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Technology Stocks : Alcatel (ALA) and France -- Ignore unavailable to you. Want to Upgrade?

To: zbyslaw owczarczyk who wrote (2212)	7/28/2000 8:02:34 PM
From: shotski1	Read Replies (1) \| Respond to of 3891

ALA networking division up 27% thanks to NN Friday, July 28, 2000 Newbridge boosts Alcatel Buy pays off in 2nd quarter results By CHRISTINE WONG, Ottawa Sun It looks like Alcatel SA's takeover of Newbridge Networks has paid off handsomely for the French telecommunications giant. Paris-based Alcatel released strong second-quarter results yesterday, including a 27.5% increase in revenues from its networking division, which now carries Newbridge's line of asynchronous transfer mode (ATM) switches. "We have achieved another record quarter with good growth in all of our businesses," said Alcatel CEO Serge Tchuruk. "The strategic repositioning of Alcatel is paying off. Our order backlog continues to increase with major wins in fast Internet access, optics, mobile communications and evolving carrier networks." In a news release, Alcatel officials said Newbridge's ATM line "has optimized Alcatel's strong position to provide end-to-end solutions to its customers in this rapidly expanding market." For the quarter, Alcatel posted net income of $474 million or 44cents per share, a year-over-year increase of 23%. Total quarterly sales climbed by 33% to reach $10.4 billion. During the first half of this year, Alcatel's income from operations more than doubled to $1.03 billion. The strongest gains were made in Alcatel's Internet and optics unit, where sales jumped by 47.1% from the same quarter of 1999. Alcatel also said it plans to create a special class of shares to track the performance of its optical components business. Shareholders will be asked to approve the measure at a special meeting on Sept. 20.