-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: keymaster@town.hall.org Originator-Key-Asymmetric: MFkwCgYEVQgBAQICAgADSwAwSAJBALeWW4xDV4i7+b6+UyPn5RtObb1cJ7VkACDq pKb9/DClgTKIm08lCfoilvi9Wl4SODbR1+1waHhiGmeZO8OdgLUCAwEAAQ== MIC-Info: RSA-MD5,RSA, XfwJevfa1/VmVW3A9Z/7okqPTmpUwMjjDa28pEZDrQKWtUZzQ0jkGRVEAKrA7LfF tfiuf9/y6VTmdpsMDzK8/w== 0000749038-94-000008.txt : 19941122 0000749038-94-000008.hdr.sgml : 19941122 ACCESSION NUMBER: 0000749038-94-000008 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 19940930 FILED AS OF DATE: 19941114 SROS: NASD FILER: COMPANY DATA: COMPANY CONFORMED NAME: CONCURRENT COMPUTER CORP/DE CENTRAL INDEX KEY: 0000749038 STANDARD INDUSTRIAL CLASSIFICATION: 3571 IRS NUMBER: 042735766 STATE OF INCORPORATION: DE FISCAL YEAR END: 0630 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-13150 FILM NUMBER: 94559687 BUSINESS ADDRESS: STREET 1: 2 CRECENT PLACE CITY: OCEANPORT STATE: NJ ZIP: 07757 BUSINESS PHONE: 9088704500 MAIL ADDRESS: STREET 1: 2 CRECENT PLACE CITY: OCEANPORT STATE: NJ ZIP: 07757 FORMER COMPANY: FORMER CONFORMED NAME: MASSACHUSETTS COMPUTER CORP DATE OF NAME CHANGE: 19881018 10-Q 1 SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 -------------- FORM 10-Q (Mark One) X Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Quarter Ended September 30, 1994 or Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the Transition Period from ____ to ____ Commission File No. 0-13150 _____________ CONCURRENT COMPUTER CORPORATION Delaware 04-2735766 (State of Incorporation) (I.R.S. Employer Identification No.) 2 Crescent Place, Oceanport, New Jersey 07757 Telephone: (908) 870-4500 Indicate by check mark whether the Registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the Registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes __X__ No _____ Number of shares of the Registrant's Common Stock, par value $0.01 per share, outstanding as of November 1, 1994 were 30,208,396. PART I. Financial Information Item 1. Financial Statements Concurrent Computer Corporation Consolidated Statements of Operations (Dollars in thousands, except per share amounts) Three Months Ended September 30, 1994 1993 * Net Sales: Computer systems $23,873 $27,788 Service and other 17,635 21,572 Total 41,508 49,360 Cost of sales: Computer systems 12,179 13,118 Service and other 10,552 13,390 _______ ______ Total 22,731 26,508 Gross margin 18,777 22,852 Operating expenses: Research and development 5,421 6,224 Selling, general and administrative 10,198 13,908 Provision for restructuring - 12,000 ________ ________ Total operating expenses 15,619 32,132 Operating income (loss) 3,158 (9,280) Interest expense (724) (1,501) Interest income 182 161 Other income (expense) - net 158 55 Income (loss) before provision for income taxes, extraordinary loss and cumulative effect of change in accounting principles 2,774 (10,565) Provision for income taxes 1,100 450 Income (loss) before extraordinary loss and cumulative effect of change in accounting principles 1,674 (11,015) Extraordinary loss on early extinguishment of debt - (23,193) Cumulative effect of change in accounting principles for income taxes and postretirement benefits - (5,000) __________ _________ Net income (loss) $1,674 ($39,208) Income (loss) per share: Income (loss) before extraordinary loss and cumulative effect of change in accounting principles $0.06 ($0.47) Extraordinary loss on early extinguishment of debt - (0.99) Cumulative effect of change in accounting principles for income taxes and postretirement benefits - (0.21) _________ _________ Net income (loss) $0.06 ($1.67) * Reclassified to conform to current year presentation. The accompanying notes are an integral part of the consolidated financial statements. Concurrent Computer Corporation Consolidated Balance Sheets (Dollars in thousands) September 30, June 30, 1994 1994 ASSETS Current assets: Cash and cash equivalents $10,439 $9,374 Accounts receivable - net 33,186 34,519 Inventories 18,012 17,829 Prepaid expenses and other current assets 4,745 5,334 _______ ______ Total current assets 66,382 67,056 Property plant and equipment - net 41,417 42,742 Other long-term assets 13,108 13,372 Total assets $120,907 $123,170 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Notes payable $6,450 $5,749 Current portion of long-term debt 8,643 11,000 Accounts payable and accrued expenses 40,865 44,687 Deferred revenue 6,093 6,236 ________ ________ Total current liabilities 62,051 67,672 Long-term debt 13,203 13,240 Other long-term liabilities 7,058 7,210 Stockholders' equity: Common stock 301 296 Capital in excess of par value 73,356 71,547 Accumulated deficit after eliminating accumulated deficit of $81,826 at December 31, 1991, date of quasi-reorganization (33,348) (35,022) Treasury stock (58) (58) Cumulative translation adjustment (1,656) (1,715) Total stockholders' equity 38,595 35,048 Total liabilities and stockholders' equity $120,907 $123,170 ---------- -------- ---------- -------- The accompanying notes are an integral part of the consolidated financial statements. Concurrent Computer Corporation Consolidated Statements of Cash Flows (Dollars in thousands) Three Months Ended September 30, 1994 1993 * Cash flows provided by (used by) operating activities: Net income (loss) $1,674 ($39,208) Adjustments to reconcile net income (loss) to net cash provided by (used by) operating activities: Depreciation, amortization and other 3,167 3,053 Non-cash taxes 700 200 Non-cash interest and amortization of financing costs 130 701 Extraordinary loss on early extinguishment of debt - 23,193 Cumulative effect of change in accounting principles - 5,000 Provision for restructuring - 12,000 Decrease (increase) in current assets: Accounts receivable 1,505 (3,021) Inventories (60) (403) Prepaid expenses and other current assets 493 (316) Decrease in current liabilities, other than debt obligations (3,199) (6,084) Increase in other long-term assets (34) (1,174) (Decrease) increase in other long-term liabilities (229) 1,077 -------- --------- Total adjustments to net income (loss) 2,473 34,226 ------- ------- Net cash provided by (used by) operating activities 4,147 (4,982) ------- ------- Cash flows used by investing activities: Additions to property, plant and equipment (1,468) (1,630) ------- ------ Cash flow provided by (used by) financing activities: Net proceeds (payments) of notes payable 689 (90) Repayment of long-term debt (2,478) (69,823) Issuance of long-term debt - 708 Net proceeds from sale and issuance of common stock 150 55,000 -------- -------- Net cash used by financing activities (1,639) (14,205) ---------- --------- Effect of exchange rate changes on cash and cash equivalents 25 65 Increase (decrease) in cash and cash equivalents $1,065 ($20,752) --------- ----------- --------- ----------- Cash paid during the year for: Interest $568 $1,057 --------- --------- --------- --------- Income taxes (net of refunds) $347 ($35) ---------- --------- ---------- --------- * Reclassified to conform to current year presentation. The accompanying notes are an integral part of the consolidated financial statements. Concurrent Computer Corporation Notes To Consolidated Financial Statements __________________________________________________________________ Note 1: Basis of Presentation The accompanying consolidated financial statements are unaudited and have been prepared in accordance with generally accepted accounting principles. The foregoing financial information reflects all adjustments which are, in the opinion of management, necessary for a fair presentation of the results for the periods presented. All such adjustments are of a normal, recurring nature. These results, however, are not necessarily indicative of the results to be expected for the full fiscal year. Note 2: Debt Agreement At September 30, 1994, the outstanding balance of the Company's senior bank debt (the "debt") was approximately $20.6 million, including approximately $1.0 million of payments one of the lenders was authorized to debit from the Company's bank account on September 30, 1994 which was not debited until October 3, 1994. The debt carries monthly amortization payments of $687,500 through June 1995, an additional amortization payment of $1.375 million on December 31,1994, and a final maturity payment of $12 million on October 1, 1995. The debt bears interest, at the Company's option, at the prime rate plus 1% or the London Interbank Rate plus 3%. The debt is secured by a first security interest in the Company's domestic assets and a security interst in two-thirds of the Company's ownership interest in its subsidiaries. The debt may be prepaid at any time without penalty. The term loan agreement covering the debt was amended during the quarter ended September 30, 1994 to modify certain financial covenants. The amendment also extended the maturity date from June 30, 1995 to October 1, 1995. The amendment was obtained to provide the Company with greater financial flexibility in light of anticipated financial results for fiscal year 1995. Additional flexibility may be required depending on actual financial results. The Company is in discussions with asset based lenders to refinance the debt to include a term loan and revolving credit facility. There can be no assurance that any such refinancing will be achieved. Note 3: Income (Loss) Per Share Income (loss) per share for the three months ended September 30, 1994 and 1993, respectively, is based on the weighted average number of shares of common stock outstanding and for the three months ended September 30, 1994 includes common stock equivalents (dilutive stock options). Income per share on a primary and fully diluted basis for the three months ended September 30, 1994 are equivalent. The number of shares used in computing earnings per share were 29,946,000 and 23,463,000 for the three months ended September 30, 1994 and 1993, respectively. Supplemental net loss per share for the three months ended September 30, 1993, which is calculated assuming the Company's comprehensive refinancing (completed on July 21, 1993) took place on July 1, 1993, was as follows: Three Months Ended September 30, 1993 Income (loss) before extraordinary loss and cumulative effect of change in accounting principles (including a $12.0 million, or $0.41 per share, provision for restructuring) ($0.38) Extraordinary loss on early extinguishment of debt (0.79) Cumulative effect of change in accounting principles for income taxes and postretirement benefits (0.17) -------- Net loss ($1.34) Note 4: Inventories (Dollars in thousands) September 30, June 30, 1994 1994 Raw materials $ 9,554 $ 9,270 Work-in-process 3,250 2,872 Finished goods 5,208 5,687 --------- --------- $18,012 $17,829 Note 5: Accumulated Depreciation Accumulated depreciation at September 30, 1994 and June 30, 1994 was $29,896,000 and $26,644,000, respectively. Note 6: Contingency The U.S. government has asserted that the Company's prices for shipments of spare parts prior to 1994 under the U.S. Department of Commerce's Next Generation Weather Radar (NEXRAD) program were too high. No claim or action has been filed against the Company. The Company believes that its pricing practices are in compliance with applicable regulations. At the government's request, the Company and the government are pursuing settlement. Although there can be no assurance, the Company expects that any resolution of the matter will not have a material adverse affect on the Company's financial condition or liquidity. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Overview During the first quarter of fiscal year 1995, Concurrent continued to be profitable despite a decline in revenues from the fiscal quarter ended June 30, 1994. The Company's profit performance reflects the benefits from continued tight cost controls and focused investment, particularly to promote its new MAXION real-time multiprocessor system and other products and services. Although sales of the MAXION systems are growing, a decline in sales of other systems resulted in a decline in revenue in the quarter ended September 30, 1994. As the market demand for computer systems continues to shift from proprietary to open systems, the Company continues to experience a decline in sales of proprietary systems and traditional services such as maintenance. The goals for fiscal year 1995 include achievement of sustained profitability and revenues with continued growth in MAXION system sales. The Company plans to continue to evaluate and manage its existing cost structure to anticipated revenue levels to achieve sustained profitability. There can be no assurance that these goals will be achieved. The Company is pursuing a number of major program opportunities for its MAXION system. Prospects are promising but uncertain. Given the long (6-18 months) selling cycle for such programs, should the Company be selected as a supplier, the benefits from such programs are not likely to be realized in fiscal year 1995. During fiscal year 1994, the Company took steps to restructure its operations to reduce its cost structure and to focus its revenue generating activities with the objectives to fund growth and ongoing development programs, particularly related to its new MAXION multiprocessor open system and Series 3200-850 product lines. The actions are intended to enhance revenue growth by decentralizing and localizing appropriate decision-making authority to be more competitive and responsive to customers. The Company is also focusing on a variety of growth initiatives, including its recently announced entry into the multimedia interactive server market and other new markets for the MAXION open system. The Company continues to expand its product offerings through strategic alliances, such as those with Oracle and Bull Information Systems, and is working on new high-potential distribution and marketing alliances. The Company's objective is to increase revenues by providing real- time computer systems and services to its installed base of proprietary systems and to its open systems target markets. The achievement of these objectives requires that the Company continue to enhance its proprietary hardware and operating system platforms, while investing in the development of its real-time open system hardware and operating systems and providing industry standard product enhancements, such as networking, graphics and data acquisition. The future growth of the Company's business and its future financial performance will depend, to a significant extent, upon its ability to continue to develop and market competitive open systems which meet the real-time computing needs of its targeted customers. During the quarter ended March 31, 1994, the first full-scale production units of the MAXION open system and Series 3200-850 proprietary system were shipped on time to customers. Both products were introduced during the quarter ended December 31, 1993. The Series 3200-850 proprietary system provides improved price/performance and an upward growth path for the Company's Series 3200 customers -- a significant portion of its installed base. The MAXION open system is the world's first multiprocessor system employing crosspoint architecture. The Company believes the MAXION system has strengthened its competitive position in the marketplace. One of the goals of the Company's strategy is to minimize the effect of the anticipated decline in sales of the Company's proprietary systems and traditional maintenance and support services, while increasing sales of its open systems and professional services, such as performance and capacity analysis and systems integration. Since the average selling price of an open system is considerably less than the average selling price of a proprietary system, the number of total systems sold must increase to maintain and grow revenues. A shift in sales from proprietary systems, however, is likely to result in lower gross margins. Currently, gross margins on open systems are lower than gross margins on proprietary systems. The Company's operating income would be adversely affected by such a shift unless total net sales increase, the gross margins on its open systems improve and/or total operating expenses are further reduced. Although there can be no assurance that this will be the case, the Company believes gross margins on its open systems will improve with the continued implementation of its value-added market strategy. This strategy involves the continued introduction of new next generation open system products, which the Company believes will generate higher gross margins than its older open systems products. It also involves the development and sale of value-added products and services such as software productivity and development tools, and packaged services comprised of traditional services and professional services, which sales are expected to have an aggregate positive impact on total gross margins. Selected Operating Data as a Percentage of Net Sales The Company considers its computer systems and service business (including maintenance, support and training) to be one class of products which accounted for the percentages of net sales set forth below. The following table sets forth selected operating data as a percentage of net sales for certain items in the Company's consolidated statements of operations for the periods indicated. Three Months Ended September 30, 1994 1993 Net sales: Computer systems 57.5% 56.3% Service and other 42.5 43.7 ------ ------ Total net sales 100.0 100.0 Cost of sales (% of respective sales category): Computer systems 51.0 47.2 Service and other 59.8 62.1 ------ ------ Total cost of sales 54.8 53.7 Gross margin 45.2 46.3 Operating expenses: Research and development 13.0 12.6 Selling, general and administrative 24.6 28.2 Provision for restructuring - 24.3 ------ ------ Total operating expenses 37.6 65.1 ----- ----- Operating income (loss) 7.6 (18.8) Interest expense (1.7) (3.0) Interest income 0.4 0.3 Other income (expense) - net 0.4 0.1 ----- ------ Income (loss) before provision for income taxes, extraordinary loss and cumulative effect of change in accounting principles 6.7 (21.4) Provision for income taxes 2.7 0.9 ---- ----- Income (loss) before extraordinary loss and cumulative effect of change in accounting principles (a) 4.0% (22.3)% ------ ------ ------ ------ (a) The percentage for the three months ended September 30, 1993 excludes a $23.2 million extraordinary loss on early extinguishment of debt and a $5.0 million non-cash charge for the cumulative effect of change in accounting principles. Results of Operations Three Months Ended September 30, 1994 in Comparison to Three Months Ended September 30, 1993 Net Sales Net sales for the three months ended September 30, 1994 were $41.5 million, a decrease of $7.8 million from the prior year period. This decrease was due to a decrease of $3.9 million, or 14.1%, in computer systems sales and a decrease of $3.9 million, or 18.3%, in service and other revenues. The decrease in computer system sales was primarily due to the anticipated worldwide decline in sales of proprietary systems, partially offset by shipments of spare parts under the U.S. Department of Commerce's Next Generation Weather Radar (NEXRAD) program and sales of the Company's new MAXION open systems. The decrease in service and other revenues was primarily due to the decline in computer system sales experienced in prior periods which resulted in fewer maintenance contracts and a decline in renewal rates on maturing contracts. Gross Margin Gross margin, as measured in dollars and as a percentage of net sales, was $18.8 million and 45.2%, respectively, for the three months ended September 30, 1994 compared to $22.8 million and 46.3%, respectively, for the prior year period. The decrease in gross margin dollars and percentage was primarily due to the decline in net sales, partially offset by cost savings resulting from the operational restructuring implemented during fiscal year 1994. Operating Income (Loss) Operating income for the current year period was $3.2 million compared to operating loss of $9.3 million for the prior year period. The $0.5 million increase in operating income (net of the one-time $12.0 million provision for restructuring incurred in the prior year) was due to a $4.5 million reduction in operating expenses, partially offset by the $4.0 million decrease in gross margin. The $4.5 million decrease in operating expenses was primarily due to a $3.7 million decrease in selling, general and administrative expenses and a $1.2 million decrease in gross research and development expenses, partially offset by a $0.4 million increase in software production costs. The decrease in selling, general and administrative and gross research and development expenses is primarily due to cost savings resulting from the operational restructuring implemented during fiscal year 1994. Income (Loss) Before Extraordinary Loss and Cumulative Effect of Change in Accounting Principles Income before extraordinary loss and cumulative effect of change in accounting principles was $1.7 million in the current year period compared to loss of $11.0 million for the prior year period. The $12.7 million change results from the $12.5 million increase in operating income and a $0.2 million net decrease in non-operating expenses. The decrease in non-operating expenses was primarily due to a $0.8 million decrease in interest expense resulting from the reduction of the Company's indebtedness, partially offset by an $0.6 million increase in the provision for income taxes. The increase in the provision for income taxes relates primarily to domestic operations. Such increase represents non-cash taxes which are offset in capital in excess of par value through the utilization of net operating loss carryforwards which originated prior to the Company's quasi-reorganization on December 31, 1991. Financial Resources and Liquidity Liquidity of the business is dependent on many factors, including sales volume, operating profit ratio, debt service and the efficiency of asset utilization and turnover. The future liquidity of the Company's business will depend to a significant extent on: 1) its ability to sustain significant revenue growth of its MAXION systems; 2) the actual versus anticipated decline in sales of proprietary systems and traditional services; 3) its ongoing cost control efforts; and 4) refinancing of the existing senior bank debt and access to additional equity, if necessary. The Company has restructured its operations to reduce its cost structure and to focus its revenue generating activities with the objective to fund revenue growth and ongoing development programs, particularly related to the new MAXION system and Series 3200-850 product lines. As of September 30, 1994, the Company had a current ratio of 1.1 to 1, an inventory turnover ratio of 5.1 times and net working capital of $4.3 million. At September 30, 1994, cash and cash equivalents amounted to $10.4 million and accounts receivable amounted to $33.2 million. At September 30, 1994, the outstanding balance of the Company's senior bank debt (the "debt") was approximately $20.6 million, including approximately $1.0 million of payments one of the lenders was authorized to debit from the Company's bank account on September 30, 1994 which was not debited until October 3, 1994. The debt carries monthly amortization payments of $687,500 through June 1995, an additional amortization payment of $1.375 million on December 31,1994, and a final maturity payment of $12 million on October 1, 1995. Amortization payments during the quarter ended September 30, 1994 included the regular $687,500 monthly payments and an additional payment of $1.375 million on September 30, 1994. The September 30 and December 31, 1994 payments of $1.375 million result from the bank approved deferral of the four regular monthly amortization payments from November 1993 through February 1994. In consideration of the deferral, the Company granted stock purchase warrants to the senior banks to purchase an aggregate of 600,000 shares of Common Stock at an exercise price of $1.50, the fair market value of a share of Common Stock at the time of the applicable bank term loan amendment. The warrants expired unexercised on September 30, 1994. The debt bears interest, at the Company's option, at the prime rate plus 1% or the London Interbank Rate plus 3%. The debt is secured by a first security interest in the Company's domestic assets and a security interest in two-thirds of the Company's ownership interest in its subsidiaries. The debt may be prepaid at any time without penalty. The term loan agreement covering the debt was amended during the quarter ended September 30, 1994 to modify certain financial covenants. The amendment also extended the maturity date from June 30, 1995 to October 1, 1995. The amendment was obtained to provide the Company with greater financial flexibility in light of anticipated financial results for fiscal year 1995. Additional flexibility may be required depending on actual financial results. The Company is in discussions with asset based lenders to refinance the debt to include a term loan and revolving credit facility. The refinancing, if completed as contemplated, would significantly reduce the Company's regular monthly amortization payments while giving the Company the flexibility provided by a revolving credit facility. There can be no assurance that any such refinancing will be achieved. The Company's Tinton Falls, New Jersey office facility continues to be for sale. In the event the Company sells the facility, the Company will be required to make a prepayment of the existing senior bank debt in an amount equal to 75% of the net proceeds to the Company from such sale. The prepayment would be applied to the payment due on the October 1, 1995 maturity date. Although management believes that anticipated improvements in cash flow from operations resulting from the restructuring of operations in fiscal year 1994 and other actions will enhance the Company's ability to manage its cash requirements, the short term prospects for the Company's liquidity are dependent to a significant degree upon the level and stability of revenue from sales and service of its computer systems and the Company's ongoing cost control actions. PART II. Other Information Item 6. Exhibits and Reports on Form 8-K (a) Exhibits: 11 Computation of Primary Earnings Per Share (b) No reports on Form 8-K were filed during the fiscal quarter ended September 30, 1994. Signatures Pursuant to the requirements of the Securities and Exchange Act of 1934, the Registrant has duly caused this quarterly report for the quarter ended September 30, 1994 to be signed on its behalf by the undersigned thereunto duly authorized. CONCURRENT COMPUTER CORPORATION (Registrant) By: /s/John T. Stihl John T. Stihl Chairman of the Board, President and Chief Executive Officer By: /s/ Roger J. Mason Roger J. Mason Vice President, Finance and Treasurer Chief Financial Officer Dated: November 14, 1994 Exhibit Index Exhibit No. Description 11 Computation of primary earnings per share Concurrent Computer Corporation Exhibit 11 Primary Earnings Per Share Computation (Dollars and shares in thousands, except per share amounts) Three Months Ended September 30, 1994 1993 Income (loss) before extraordinary loss and cumulative effect of change in accounting principles $1,674 ($11,015) Extraordinary loss on early extinguishment of debt - (23,193) Cumulative effect of change in accounting principles for income taxes and postretirement benefits - (5,000) ________ _________ Net income (loss) $1,674 ($39,208) Weighted average number of common shares 29,729 23,463 Increase in weighted average number of common shares upon assumed exercise of stock options 217 - _____ ______ Total 29,946 23,463 Income (loss) per share: Income (loss) before extraordinary loss and cumulative effect of change in accounting principles $0.06 ($0.47) Extraordinary loss on early extinguishment of debt - (0.99) Cumulative effect of change in accounting principles for income taxes and postretirement benefits - (0.21) ______ _______ Net income (loss) $0.06 ($1.67) November 14, 1994 Securities and Exchange Commission 450 Fifth Street, N.W. Washington, D.C. 20549 Re: Concurrent Computer Corporation Q1 10Q Filing - Fiscal Year 1995 -------------------------------- Dear Sirs: On behalf of Concurrent Computer Corporation (the "Company"), we are filing by means of the EDGAR system a 10-Q for Q1 Fiscal Year 1995. Please call me if you have any questions relating to this filing. Sincerely, /s/ Kevin J. Dell Vice President General Counsel and Secretary Concurrent Computer Corporation -----END PRIVACY-ENHANCED MESSAGE-----