Sun Microsystems posts loss as Oracle deal nears
San Francisco, August 29, 2009
Sun Microsystems reported a fourth quarter loss on Friday, as the computer server maker's planned acquisition by Oracle Corp nears expected completion.
Sun, which is being acquired by the world's No 3 software maker for $7 billion, posted a net loss of $147 million, or 20 cents a share, in the fourth quarter ended June 30.
That compares with a net profit of $88 million, or 11 cents a share, in the year ago period.
Excluding items, Sun reported a loss of 3 cents a share.
Sun will post additional charges related to job cuts and facilities reductions over the next several quarters, the company said.
Sun's fourth quarter revenue fell to $2.63 billion from $3.78 billion a year ago.
Oracle has said it expects to close its acquisition of Sun by August 31, and the company last week won U.S. antitrust approval for the deal. The acquisition also requires approval by the European Commission.
Shares in the Santa Clara, California-based Sun slipped 0.2 per cent to $9.32 after closing at $9.34 on the Nasdaq.
Shares in Redwood City, California-based Oracle held steady after-hours after closing at $22.16 on the Nasdaq. – Reuters