Cisco rettet die Nasdaq ! und Uns !!

SAN JOSE, Calif.--(BUSINESS WIRE)--August 8, 2000--Cisco Systems,
Inc., the worldwide leader in networking for the Internet, today
reported its fourth quarter results for the period ending July 29,
2000.
   Net sales for the fourth quarter of fiscal 2000 were $5.72
billion, compared with $3.56 billion for the same period last year, an
increase of 61%. Pro forma net income, which excludes the effects of
acquisition charges, payroll tax on stock option exercises, and net
gains realized on minority investments, was $1.20 billion or $0.16 per
share for the fourth quarter of fiscal 2000, compared with pro forma
net income of $710 million or $0.10 per share for the fourth quarter
of fiscal 1999, increases of 69% and 60%, respectively.
   During the fourth quarter of fiscal 2000, Cisco completed the
acquisitions of Atlantech Technologies, Ltd., JetCell, Inc., PentaCom
Ltd., Qeyton Systems, and Seagull Semiconductor, Ltd. for a combined
purchase price, including assumed liabilities, of approximately $1.39
billion and took one-time charges of $461 million, or approximately
$0.06 per share on an after-tax basis, as write-offs of purchased
in-process R&D. Additionally, Cisco completed the acquisitions of
ArrowPoint Communications, Inc., InfoGear Technology Corp., and
SightPath, Inc. which were accounted for as poolings of interests.
   Actual net income for the fourth quarter of fiscal 2000 was $796
million or $0.11 per share, compared with $605 million or $0.08 per
share for the same period last year.
   Net sales for fiscal 2000 were $18.93 billion, compared with
$12.17 billion for fiscal 1999, an increase of 55%. Pro forma net
income was $3.91 billion or $0.53 per share for fiscal 2000, compared
with pro forma net income of $2.52 billion or $0.36 per share for
fiscal 1999, increases of 56% and 47%, respectively.
   Actual net income for fiscal 2000 was $2.67 billion or $0.36 per
share, compared with $2.02 billion or $0.29 per share for fiscal 1999.
   The net income per share and number of shares used in the
per-share calculation for all periods presented reflect the
two-for-one stock split that was effective March 22, 2000.
   "We predicted five years ago that we were in the midst of a second
Industrial Revolution that would determine the prosperity of
companies, countries, and individuals. Today, the Internet continues
to drive the strongest U.S. economy in history," said John Chambers,
president and CEO of Cisco Systems. "The second Industrial Revolution
is just begining and businesses and governments are turning to Cisco,
the Internet expert, to assist them in transforming their companies
and countries. We were very pleased with the balance of our business
across all key geographies, products, and lines of business."
   In the service provider marketplace, Cisco continued to advance
its strategy for New World integrated data, voice, and video networks
and made progress in each of its key areas including optical
networking, wireless solutions, and voice-transition technology. In
the optical market, Cisco expanded its portfolio of Internet-scale,
carrier-class solutions by announcing the acquisition of Qeyton
Systems, a developer of metropolitan dense wave division multiplexing
(MDWDM) technology. Increasing its broadband offering, Cisco announced
its intent to acquire IPmobile to help service providers build the
next-generation IP-based wireless infrastructure known as "3G" to
create a broad array of new and innovative wireless data and voice
services. Underscoring Cisco's strategy to provide service providers
with a smooth transition path to New World networks, Cisco announced
its intent to acquire Komodo Technology, Inc. and HyNEX, Ltd. Komodo's
voice-over-IP (VoIP) devices allow analog telephones to place calls
over IP-based networks. HyNEX's products strengthen Cisco's solution
in international markets by accelerating the deployment of IP+ATM
networks to enable service providers to deliver an expanded range of
data, voice, and video services.
   In the enterprise market, Cisco strengthened its storage area
networking strategy by entering into a technology agreement with
Brocade Communication Systems and announcing its intent to acquire
NuSpeed Internet Systems. Both transactions will enable companies to
store, retrieve, and back-up data more efficiently by seamlessly
interconnecting storage area networks over a single IP-based
infrastructure. Cisco also introduced a range of gigabit and
10-gigabit solutions for its Catalyst(R) 6000, 4000, and 2900 series
XL switching families to deliver gigabit bandwidth and intelligent
network services across traditional enterprises and service
provider environments. Cisco also expanded its portfolio of content
networking solutions by announcing its intent to acquire Netiverse,
Inc., a leading provider of content acceleration technology that
enhances the performance and functionality of networking devices.
   In the small and medium-sized business market, Cisco joined with
GE Industrial Systems to form a new company, GE Cisco Industrial
Networks, to help small and medium-sized businesses increase
factory-to-office communications through Internet-based solutions. GE
Cisco Industrial Networks will assess, design, and build network
infrastructures for manufacturing plant floor and industrial
environments that will enable company-wide Internet-based
communication.
   "We see no indications in the marketplace that the radical
Internet business transformation in practices like customer service,
supply-chain management, employee training, empowerment, and
e-commerce that is taking place around the world today is slowing --
in fact, we believe it is accelerating globally. We would like to
thank our shareholders, customers, employees, partners, and suppliers
for their continued commitment and confidence in our ability to
execute in the future as we have in the past," concluded Chambers.

About Cisco Systems

   Cisco Systems, Inc., (NASDAQ: CSCO) is the worldwide leader in
networking for the Internet. News and information are available at
www.cisco.com.

   This release may contain projections or other forward-looking
statements regarding future events or the future financial performance
of the Company that involve risks and uncertainties. Readers are
cautioned that these forward-looking statements are only predictions
and may differ materially from actual future events or results.
Readers are referred to the documents filed by Cisco with the SEC,
specifically the most recent reports on Form 10-K, 8-K, and 10-Q,
including amendments thereto, which identify important risk factors
that could cause actual results to differ from those contained in the
forward-looking statements, including risks associated with
acquisition strategy, dependence on new product offerings,
competition, patents, intellectual property and licensing, future
growth, rapid technological and market change, manufacturing and
sourcing risks, Internet infrastructure and regulation, international
operations, volatility of stock price, financial risk management, and
potential volatility in operating results, among others.

   Catalyst, Cisco, Cisco Systems, and the Cisco Systems logo are
registered trademarks of Cisco Systems, Inc. and/or its affiliates in
the U.S. and certain other countries. All other trademarks mentioned
in this document are the property of their respective owners.
Copyright(c)2000 Cisco Systems, Inc. All rights reserved.
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*T

                         Cisco Systems, Inc.
--------------------------------------------------
      PRO FORMA CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
       Excluding IPR&D, Payroll Tax on Stock Option Exercises,
 Acquisition-Related Costs, Amortization of Goodwill and Intangible
       Assets, and Net Gains Realized on Minority Investments
--------------------------------------------------
               (In millions, except per-share amounts)

                          Quarters Ended     Fiscal Years Ended
                         July 29,   July 31,  July 29,  July 31,
                           2000       1999     2000       1999
                       (Unaudited)(Unaudited)
                         -------   -------   ---------  --------
Net sales                 $ 5,720   $ 3,558   $18,928    $12,173
Cost of sales               2,058     1,261     6,746      4,259
                         -------   -------   --------   --------
   Gross margin            3,662     2,297    12,182      7,914
Operating expenses:
   Research and
     development             825       509     2,685      1,663
   Sales and marketing     1,142       709     3,917      2,465
   General and
     administrative          180       110       568        365
                         -------   -------   ---------  --------
      Total operating
        expenses           2,147     1,328     7,170      4,493
                         -------   -------   ---------  --------

Operating income            1,515       969     5,012      3,421

Interest and other
income, net                  197        93       577        330
                         -------   -------   ---------  --------
Income before
provision
for income taxes           1,712     1,062     5,589      3,751
Provision for
income taxes                 514       352     1,675      1,234
                         -------   -------   ---------  --------
Net income                $ 1,198   $   710   $ 3,914    $ 2,517
                         =======   =======   =========  ========
Net income per
share--basic             $   .17   $   .10   $   .57   $    .38
                         =======   =======   =========  ========
Net income per
share--diluted           $   .16   $   .10   $   .53   $    .36
                         =======   =======   =========  ========
Shares used in
per-share
calculation--basic         7,042     6,765     6,917      6,646
                         =======   =======   =========  ========
Shares used in
per-share
calculation--diluted       7,556     7,201     7,438      7,062
                         =======   =======   =========  ========
*T
                           PRO FORMA ONLY

   The above pro forma amounts for the quarter ended July 29, 2000
have been adjusted to eliminate the $461 million write-off of
purchased in-process R&D, $26 million of payroll tax on stock option
exercises, $37 million of acquisition related costs, $169 million of
amortization of goodwill and purchased intangible assets, and $344
million of net gains realized on minority investments, net of related
tax of $53 million.
   The above pro forma amounts for fiscal 2000 have been adjusted to
eliminate the $1.37 billion write-off of purchased in-process R&D, $51
million of payroll tax on stock option exercises, $62 million of
acquisition-related costs, $291 million of amortization of goodwill
and purchased intangible assets, and $531 million of net gains
realized on minority investments, net of related tax of $0 million.
   The above pro forma amounts for the quarter and year ended July
31, 1999 have been adjusted to eliminate the $81 and $471 million
write-off of purchased in-process R&D, $16 and $16 million of
acquisition-related costs, $19 and $61 million of amortization of
goodwill and purchased intangible assets, net of related tax benefits
of $11 and $54 million, respectively.
   All historical financial information has been restated to reflect
the acquisitions of StratumOne Communications, Inc. and TransMedia
Communications, Inc. in the first quarter of fiscal 2000, and Cerent
Corporation and WebLine Communications Corporation in the second
quarter of fiscal 2000, and ArrowPoint Communications, Inc., InfoGear
Technology, Corp., and SightPath, Inc. in the fourth quarter of
fiscal 2000 which were accounted for as poolings of interests. In
addition, the historical financial information has been restated to
reflect the acquisition of Fibex Systems which was completed in the
fourth quarter of fiscal 1999 and accounted for as a pooling of
interests.
   The net income per share and number of shares used in the
per-share calculation for all periods presented reflect the
two-for-one stock split effective March 22, 2000.
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*T

                         Cisco Systems, Inc.
--------------------------------------------------
           CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
--------------------------------------------------
               (In millions, except per-share amounts)

                                Quarters Ended    Fiscal Years Ended
                              July 29,  July 31,   July 29, July 31,
                                2000      1999       2000     1999
                            (Unaudited)(Unaudited)
                              -------   -------   -------   -------
Net sales                      $ 5,720   $ 3,558   $18,928   $12,173
Cost of sales                    2,058     1,261     6,746     4,259
                              -------   -------   -------   -------
   Gross margin                 3,662     2,297    12,182     7,914
Operating expenses:
   Research and
     development                  825       509     2,685     1,663
   Sales and marketing          1,142       709     3,917     2,465
   General and
     administrative               217       126       630       381
   Payroll tax
     on stock option
     exercises                     26        --        51        --
   Amortization of
     goodwill and
     purchased intangible
     assets                       169        19       291        61
   Purchased in-process R&D       461        81     1,373       471
                              -------   -------   -------   -------
         Total operating
          expenses              2,840     1,444     8,947     5,041
                              -------   -------   -------   -------
Operating income                   822       853     3,235     2,873

Net gains realized
on minority
investments                       344        --       531        --
Interest and other
income, net                       197        93       577       330
                              -------   -------   -------   -------
Income before
provision
for income taxes                1,363       946     4,343     3,203

Provision for
income taxes                      567       341     1,675     1,180
                              -------   -------   -------   -------
Net income                      $  796   $   605   $ 2,668   $ 2,023
                              =======   =======   =======   =======
Net income per
share--basic                   $  .11   $   .09   $  .39    $   .30
                              =======   =======   =======   =======
Net income
per share--diluted             $  .11   $   .08   $   .36   $   .29
                              =======   =======   =======   =======
Shares used in
 per-share
 calculation--basic             7,042     6,765     6,917     6,646
                              =======   =======   =======   =======
Shares used in
 per-share
 calculation--diluted           7,556     7,201     7,438     7,062
                              =======   =======   =======   =======
*T
   All historical financial information has been restated to reflect
the acquisitions of StratumOne Communications, Inc. and TransMedia
Communications, Inc. in the first quarter of fiscal 2000, and Cerent
Corporation and WebLine Communications Corporation in the second
quarter of fiscal 2000, and ArrowPoint Communications, Inc., InfoGear
Technology, Corp., and SightPath, Inc. in the fourth quarter of
fiscal 2000 which were accounted for as poolings of interests. In
addition, the historical financial information has been restated to
reflect the acquisition of Fibex Systems which was completed in the
fourth quarter of fiscal 1999 and accounted for as a pooling of
interests. The net income per share and number of shares used in the
per-share calculation for all periods presented reflect the
two-for-one stock split effective March 22, 2000.
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*T

                         Cisco Systems, Inc.
--------------------------------------------------
                CONDENSED CONSOLIDATED BALANCE SHEETS
--------------------------------------------------
                            (In millions)

                              July 29, 2000  July 31, 1999
                              -------------  -------------
Assets
Current assets:
 Cash and short-term
    investments                   $ 5,525   $ 2,102  
 Accounts receivable, net           2,299     1,250
 Inventories, net                   1,232       658
 Deferred tax assets                1,091       580
 Prepaid expenses and
    other current assets              963       171
                                  -------   -------
           Total current assets    11,110     4,761

Investments                         13,688     7,032
Restricted investments               1,286     1,080
Property and equipment, net          1,426       825
Other assets                         5,360     1,195
                                  -------   -------
            Total assets          $32,870   $14,893
                                  =======   =======

Liabilities and shareholders' equity
Current liabilities:
  Accounts payable and other
       accrued expenses           $ 4,963   $ 2,408
    Income taxes payable              233       630
                                  -------   -------
           Total current
            liabilities             5,196     3,038

Deferred tax liabilities             1,132       --

Minority interest                       45        44

Shareholders' equity                26,497    11,811
                                  -------   -------
          Total liabilities and
          shareholders' equity    $32,870   $14,893
                                  =======   =======
*T
   All historical financial information has been restated to reflect
the acquisitions of StratumOne Communications, Inc. and TransMedia
Communications, Inc. in the first quarter of fiscal 2000, and Cerent
Corporation and WebLine Communications Corporation in the second
quarter of fiscal 2000, and ArrowPoint Communications, Inc., InfoGear
Technology, Corp., and SightPath, Inc. in the fourth quarter of fiscal
2000 which were accounted for as poolings of interests.