SANTA CLARA, Calif. -- PMC-Sierra, Inc. (Nasdaq:PMCS - news) today reported net revenues of $119.9 million and pro forma net income of $0.02 per share (diluted) for the first quarter of 2001. Net revenues increased 5% compared to the first quarter of 2000 while declining 48% compared to the fourth quarter of 2000. Pro forma net income for the first quarter of 2001 was $4.4 million compared to pro forma net income of $27.2 million in the first quarter of 2000 and $62.5 million in the fourth quarter of 2000.

"During the first quarter of 2001, we announced 16 new products, including an OC-192 chip set solution, and we are continuing to build for the long term by achieving design wins at a brisk pace," said Bob Bailey, chairman, president and CEO of PMC-Sierra. "By executing a proactive internal restructuring process in the first quarter of this year, we have sharpened our product focus and operational efficiencies while lowering our cost structure going forward."

PMC-Sierra Inc.