[comp.sys.amiga] CBM 2nd Fiscal Quarter Results & new President Mehdi Ali

papa@pollux.usc.edu (Marco Papa) (02/05/89)

The following were posted by Gail Wellington on BIX.  Wonder why CBM stock
is so great? If one had bought CBM stock right after the October crash, he/she
would have made a 100% profit.

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"Commodore International today reported that sales for the second quarter ended
December 31, 1988 increased 24% to $349.0 million compared with $281.7 milion
in the year-ago quarter.  Income before extraordinary item increased 74%
to $38.2 million or $1.20 per share compared with $22.0 million, or $.69 per
share in the prior year.  Net income for the quarter increased 38% to $38.2
million, or $1.20 per share compared with $27.7 million, or $.87 per share 
in the prior year.

For the six months ended December 31, 1988 sales increased 21% to $549.2
million compared with $455.6 million in the year-ago period.  Income
before extraordinary item for the six months increased 77% to $47.8
million or $1.50 per share compared with $34.0 million, or $1.07
per share in the prior year.

Mr. Irving Gould, Chairman and Chief Executive Officer, stated: "We are
pleased with the strong sales performance of our European operations which
accounted for slightly more than 70% of total sales for the December quarter.
Several European markets and the Australia/Asia Pacific region experienced
sales growth in excess of 50%.  Sales also increased moderately in North
America.  All three product families -- the Amigas, the MS-DOS PC compatibles
and the C64/C128D computers -- contributed to the sales growth."

Mr. Gould commented:  "Operating income for the quarter increased 81% to
$49.4 million or 14.2% of sales compared with $27.3 million, or /9.7% of
sales in the prior year.  The strong increase in profitability was
attributable to both an improvement in gross margin and the operating expense
leverage derived from higher sales.  The income tax provision for the
December quarter was 22% compared with a tax provision of 28% in the prior
year.  However the effective tax rate a year ago was 10% reflecting an
extraordinary item credit of $5.7 milllion from the utilization of net 
operating loss carryforwards."

In conclusion, Mr. Gould stated: "We look forward to continued growth and 
expanded penetration of our Amiga and MS-DOS computers in the business, 
government and education markets around the world while enhancing our 
traditional strength in the consumer sector."

Commodore International Limited through its worldwide subsidiaries
manufactures and markets personal computers for home, education, business
and professinal users around the world.  The Company has three products lines:
Amiga 500/2000, MS-DOS compatible PCs and C64/C128D computers.

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Commodore International Appoints Director Mehdi Ali as President

West Chester PA, February 1, 1989

Irving Gould, Chairman and Chief Executive Officer of Commodore International
Limited today announced that Mehdi Ali has been appointed to the position
of President of the Company.  Mr. Ali, a managing director of Dillon, Read
& Co., Inc., New York, has been a special advisor to Commodore for the past
three years.  In August he was elected to the Commodore Baord of Directors.

Mr. Gould commented:  "Having worked closely with Mr. Ali for the past three
years, I believe we are fortunate that he has agreed to expand the role he
has been playing in the restucturing of Commodore into a major comeptitor in
the microcomputer industry."

Mr. Ali added: "Commodore now has considerable momentum and I hope to
help capitalize on the significant opportunities that lie ahead."

Mr. Ali will conduct his duties as President from Commodore's New York cor-
porate offices.  Mr. Ali has been with Dillon Read since 1984 and served
as vice president on the finance staffs of PepsiCo Inc. and General Motors
Corporation for the previous eight years.

[the postion of President of Commodore Internations was vacant. MP]

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Enjoy.

-- Marco Papa 'Doc'
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