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Current DateTime: 08:42:39 23 Nov 2009
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UPDATE 1-Sun Micro sales fall, Oracle deal delay stings
By: AFX | 06 Nov 2009 | 04:59 PM ET
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NEW YORK, Nov 6 (Reuters) - Computer maker Sun Microsystems Inc suffered a 25 percent fall in quarterly revenue, as uncertainty over its delayed sale to Oracle Corp hurt its business. Lower operating expenses helped Sun Microsystems curb its fiscal first quarter loss to $120 million, or 16 cents a share compared with $1.68 billion, or $2.24 a share, a year earlier, according to a filing with the U.S. Securities and Exchange Commission. But revenue fell to $2.24 billion from $2.99 billion in the same quarter a year earlier, and was lower than the average analyst estimate of $2.34 billion, according to Thomson Reuters I/B/E/S. "Our first quarter of fiscal year 2010 results continued to be affected by the economic downturn, the uncertainty associated with our proposed acquisition by Oracle, increased competition and delays in customer purchasing decisions," Sun said in a statement on Friday. Oracle Chief Executive Larry Ellison recently said that Sun is losing about $100 million a month because of uncertainty about its future, as European antitrust regulators pursue an in-depth probe of the deal. Sun Microsystems has said is cutting around 10 percent of its staff. (Reporting by Ritsuko Ando; editing by Carol Bishopric) Keywords: SUNMICRO/ (ritsuko.ando@thomsonreuters.com; +1 646 223 6084; Reuters Messaging: ritsuko.ando.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2009. All rights reserved.

The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.

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