Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : SDLI - JDSU transition -- Ignore unavailable to you. Want to Upgrade?

To: SJS who wrote (1631)	6/14/2001 4:17:44 PM
From: Ian@SI	Read Replies (2) \| Respond to of 3294

JDS Uniphase Revises Outlook OTTAWA, Canada and SAN JOSE, Calif., Jun 14, 2001 /PRNewswire via COMTEX/ -- JDS Uniphase Corporation (Nasdaq: JDSU; Toronto: JDU) today revised its outlook for the current and forthcoming quarter. The Company anticipates sales for its fourth quarter ending June 30, 2001 will be approximately $600 million as compared to earlier guidance of $700 million. This revised outlook reflects continued weakness in telecommunications carrier spending and inventory reductions by the Company's system provider customers. JDS Uniphase anticipates sales of $450 million for its first quarter of fiscal 2002 ending September 29, 2001. The Company is carefully reviewing its expense structure in connection with the preparation of its fiscal 2002 operating plan to determine the changes, including additional charges under the Company's previously announced Global Realignment Plan, required to respond to this revised sales forecast. The Company is not providing guidance for later periods at this time. The lowered sales forecast will cause the Company to record inventory write-downs in its fourth quarter ending June 30, 2001. The Company reserves inventory amounts for specific components and modules with on hand balances in excess of six months' supply, and the lowered forecast will require an increase in excess inventory reserves of $225 to $250 million. The inventory write-downs are expected to result in a fourth quarter pro forma loss of $0.06 to $0.08 per share after exclusion of merger & acquisition related charges and charges resulting from the Company's Global Realignment Program. Absent the inventory write-downs, the Company anticipates such pro forma results would be profitable. "The business downturn has been rapid, steep and unprecedented, and the continuing lack of visibility from our customers suggests to us that a cautious outlook continues to be warranted for the short term," stated Jozef Straus, Co-chairman, President and CEO. "At present, order levels clearly reflect lower carrier capital spending and the resulting desire of our customers to reduce inventories sharply. However, new product design activity with our customers remains vigorous, and we are committed to providing them with leading-edge, next-generation solutions. We believe that, with our new product programs and our Global Realignment Program, we will emerge as an even stronger leader in our industry as the business climate improves. We remain confident in the longer-term health of our industry and the continued rapid growth in the demand for bandwidth." The Company's balance sheet remains sound with over $1.4 billion in cash and money market instruments. The Company has not raised funds recently with debt or equity financing.