3Com Issues Revenue Warning

3Com anticipates revenues for the quarter ending 30-May-2003 will be in the range of $165 million to $175 million, excluding revenues from CommWorks which will be accounted for as discontinued operations. This compares with quarterly revenue of $245 million (including CommWorks) for the prior quarter.


Excluding CommWorks, gross margins are expected to be in the mid thirty percent range and adversely impacted by the decline in sales. Connectivity sales are expected to decline by 15 to 20% compared to the prior quarter. Enterprise Networking sales are expected to decline by 20 to 25% sequentially, due largely to weakness in international regions and competitive pressures.


Full financial results are expected after the market close on 25-June-2003.
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