The Company also reported net income for the quarter of $45,150,000 or $0.14 diluted earnings per share, a decrease of 56% from $102,178,000 or $0.31 diluted earnings per share reported for the first quarter of last year. A cash dividend of $0.04 per share will be paid on November 14, 2001 to stockholders of record on October 26, 2001. During the quarter the Company purchased 3,405,000 shares of its common stock for approximately $115 million. Before the impact of these common stock purchases, the Company generated approximately $21 million in additional cash and short-term investments.
According to Robert H. Swanson, Chairman of the Board and CEO, These have been
difficult times for technology companies. As we had forecasted, sales declined from the previous quarter by 40%. Although our bookings improved, they were still less than our billings and, consequently, we further reduced backlog. However, we continue to be strongly profitable, even with reduced sales, as demonstrated by our 38% return on sales. We incurred charges for severance costs associated with a modest reduction in workforce of approximately $900,000 and we donated $500,000 to assist those people in New York impacted by the September 11th attack.
Although we had a reduction in workforce, we are still staffed and building product in anticipation of improved demand. However, much of the incremental inventory our current workforce has produced has been expensed.
