares were down 17 percent, to 18 7/8 at one point on Friday. The stock's 52-week high, reached in March, is 100. Two weeks ago, the Fort Lauderdale, Fla., company's stock dropped almost 45 percent when execs reported that a change in how it licenses its software would cut second quarter earnings to half of Wall Street's estimates. Citrix makes middleware that lets applications run in heterogeneous environments. On Friday, several managers took responsibility for the situation, most notably Iacobucci. However, CEO and president Mark Templeton will give up his CEO responsibilities to Roger Roberts until a permanent CEO is found. Roberts is a former Citrix CEO. "It's not a surprise, due to the severity of the stock fall and the lawsuits by shareholders accusing upper management of profit-taking when the stock was overvalued in March," said GartnerGroup research analyst Peter Lowber. "But up to thispoint, the company was well-managed, with a real product and well-executed strategies. Wall Street is just overreacting -- this isn't a dot-com, after all." Citrix software is extremely popular with companies deploying terminal services such as Unix and Windows applications to thin clients.