BEA Systems Sends Letter to Oracle Correcting Mischaracterization of Events.SAN JOSE, Calif. -- BEA Systems (NASDAQ:BEAS) this afternoon released a copy of a letter to Charles Phillips, President of Oracle (NASDAQ:ORCL) in response to erroneous information contained in a letter Oracle publicly released earlier in the day. Below is the text of BEA System's letter in its entirety: Charles Phillips President Oracle Corporation 500 Oracle Parkway Redwood Shores, CA 94065 12 October 2007 VIA FACSIMILE Dear Charles: Let me clarify your misunderstanding and set the record straight. 1) We did not agree to meet this morning to commence a process, and we did not agree to your proposal that the process result in a definitive agreement by Monday. 2) We did not say there is "no process" with Oracle that would result in a friendly deal. 3) We did say that BEA is worth substantially more to Oracle, to others and, importantly, to BEA shareholders than is reflected by Oracle's $17 price. The trading market today validates our judgment. 4) We did say, and we will repeat here, that we will not engage in any process that would be open-ended or harmful to our shareholders' interest. Sincerely, William Klein BEA Systems About BEA BEA Systems, Inc. (NASDAQ: BEAS) is a world leader in enterprise infrastructure software. Information about how BEA helps customers build a Liquid Enterprise(TM) that transforms their business can be found at bea.com. Cautionary Note Regarding Forward-Looking Statements This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including statements concerning the value of BEA. Forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those contemplated by the forward-looking statements. Such risks and uncertainties include, but are not limited to, that BEA may not achieve its internal projections, that management and the Board of Directors may be distracted by Oracle Corporation's recently-announced proposal to acquire BEA, quarterly fluctuations in customer spending due to economic, geopolitical, competitive and other factors; dependence on the growth of the markets for BEA's products, especially the markets for SOA, service infrastructure, VOIP, telecommunications and RFID software, and overseas markets such as China; changes in the standards or technologies used in the SOA, telecommunications and portal markets that could render our products less competitive; declines in spending by the telecommunications industry as a result of consolidation or adverse economic conditions; our dependence on large transactions, particularly those consummated at the end of our quarters; dependence on new product introductions and enhancements; the introduction by competitors of new products and pricing strategies; market acceptance of BEA's enhanced product portfolio; BEA's ability to integrate new technology and personnel as a result of acquisitions; the length of BEA's sales cycle; the acceptance of BEA's products by channel partners; the success of BEA's channel partners; rapid technological change; potential software defects (particularly with regard to newly introduced and planned products); BEA's ability to retain and hire key personnel; misinterpretations resulting from the provision of non-GAAP financial information; significant leverage and debt service requirements; and other risks indicated in our filings with the SEC. For more details, please refer to our SEC filings, including our Annual Report on Form 10-K for the fiscal year ended January 31, 2006, our Quarterly Report on Form 10-Q for the quarter ended April 30, 2006, as well as similar disclosures in subsequent SEC filings. The forward-looking statements and risks stated in this press release are based on information available to BEA today. BEA assumes no obligation to update them. |
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