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EMC Reports Loss On Weak Tech Spending

Data storage machine maker EMC Corp reported a quarterly operating loss as customers held back on buying, and said it did not see any short-term turnaround in technology spending.

EMC also said its sales in the current quarter were likely to be about even with the third quarter, which would fall short of Wall Street expectations.

"We didn't have the quarter we wanted to in Q3, and as I already mentioned, we don't see any end to this IT spending drought," EMC Chief Executive Officer Joe Tucci told analysts on a conference call.

EMC shares were down about 1 percent to $4.70 September 17th, on the New York Stock Exchange as the broader American Stock Exchange Computer Hardware Index gained about 1.7 percent

Gains in the broader market came after EMC competitor International Business Machines Corp on Wednesday September 16th stood by its forecast for the fourth quarter, saying revenues would rise 12 percent from the third quarter.

"It was more caution than we expected, especially considering what we heard from IBM," said Bear Stearns analyst Andrew Neff.

Including a benefit from taxes and a reversal of a year-ago restructuring charge, EMC reported net income of $21.26 million, or 1 cent per share, compared with a net loss of $945 million, or 43 cents per share in the year earlier quarter.

Excluding those items the company reported a loss of $51 million, or 2 cents per share compared to a loss of $270 million, or 12 cents per share a year earlier. The year-ago figure excludes an $825 million restructuring charge.

Hopkinton, Massachusetts-based EMC had announced preliminary quarterly results earlier this month. EMC had also said it doesn't expect to have a profitable second half of the year.

Third quarter revenue rose to $1.26 billion from $1.21 billion a year earlier, the company said.

SANZ Announces Preliminary Third Quarter Results: 60% Rise

Storage Area Networks has announced that, on a preliminary basis, the company billed approximately $9 million in its September quarter, and expects to recognize revenue of approximately $8.6 million, an increase of approximately 60% from third quarter last year. John Jenkins, SANZ CEO said: "Our balanced business model that addresses both commercial and Federal markets is serving us well as we continue to gain share in today's challenging market conditions. We closed the September quarter with several hundred thousands of dollars of backlog scheduled for immediate shipment and, importantly, our base of recurring revenue continues to build.

"We received additional annual service contracts in excess of $1.3 million on October 1st. These orders, which are not included in the September results, will be billed and recognized monthly over the next year." Jenkins added, "We will provide guidance for the December quarter when we release formal results for Q3."

About SANZ

SAN Holdings, through its subsidiary Storage Area Networks Inc, provides total data storage solutions, including solutions customized to a customer's needs, integrated storage appliances, and storage management services. SANZ maintains operations in Arizona, Colorado, Connecticut, Massachusetts, New Jersey, Ohio and greater Washington D.C. For additional information, contact Hugh O'Reilly, senior vice president, at 203-838-9888 or horeilly@sanz.com. For investor relations information, contact Ronald Both of Liolios Group Inc, 949-574-3860 or ron@liolios.com. Learn more about the company on the World Wide Web at www.sanz.com.

Imation Corp Boosts 3rd Quarter Earnings Outlook

Imation Corp boosted its third quarter earnings guidance, citing stronger-than-expected demand for data storage removable media products.

In a press release Friday, the company said it expects third quarter earnings of 45 cents to 49 cents a share, up from its previous estimate of 30 cents a share.

A Thomson First Call survey of three analysts produced an average estimate of 30 cents a share for the quarter ended in September.

In the year-ago third quarter, the company reported earnings of 29 cents a share, on total revenue of $279.3 million.

Imation said third quarter data storage revenue grew 20% to $250 million from $206.6 million a year ago.

The company anticipates total company operating income of $25 million to $28 million.

On July 23, the company said it expected full-year earnings of $1.70 a share. A company spokesman wasn't immediately available to comment on whether the company was revising its guidance for the 2002 year.

Imation will release its third-quarter results on Oct. 22. New York Stock Exchange-listed shares of Imation closed Thursday at $29.04, up $1.40, or 5.1%.

Company Website: www.imation.com.

BakBone Announces Preliminary Q2 Revenue Results

BakBone Software, a global provider of storage management software, has announced preliminary revenue results for the second fiscal quarter ended Sept. 30, 2002.

Final reported results for the quarter are expected to show revenue growth in excess of 75 percent over the corresponding quarter of last fiscal year. BakBone's final reported results for the second fiscal quarter ended Sept. 30, 2002 are expected to be released on Nov. 5, 2002.

"In an economic environment proving difficult for many companies, BakBone has shown yet another quarter of continued sequential revenue growth," said Keith Rickard, BakBone's president and CEO. "The second quarter showed significant customer wins, increasing average selling prices and continued success in markets throughout the world."

About BakBone Software Inc

BakBone Software is an international storage management software company that develops and globally distributes high-performance software solutions to the network storage and open systems markets. BakBone's backup/restore and near-line archival software suites provide scalable data protection from the workgroup to the enterprise. Founded in 2000, BakBone Software's products are used by companies worldwide, and are distributed through a network of OEMs and solution providers. BakBone's corporate headquarters is located at 10145 Pacific Heights Boulevard, San Diego, California 92121. Its stock is listed on the Toronto Stock Exchange. For more information on BakBone products, call 866-484-2663, e-mail sales@bakbone.com or access BakBone's Website at www.bakbone.com.

Contact: Chanda Idano, BakBone Software, 858-450-9009, investors@bakbone.com.