C-COR Announces Agreement to Purchase Lantern Communications and Provides Financial Update.Business Editors/High-Tech Writers STATE COLLEGE, Pa.--(BUSINESS WIRE)--April 15, 2004 Acquisition Would Allow C-COR to Couple 10 GigE and RPR (Resilient Packet Ring) A packet-based protocol that provides fault tolerance and statistical multiplexing for the metropolitan and national SONET and Ethernet networks of the carriers. Technology for High Performance, Low Cost NextGen Packet-Based Transport Solution C-COR.net Corp. (Nasdaq:CCBL CCBL Crescent Commercial Bank Limited (Pakistan) CCBL Cambodia Campaign to Ban Landmines CCBL Configuration Control Baseline CCBL CPEDB Configuration Baseline Listing CCBL Chinese Christian Basketball League ), a global provider of broadband communications products, software systems, and services, today announced that the Company has entered into an agreement to acquire all of the assets of Lantern Communications, Inc., an innovator in Metropolitan Area Network (MAN) packet-based transport solutions. Consummation of the transaction is subject to a number of conditions. The transaction is expected to close in the fourth quarter of C-COR's fiscal year 2004. With the completion of the purchase, Lantern will become part of C-COR's Broadband Communications Products (BCP BCP Best Current Practice(s) BCP Business Continuity Planning BCP Business Continuity Plan BCP Book of Common Prayer BCP Banco Comercial Português BCP Bureau of Consumer Protection (US Federal Trade Commission) ) division. The Company anticipates that in fiscal year 2005 the Lantern acquisition will add approximately $20 million in net sales Net Sales The amount a seller receives from the buyer after costs associated with the sale are deducted. Notes: This amount is calculated by subtracting the following items from gross sales: merchandise returned for credit, allowances for damaged or missing goods, freight and contribute to earnings. Lantern Communications (www.lanterncom.com), a privately-held company headquartered in Sunnyvale, California Sunnyvale ([sʌniveil]) is a city in Santa Clara County, California, United States. It is one of the major cities that make up the Silicon Valley. As of the 2000 census, the city population was 131,760. , is a provider of packet-based transport solutions enabling scalable deployment of carrier-class, QoS (Quality-of-Service) assured Ethernet services across Metropolitan Area Networks (MAN). As a founding member of the Resilient Packet Ring See RPR. (RPR) Alliance, Lantern is recognized as a pioneer in the development of RPR technology for migrating packet-based technologies from Local Area Networks (LANs) to MANs. RPR technology is the emerging solution-of-choice for metro data transport applications because it combines the high availability Also called "RAS" (reliability, availability, serviceability) or "fault resilient," it refers to a multiprocessing system that can quickly recover from a failure. There may be a minute or two of downtime while one system switches over to another, but processing will continue. and reliability of existing voice-optimized circuit-switched infrastructures with the superior bandwidth utilization, simplicity, and cost advantages of Ethernet. These capabilities make RPR well suited to support converged multi-service networks that will carry bandwidth-hungry data, voice, and video traffic. C-COR anticipates that Lantern's Metro Packet Switch (MSP (1) (Management Service Provider or Managed Service Provider) An organization that manages a customer's computer systems and networks which are either located on the customer's premises or at a third-party datacenter. ) system, which incorporates advanced bandwidth management and QoS techniques to enable the delivery of deterministic services over an all packet edge infrastructure, will form the foundation for a new generation of C-COR's digital video transport product line. Based on preliminary results for the quarter ended March 26, 2004, the Company expects to report net sales of between $58 and $58.5 million. The Company also anticipates that diluted earnings per share diluted earnings per share An earnings measure calculated by dividing net income less preferred stock dividends for a period by the average number of shares of common stock that would be outstanding if all convertible securities were converted into shares of will be somewhat higher than its previous guidance of $0.06 to $0.08. For the quarter ending June 25, 2004, the Company anticipates net sales between $59 and $61 million and diluted earnings per share between $0.07 and $0.10. This guidance reflects an expected shift in revenue mix, including less software revenue than in the previous quarter, integration costs related to the Lantern acquisition, and the effect of increased shares outstanding from the common stock offering completed in the previous quarter. The Company will hold its third quarter FY 2004 conference call on Thursday, April 22, 2004, at 9:45 AM (ET). For information on how to access the conference call, refer to the C-COR news release of March 17, 2004, posted on the Company's web site (www.c-cor.net) or call C-COR's Investor Relations Investor relations The process by which the corporation communicates with its investors. at 814-231-4402 or 814-231-4438. About C-COR (www.c-cor.net) C-COR is a top-tier global provider of premium quality optical, digital video transport, and RF telecommunication products; end-to-end fiber-to-the-premise systems; operation support software solutions; and high-end technical field services -- all supporting cost-effective delivery of voice, video, and high-speed data over advanced HFC 1. (networking) HFC - Hybrid Fiber Coax. 2. (hardware) HFC - hydrofluorocarbon. broadband networks. Headquartered in the U.S. with facilities worldwide, C-COR's mission is to provide our customers with second-to-none network integrity throughout the full network life cycle. C-COR's common stock is listed on the Nasdaq National Market (Symbol:CCBL) and is a component of the Russell 2000 Stock Index. Some of the information presented in this announcement constitutes forward-looking statements made pursuant to the safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995. Forward-looking statements represent the Company's judgment regarding future events, and are based on currently available information. Although the Company believes it has a reasonable basis for these forward-looking statements, the Company cannot guarantee their accuracy and actual results may differ materially from those the Company anticipated due to a number of uncertainties, many of which the Company is not aware. Factors which could cause actual results to differ from expectations include, among others, capital spending capital spending Spending for long-term assets such as factories, equipment, machinery, and buildings that permits the production of more goods and services in future years. patterns of the communications industry, changes in regard to significant customers, the demand for network integrity, the trend toward more fiber in the network, the Company's ability to develop new and enhanced products, the Company's ability to provide complete network solutions, continued industry consolidation, the development of competing technology, the global demand for the Company's products and services, and the Company's ability to complete and integrate acquisitions and achieve its strategic objectives. For additional information concerning these and other important factors that may cause the Company's actual results to differ materially from expectations and underlying assumptions, please refer to the reports filed by the Company with the Securities and Exchange Commission. |
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