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Politics : Formerly About Applied Materials -- Ignore unavailable to you. Want to Upgrade?

To: Gottfried who wrote (23976)	9/9/1998 5:47:00 PM
From: Ian@SI	Read Replies (1) \| Respond to of 70976

10Q has been filed. Some tidbits: On August 25, 1998, the Company announced that it expects to initiate and complete a restructuring plan by the end of the fourth fiscal quarter of 1998. As part of this restructuring plan, approximately 2,000 positions, or 15 percent of the Company's global workforce, were eliminated. Of these positions, approximately 750 were eliminated in California and 600 in Texas. The majority of the remaining positions will be eliminated from other locations worldwide by the end of the fourth fiscal quarter. The restructuring plan has not yet been finalized; ... the Company expects to incur a net loss for its fourth fiscal quarter ending October 25, 1998. New orders by region were as follows (dollars in millions): <TABLE> <CAPTION> Three Months Ended ------------------ July 26, 1998 April 26, 1998 ($) (%) ($) (%) ----- ----- ----- ----- <S> <C> <C> <C> <C> North America 270 45 430 42 Europe 70 11 164 16 Japan 110 18 155 15 Korea 28 5 41 4 Taiwan 124 20 111 11 Asia-Pacific 6 1 126 12 ----- ----- ----- ----- Total 608 100 1,027 100 ===== ===== ===== ===== </TABLE> The Company's backlog at July 26, 1998 was $1.0 billion, versus $1.4 billion at April 26, 1998 and $1.6 billion at January 25, 1998. The decline in backlog from April 26, 1998 to July 26, 1998 was a result of net sales in excess of new orders, as well as $125 million of cancellations and debookings during the third fiscal quarter of 1998. ... During the third fiscal quarter of 1997, the Company determined that its outstanding accounts receivable balance from Thailand-based Submicron Technology PCL ("SMT") was not collectible. Therefore, the Company repossessed systems previously sold to SMT and recorded $16.3 million of bad debt expense. ... The Company repurchased 4,453,000 shares of its common stock, at an average price of $32.11 per share, during the nine months ended July 26, 1998, for a total cash outlay of approximately $143 million.