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Strategies & Market Trends : VOLTAIRE'S PORCH-MODERATED -- Ignore unavailable to you. Want to Upgrade?

To: RR who wrote (43920)	11/5/2001 4:38:20 PM
From: Sully-	Respond to of 65232

* 16:27 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- Cisco reported an Oct qtr pro forma profit of $0.04, two cents better than the consensus; revenues were $4.448 bln, up 3.5% sequentially and better than the $4.17 bln Multex consensus. * 16:31 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- Inventories were a relative bright spot in the CSCO report; inventories fell sequentially to $1.3 bln from $1.68 bln. It also appears that Cisco was able to make use of $290 mln in inventories that were previously written off. One possible negative, however, is that deferred revenue fell to $2.78 bln from $3.21 bln in the Jul qtr.

To: RR who wrote (43920)	11/5/2001 4:44:07 PM
From: Sully-	Respond to of 65232

CSCO's CC about to start............ * 16:42 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- Cisco's balance sheet continues to look solid; DSOs (days sales outstanding) fell to a very low 24 days from 31 day in the prior qtr.

To: RR who wrote (43920)	11/5/2001 5:10:27 PM
From: Sully-	Respond to of 65232

* 16:56 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- On conference call, Cisco says that book/bill ratio was greater than 1.0; says linearity of orders was good in Jun-Aug, experienced only a modest disruption after Sep 11, and then continued to be good in late Sep and October. * 17:06 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- On conference call, provides following sequential breakdown: routers -6%; switches +3%, access -31%; other +5%; services +10%; revenue adjustment -37%; revenue deferral (new category) -2%.... net inventories down $383 mln on a sequential basis to approximately $1.3 bln; inventory turns 5.5 vs 4.6 in Q4.

To: RR who wrote (43920)	11/5/2001 5:23:03 PM
From: Sully-	Respond to of 65232

CSCO @ $18.70 in AH............. * 17:08 ET Cisco Systems (CSCO) 17.90 +0.64: -- Correction -- Deferred revenues rose to $3.5 bln in the Oct qtr from $3.2 bln in the prior qtr; we previously reported deferred revenues of $2.78 bln, but Cisco broke up the deferred revenue line into two separate balance sheet items, of which the $2.78 bln was only one.

To: RR who wrote (43920)	11/5/2001 5:28:53 PM
From: Sully-	Respond to of 65232

CSCO is smoking in AH - $18.81 * 17:19 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- On call, provides Q4 geographic breakdown as % of total revenue: EMEA28%; U.S. 47%; Americas Intl. 6%; Asia-Pacific 11%; Japan 8%... says it has succeeded in reaching its $1 bln expense savings target and is now approaching $2 bln in expense savings on an annualized basis.

To: RR who wrote (43920)	11/5/2001 5:39:46 PM
From: Sully-	Read Replies (2) \| Respond to of 65232

* 17:32 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- Cisco guides Q2 revenues higher ; expects Q2 (Jan) revenues to be flat to up in the low single digits sequentially. If you assume this is 0-5% growth, that would be a range of $4.45-4.67 bln vs the current Multex consensus of $4.3 bln.

To: RR who wrote (43920)	11/5/2001 5:54:02 PM
From: Sully-	Respond to of 65232

They square rooted RR............ CSCO @ $18.85 in AH....... * 17:50 ET Cisco Systems (CSCO) 17.90 +0.64: -- Update -- Using the company's assumptions, we can put together a Q2 model as follows: revenues up 2.5% (company: flat-low single digits), gross margins of 54% (company: mid-50s), operating expenses down 1% (company: flat to slightly down), other income flat (company: flat), tax rate steady at 28% (company: 28%), share count +70 mln (company: +60-80 mln). Using those assumptions, Briefing.com comes up with a Jan qtr EPS estimate of $0.05 vs the current consensus of $0.03.