07.01.2004 - Maxtor Lowers Guidance For Second Quarter 2004

MILPITAS, Calif., July 1, 2004 -- Maxtor Corporation (NYSE: MXO) today provided an update on the outlook for its financial results for the second quarter ended June 26, 2004. The Company expects that shipments in the second quarter will total approximately 11.6 million units. Second quarter revenue is anticipated to be approximately $820 to $825 million. The Company expects to report a net loss on a GAAP basis of between $20 and $30 million, or approximately $(0.08) to $(0.12) per share, which includes a charge for the amortization of intangible assets of $5.1 million. Also included in the quarter is a gain of $24.8 million from the settlement of a lawsuit brought by Maxtor against Koninklijke Phillips Electronics N.V. related to a quality issue on a legacy Quantum product. Excluding this gain, the net loss on a non-GAAP basis is expected to be between $40 and $50 million, or approximately $(0.16) to $(0.20) per share. - View Press Release - Visit Maxtor Corporation