Cray Inc. Completes OctigaBay Acquisition.Business Editors/High-Tech Writers SEATTLE--(BUSINESS WIRE)--April 2, 2004 Cray Inc. (Nasdaq:CRAY) today announced that it has completed the acquisition of privately held OctigaBay Systems Corporation of Vancouver, British Columbia British Columbia, province (2001 pop. 3,907,738), 366,255 sq mi (948,600 sq km), including 6,976 sq mi (18,068 sq km) of water surface, W Canada. Geography . This acquisition, coupled with Cray's previously announced decision to commercialize the Sandia "Red Storm" system, will extend Cray's product portfolio and multiply its addressable Reachable. When something is addressable, it can be identified and manipulated independently of its surroundings. For example, screen pixels and RAM memory are addressable. Each of the screen's picture elements can be individually turned on and off, and each of the memory's bytes can be market by over four times, according to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. market analyst firm IDC. In completing the transaction, Cray exchanged about 12.4 million shares and just under $15 million dollars for all outstanding OctigaBay shares and assumed approximately 740,000 options. The acquisition is expected to be accretive in 2005, excluding the impact of non-cash acquisition-related charges. For 2004, the continuing cost of OctigaBay-related product development efforts and the product launch will be about $2 million per quarter. OctigaBay has been developing a high performance computing (HPC (Handheld PC) A palmtop computer that weighs less than one pound and runs specialized versions of popular applications. Microsoft coined the term for its Windows CE operating system, which is an abbreviated version of Windows. See Pocket PC. ) system designed around its direct connected processor architecture, an innovative approach to massively parallel See MPP. processing that directly links together processors, alleviating memory contention and interconnect bottlenecks found in cluster systems. The OctigaBay system, formerly known as the 12K, will be called the Cray XD1 product. Early shipments of the Cray XD1 direct connect processor product are expected in the second half of 2004, with general availability in early 2005. Pricing, to be announced To be announced (TBA) A contract for the purchase or sale of an MBS to be delivered at an agreed-upon future date but does not include a specified pool number and number of pools or precise amount to be delivered. later this year, is expected to range from under $100,000 to about $2 million. "With the addition of OctigaBay, Cray can provide purpose-built systems at a wide range of price points that allow customers to get more work done at a lower cost than they can with mainstream HPC systems today," said Cray Chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Jim Rottsolk. Previewed by OctigaBay in November 2003, the Cray XD1 high performance computer has an innovative architecture that embeds both a high speed interconnect NVIDIA's High Speed Interconnect (often abbreviated to 'HSI') chip was used in their early PCI Express graphics cards, where it acted as a bridge between the PCI Express connection to the computer and the natively AGP GPU. and application accelerators to remove major bottlenecks and improve performance on real-world applications. Self-monitoring, self-healing and management features give administrators a highly reliable and easy-to-use system. About Cray Inc. Cray's mission is to be the premier provider of supercomputing solutions for its customers' most challenging scientific and engineering problems. Cray currently participates primarily in the HPC capability market with its Cray X1(TM) product. In October 2003, the company announced plans to offer a second product line to the capability and enterprise segments, based on the 40-teraops "Red Storm" massively parallel processing system Cray plans to deliver to Sandia National Laboratories Sandia National Laboratories, which is managed and operated by the Sandia Corporation (a wholly owned subsidiary of Lockheed Martin Corporation), is a major United States Department of Energy research and development national laboratory with two locations, one in Albuquerque, New in the second half of 2004. Both the "Red Storm" and Cray XD1 products will use the Advanced Micro Devices Inc. Opteron(TM) processors connected via a low-latency, high-bandwidth interconnect network based on HyperTransport(TM) technology, coupled with Cray's custom interconnect technology. Go to www.cray.com for more information about the company. 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. Statement This press release contains forward-looking statements. There are certain factors that could cause Cray's execution plans to differ materially from those anticipated by the statements above. These include the technical challenges of developing high performance computing systems, including the "Red Storm" and Cray XD1 products, government support and timing of supercomputer systems purchases, reliance on third-party suppliers, the possibility that Cray and OctigaBay may be unable to execute successfully their integration strategies, successful porting of application programs to new computer systems, Cray's ability to compete with larger, more established companies and innovative competitors, Cray's ability to keep up with rapid technological change, and general economic and market conditions. For a discussion of these and other risks, see Cray's Annual Report on Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. filed with the SEC on March 12, 2004. Cray is a registered trademark, and Cray X1 and Cray XD1 are trademarks, of Cray Inc. All other trademarks are the property of their respective owners. |
|
||||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion