BURLINGTON, Mass. -- Acterna Corporation (Nasdaq: ACTR), the world's largest provider of test and management solutions for optical transport, access and cable networks and the second largest communications test company overall, reported its results for the first quarter of fiscal 2002 ended June 30, 2001. Net sales from continuing operations for the first quarter of fiscal 2002 increased to $302 million from pro forma sales of $296 million for the same period last year. Acterna's profit from operations (earnings before interest, taxes, amortization and special charges) was $41 million for the first quarter, before integration expense of $2 million related to the implementation of an ERP system. This was 14 percent higher than a year ago, and in line with the company's previous guidance. Cash earnings per share in the first quarter were $.08, after $.01 per share of integration expense, which compared to $.02 per share in the prior year, after $.02 per share of integration expense. Commenting on the company's business outlook, John R. Peeler, president, said, "Our first quarter orders of $239 million reflected the slowdown in the global communications industry and reduced capital spending in the sector. Although we have substantial backlog, we remain focused on maximizing our win rate for new orders, reducing our operating costs, and sustaining our investments in new product development. We are taking appropriate steps to manage our business effectively during this period and to strengthen our position for more rapid earnings growth as the communications sector rebounds over time." The company announced a comprehensive cost reduction program that includes the following actions: --An 8 percent reduction of the company-wide work force, impacting approximately 400 jobs worldwide.
--Reduction of outside contractors and consultants.
--Reduction of operating expenses through cost controls.
--Reduction of manufacturing costs through procurement programs to lower materials costs. Acterna Corp.