Power-One Affirms Solid Order and Sales Rate
Company Confident About Prospects for Fourth Quarter and Fiscal 2001
CAMARILLO, Calif.--(BUSINESS WIRE)--Nov. 9, 2000--Power-One, Inc. (Nasdaq:PWER - news) today announced that both its 180-day backlog and 90-day backlog had increased substantially since the end of the third quarter of 2000.
Power-One had previously announced that its backlog at September 30, 2000 was $238 million, with a 90-day backlog of $159 million. At October 29, 2000, its backlog was $255 million, with a 90-day backlog of $168 million. Steve Goldman, Chairman and Chief Executive Officer of Power-One, confirmed today that there does not appear to be any slowdown in the order rate or sales during the past week.
In responding to rumors that Cisco, Power-One's largest customer, was canceling or delaying orders because of excess inventory of Power-One product, Goldman stated: ``Our overall business from Cisco continues to increase, especially the DC/DC brick business. In fact, we anticipate that sales to Cisco in our fourth quarter will be at least 30% higher than our sales to Cisco in the third quarter.
``Moreover, Cisco has asked for additional product shipments in the fourth quarter to support its optical networking business. Additionally, based on recent discussions with executives at Cisco, we anticipate that our sales to Cisco will increase in 2001 at an even greater rate than they have this year.''
Goldman continued: ``We also see continued strong demand from many of our other top communications customers and are attempting to satisfy their requests for accelerated deliveries in the fourth quarter. We are continuing to add to capacity to meet this increased demand. However, due to the short amount of time left in the fourth quarter, it is anticipated that few of these requests will be met.
``We continue to remain extremely confident in our fourth quarter and prospects for 2001.''
About Power-One
Power-One is a leading manufacturer of power conversion products designed primarily for communications applications. DC rack power systems are sold directly to Internet service providers and telecom central offices. Embedded OEM power products include AC/DC and DC/DC products and are sold to manufacturers of datacom and telecom equipment.
Power-One also supports key customers in the automated/semiconductor test equipment industry and other high-end industrial markets.
The company is composed of the AC&DC Power Systems, High Density-Board Mounted Power, Compact Power Systems, Telecom Systems and Powec divisions.
Power-One, with headquarters in Camarillo, Calif., has over 7,000 employees with manufacturing and assembly operations in California, Massachusetts, Mexico, Dominican Republic, Puerto Rico, Norway, Switzerland, Ireland, Slovakia, Singapore, Australia and China.
For information on Power-One and its products, visit the company's Web site at www.power-one.com.
Safe Harbor Statement Under the Private Securities Litigation
Reform Act of 1995.
This press release contains forward-looking statements, which are made pursuant to the Safe-Harbor provisions of the Private Securities Litigation Reform Act of 1995. Words such as ``expect,'' ``anticipate'' and similar expressions reflecting something other than historical fact are intended to identify forward-looking statements, but are not the exclusive means of identifying such statements. The matters set forth under ``Risk Factors'' in the company's 1999 Form 10-K and Registration Statement on Form S-3 (filed October 18, 2000) on file with the Securities and Exchange Commission constitute cautionary statements identifying important factors with respect to such forward-looking statements, including certain risks and uncertainties, that could cause actual results to differ materially from those in such forward-looking statements. The company undertakes no obligations to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.
Note: The Financial Relations Board, Inc. serves as financial relations counsel to this company and is acting on the company's behalf in issuing this bulletin and receiving compensation therefor. The information contained herein is furnished for information purposes only and is not to be construed as an offer to buy or sell securities.
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Contact:
Power-One Inc., Camarillo, Calif.
Ed Schnopp, 805/987-8741
or
The Financial Relations Board
310/442-0599
Karen Taylor (general information)
Jill Fukuhara (analyst) |
