Carrier Access Revises Estimates

BOULDER, Colo. -- Carrier Access Corporation (NASDAQ:CACS - News) today announced revised revenue and earnings estimates for the third quarter ending September 30, 2006. Based upon information currently available, revenue for the quarter is expected to range from $16 million to $18 million. Basic and diluted GAAP loss per share for the quarter is expected to range from $(0.19) to $(0.14). Basic and diluted Non-GAAP loss per share for the quarter is expected to range from $(0.16) to $(0.11). Expected Non-GAAP loss per share for the third quarter excludes stock-based compensation expense related to the adoption of Statement of Financial Accounting Statement SFAS 123(R) and amortization of purchased intangibles, including any income tax effects. The reconciliation between expected GAAP earnings per share and expected Non-GAAP earnings per share is set forth at the end of this press release.

Carrier Access' chief executive officer Roger Koenig stated, "Our order flow and bookings in August were significantly below previous quarters and our expectations. Bookings and associated shipments in August were significantly impacted by one customer ordering less than previously anticipated. This was primarily due to the deferral of specific projects until 2007. As a result we are revising our financial guidance for the third quarter of 2006."

"Although we are disappointed in our revised third quarter revenue guidance, we continue to see increased interest in our product and technology platforms both internationally and domestically. We see a common set of requirements for improvements in network efficiency, bandwidth and service availability. As such, we are continuing to invest heavily in research and development related to our converged access and wireless product portfolios, as we believe these investments will allow us to expand both our technology and customer base to provide growth in 2007."

Carrier Access Corp. (Nasdaq: CACS)