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To: Dale Baker who wrote (24093)	2/14/2001 7:18:18 AM
From: Dale Baker	Respond to of 118717

Epoch likes SCMR's results: Epoch Partners Issues Earnings Note on Sycamore Networks Analyst Details Quarterly Developments and Earnings Forecast SAN FRANCISCO, Feb. 14 /PRNewswire/ -- Seth Spalding, Senior Analyst, Communications Equipment with Epoch Partners issued a research note today on Sycamore Networks (Nasdaq: SCMR - news) in light of its earnings release on February 13th. The following are key highlights included in the Research Note: Sycamore Networks: Hanging In There -- Sycamore reported EPS of $0.06 on revenue of $149.2 million in its second quarter, posting 24% sequential revenue growth and beating our trimmed estimates. Management's forward guidance is unchanged from the last quarter, but visibility continues to be murky due to delays in network builds and component-availability constraints. -- Margins were inline with expectations but will come down in coming quarters due to a larger support organization and pricing pressure in the crowded metro segment. -- The SN 16000 optical switch is undergoing an upgrade that would make it the most advanced optical switch on the market. Assuming component availability, it should be available by early spring. The SN 10000 long haul transport platform, and SN 3000 and 4000 optical edge devices are all ramping in line or faster than expectations. -- Sycamore's earnings release puts to rest recent concerns that have dragged down the stock -- we see the stock trading up following the results. Furthermore, Sycamore trades at a noticeable discount to comparables -- some with considerably smaller addressable markets. Our full note, with detailed analysis of the company, is available free at: www.epoch.com.