Maxtor Corporation Reports Strong Fourth Quarter 2003 Financial Results

(Auszug aus der Pressemitteilung)

MILPITAS, Calif., Jan. 21 – Maxtor Corporation

(NYSE: MXO) today announced its financial results for the fourth quarter ended
December 27, 2003. Revenue for the quarter was $1.171 billion. The Company
reported net income on a GAAP basis of $38.8 million, or $0.15 per diluted
share. Included in GAAP net income was a charge of $23.6 million for the
amortization of intangible assets and $0.2 million in stock-based compensation
expense. GAAP net income also included income from discontinued operations of
$2.2 million, or $0.01 per diluted share. On a non-GAAP basis, excluding
these charges, Maxtor reported income from continuing operations of $60.4
million, or $0.24 per diluted share. In the fourth quarter of 2002, revenue
was $1.038 billion. Net income on a GAAP basis was $3.6 million, or $0.01 per
diluted share. The GAAP net income in the fourth quarter of 2002 included a
charge for the amortization of intangible assets, stock-based compensation
expense and severance expense related to a reduction in force, totaling $33.7
million. On a non-GAAP basis, excluding these charges, net income in the
fourth quarter of 2002 was $37.3 million, or $0.15 per diluted share.

“We are very pleased with Maxtor’s fourth quarter financial results,” said
Paul Tufano, president and chief executive officer. “During the quarter, the
Company achieved record quarterly unit shipments, revenue and net income. We
shipped 15.8 million hard disk drives, reflecting good demand for desktop PCs
and Intel-based servers, as well as emerging applications including consumer
electronics and midline and nearline enterprise storage.”

Desktop drive shipments in the fourth quarter totaled 14.9 million.
During the quarter, Maxtor added two major consumer electronics OEM customers
and shipped 1,641,000 drives to CE OEMs. Shipments of SCSI drives increased
in the fourth quarter to 854,000 compared with 709,000 in the third quarter of
2003.

“Looking ahead, we believe that 2004 will be a year of significant
opportunity for the hard drive industry and for Maxtor,” continued Mr. Tufano.
“Demand in our core desktop and server markets remains strong. There is
growing momentum for the use of hard drives in emerging applications where
Maxtor has a leadership position. We are committed to improving our operating
leverage throughout the year, by enhancing manufacturing efficiencies, driving
economies through the supply chain, and maintaining a strong focus on expense
control.”

Fiscal Year 2003 Financial Results
For the fiscal year 2003, revenue was $4.086 billion. Net income on a
GAAP basis was $102.3 million, or $0.41 per diluted share. Included in the
GAAP net income was a charge of $85.3 million for the amortization of
intangible assets and $0.8 million in stock-based compensation expense. GAAP
net income also included income from discontinued operations of $2.2 million,
or $0.01 per diluted share. On a non-GAAP basis, excluding these charges,
income from continuing operations was $186.2 million, or $0.74 per diluted
share. In 2002, Maxtor reported revenue of $3.780 billion and a net loss on a
GAAP basis of $334.1 million, or $(1.40) per share. The GAAP loss included
charges for the amortization of intangible assets, restructuring, stock-based
compensation expense and severance, totaling $112.5 million. There was also a
loss from discontinued operations of $73.5 million, or $(0.31) per share. On
a non-GAAP basis, excluding these charges, the loss from continuing operations
in 2002 was $149.6 million, or $(0.63) per share.

Maxtor