UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
Current Report
Pursuant to Section 13 or 15(d)
of the Securities Exchange Act of 1934
-------------------------------------------------
Date of Report (Date of earliest event reported): June 10, 1998
SAWTEK INC.
(Exact name of registrant as specified in its charter)
Florida
(State or other jurisdiction
of incorporation)
000-28276
(Commission File No.)
59-1864440
(IRS Employer Identification No.)
1818 South Highway 441
Apopka, Florida 32703
(Address of principal executive offices)
(407) 886-8860
(Registrant's telephone number, including area code)
<PAGE>
Item 5. Other Events.
Sawtek Inc. announced its outlook for the balance of its
fiscal year that ends on September 30, 1998. Steve Miller, Chairman and Chief
Executive Officer, stated, "I expect the Company to record strong financial
results for the quarter ending June 30, 1998. However, external factors outside
the control of the Company indicate that it will be difficult for the Company to
post sequential growth in revenue and profits for the quarter ending September
30, 1998."
Item 7. Financial Statements and Exhibits
Exhibit 99.1 Sawtek Inc. Press Release dated June 10, 1998
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of
1934, the registrant has duly caused this report to be signed on its behalf by
the undersigned thereunto duly authorized.
SAWTEK INC.
By:/s/ Raymond A. Link
Vice President Finance and
Chief Financial Officer
June 10, 1998
<PAGE>
Exhibit 99.1
NEWS RELEASE
Contact: Ray Link
Chief Financial Officer
Sawtek Inc.
Tel: 407/884-3344
Fax: 407/886-7061
E-mail: [email protected]
For Immediate Release
SAWTEK ANNOUNCES OUTLOOK FOR THE REMAINDER OF
FISCAL YEAR 1998:
Orlando, Florida, June 10, 1998 ______ Sawtek Inc. (Nasdaq: SAWS) announced its
outlook for the balance of its fiscal year that ends on September 30, 1998.
Steve Miller, Chairman and Chief Executive Officer, stated, "I expect the
Company to record strong financial results for the quarter ending June 30, 1998.
However, external factors outside the control of the Company indicate that it
will be difficult for the Company to post sequential growth in revenue and
profits for the quarter ending September 30, 1998."
The Company's customer diversity remains strong with our top four customers
ranging from 12% to 20% of total revenue. We believe we have a dominate market
share for GSM and CDMA base station filters and are a major supplier in the
emerging CDMA handset filter market. We are actively pursuing new product
opportunities, including wireless LAN and wireless local loop applications and
beginning to receive orders for our chemical sensor products.
As discussed in prior press releases and the Company's SEC filings, certain
factors can and are affecting the Company's business. The factors that are
affecting the Company's outlook for the quarter ending September 30, 1998
include the continued financial turmoil in South Korea and other Asian markets;
currency fluctuations that have resulted in a strong dollar particularly
compared to the Japanese Yen which is affecting our ability to compete with
Japanese suppliers of surface acoustic wave devices; reduced prices on GSM base
station filters due to the conversion to next generation products which are
smaller, less expensive surface mount filters; and lowered forecasts for CDMA
filters for both base station and handset filters from several of the Company's
major customers. As a result, the Company has taken a number of steps to match
production capacity to anticipated customer demand including: i) elimination of
its weekend work shifts, which are primarily staffed with temporary employees,
ii) reduction of certain general and administrative costs, and iii) other
related cost saving measures. While the Company believes these measures will
reduce costs, the projected lower revenue will result in lower profits for the
quarter ending September 30, 1998.
<PAGE>
Sawtek Inc. is a leading supplier of electronic signal processing components
based on surface acoustic wave ("SAW") technology. The Company's primary focus
is custom designed, high-performance bandpass filters, resonators, delay lines,
oscillators and SAW-based subsystems. These products are used in a wide array of
microwave and radio frequency systems such as CDMA and GSM-based digital
telephone systems, digital microwave radios, wireless local area networks, cable
television, defense and satellite systems, and chemical sensors.
Sawtek trades on the Nasdaq National Market under the symbol "SAWS."
Forward-looking statements in this release are made pursuant to the Safe Harbor
provisions of the Private Securities Litigation Act of 1995. Investors are
cautioned that such forward-looking statements involve risks and uncertainties,
such as statements of the Company's plans, objectives, expectations and
intentions. The cautionary statements made in this release should be read as
being applicable to all related forward-looking statements wherever they appear
in this release. Statements containing terms such as "believes," "does not
believe," "no reason to believe," "expect," "plans," "projected," "intends,"
"estimates" or "anticipates" are considered to contain uncertainty and are
forward-looking statements. The Company's actual results could differ materially
from those discussed. Factors that could cause or contribute to such differences
include the following: the Company's dependence on continuing demand for
wireless communications services and CDMA technology, particularly CDMA handset
units; economic turmoil in South Korea and other Asia-Pacific countries (as
experienced during the past several quarters) or other geographic areas of the
world; fluctuations in the value of foreign currency; pressure on gross profit
margins due to competition, change in product mix and other factors; dependence
on a limited number of customers, which are expected to continue to account for
a high percentage of the Company's future net sales; fluctuations in the
Company's quarterly results and backlog which may be caused by such factors as
product mix changes, price competition, availability of manufacturing capacity,
and customer order cancellation or rescheduling; the Company's dependence on its
timely development of new or improved SAW products (such as SAW chemical
sensors) to meet changing market needs; the risk of competing technologies which
could replace or reduce the use of SAW technology for certain applications; as
well as other risks discussed in Sawtek's SEC reports, including Form 10-K filed
for fiscal year 1997, Form S-3 filed on April 3, 1998, and Form 10-Q's.
A reader of this release should understand that it is not possible to predict or
identify all such risk factors. Consequently, the reader should not consider
such list to be a complete statement of all potential risks or uncertainties.
The Company does not assume the obligation to update any forward-looking
statement.
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