CONDENSED CONSOLIDATED INCOME STATEMENTS (UNAUDITED)
(in thousands except per share data)
Quarter Ended
Quarter Ended March 31, December 31,
2003 2002 2002
Sales $56,158 $42,887 $57,444
Cost of sales 38,208 29,513 52,970
Gross profit 17,950 13,374 4,474
Operating expenses:
Research and development 13,367 11,248 12,975
Sales and marketing 8,330 6,751 9,739
General and administrative 5,629 6,798 9,460
Other operating expenses -- -- 1,904
Restructuring charges 1,509 -- 5,840
Total operating expenses 28,835 24,797 39,918
Loss from operations (10,885) (11,423) (35,444)
Other (expense), net (2,750) (1,997) (2,560)
Net loss before income taxes
and extraordinary item (13,635) (13,420) (38,004)
Benefit for income taxes (5,045) (4,697) (13,408)
Net loss before
extraordinary item (8,590) (8,723) (24,596)
Extraordinary item net of taxes -- -- 2,639
Net loss $(8,590) $(8,723) $(21,957)
Basic and diluted net loss
per share before
extraordinary item: $(0.27) $(0.27) $(0.77)
Basic and diluted net earnings
per share from
extraordinary item: $ -- $ -- $0.09
Basic and diluted net loss
per share: $(0.27) $(0.27) $(0.68)
Basic and diluted
weighted-average
common shares outstanding 32,159 31,874 32,111
Other Information (Unaudited)
(in thousands except
per share data) Quarter Ended
Quarter Ended March 31, December 31,
2003 2002 2002
ADDITIONAL INFORMATION -
Non-GAAP financial information:
Non-GAAP net loss $(7,538) $(8,723) $(7,764)
Non-GAAP basic and
diluted loss per share $(0.23) $(0.27) $(0.24)
THE NON-GAAP FINANCIAL INFORMATION ELIMINATES
THE FOLLOWING FROM THE GAAP INFORMATION:
Excess, obsolete and
warranty inventory charges $ -- $ -- $14,223
Other operating expenses -- -- 5,346
Restructuring charges 1,509 -- 5,840
Impairment of equity investment 175 -- 1,523
Extraordinary gain, before tax -- -- (4,223)
Income tax effect (632) -- (8,516)
$1,052 $ -- $14,193
CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED)
(in thousands)
March 31, December 31,
2003 2002
ASSETS
Current Assets:
Cash and cash equivalents $58,302 $70,188
Marketable securities 102,519 102,159
Accounts receivable 40,915 43,885
Income tax receivable 14,809 14,720
Inventories 55,952 57,306
Other current assets 5,702 6,828
Deferred income tax assets, net 21,853 17,510
Total current assets 300,052 312,596
Property and equipment, net 40,772 41,178
Deposits and other 4,411 5,181
Goodwill and intangibles, net 86,420 86,601
Deferred debt issuance costs 3,815 4,091
Other assets 6,660 6,086
Total assets $442,130 $455,733
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Trade accounts payable $14,556 $16,055
Other current liabilities 29,268 31,064
Current portion of capital leases
and long-term debt 14,290 15,197
Accrued interest payable on convertible
subordinated notes 1,601 2,338
Total current liabilities 59,715 64,654
Long-term Liabilities:
Capital leases and senior borrowings 9,353 10,665
Other long-term liabilities 742 694
Deferred income tax liability, net 8,777 8,663
Convertible subordinated notes payable 187,718 187,718
Total long-term liabilities 206,590 207,740
Total liabilities 266,305 272,394
Stockholders' equity 175,825 183,339
Total liabilities and stockholders' equity $442,130 $455,733
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED)
(in thousands)
Three Months Ended March 31,
2003 2002
NET CASH USED IN OPERATING ACTIVITIES $(4,579) $(10,564)
NET CASH USED IN INVESTING ACTIVITIES (5,460) (24,830)
NET CASH USED IN FINANCING ACTIVITIES (1,981) (2,641)
EFFECT OF CURRENCY TRANSLATION ON CASH 134 (119)
DECREASE IN CASH AND CASH EQUIVALENTS (11,886) (38,154)
CASH AND EQUIVALENTS, beginning of period 70,188 81,955
CASH AND EQUIVALENTS, end of period $58,302 $43,801