EXHIBIT 99.1
For Immediate Release
Baan Company Pre-announces Estimated Second Quarter Results
Barneveld, The Netherlands, and Herndon, Virginia - July 20, 2000 - Baan Company
N.V. (NASDAQ: BAANF; ASE: BAAN) today announced that it expects to report an
estimated operating loss of between $85 million and $95 million, or between
$(0.32) and $(0.36) per share for the second quarter 2000. The Company estimates
revenues of between $70 million and $80 million for this period, down from $106
million in the first quarter 2000 and $130 million in the fourth quarter 1999.
The Company ended the quarter with a shareholders' deficit. The Company expects
that cash flows used in operations will approximate the operating loss for the
quarter.
"Unfortunately, the wait-and-see attitude about the Company's viability
continues to put significant downward pressure on revenue," said Rob Ruijter,
Chief Financial Officer. "Until we are able to remove the concerns that our
customers and prospects have over our viability, and secure financing to pursue
a fundamental restructuring of the business, we expect to remain in an
environment that makes it very difficult to generate sufficient revenue to
support the business."
About Baan Company
Founded in 1978, Baan Company (NASDAQ: BAANF; ASE: BAAN) is a global provider of
enterprise business solutions. Baan Company offers a comprehensive portfolio of
integrated services and best-in-class, component-based applications that span an
organization's entire value chain including E-Business and Web Commerce,
Customer Relationship Management, Enterprise Resource Planning, Supply Chain
Management, and Corporate Knowledge Management. Deployed at more than 13,000
customer sites worldwide, Baan Company solutions enable organizations to drive
strategic business growth, improve business processes, reduce operating
complexity, and increase corporate flexibility.
Baan Company has dual headquarters in Barneveld, The Netherlands and Herndon,
Virginia, USA and can be found on the World Wide Web at www.baan.com.
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Statements in this press release using the words "believes," "expects,"
"anticipates," and the like are forward-looking statements within the meaning of
the Securities Exchange Act of 1934, as amended, and as such are subject to a
number of risks and uncertainties that could significantly affect outcomes.
Actual outcomes, therefore, may differ materially from the expectations,
estimates, or assumptions expressed in or implied by any such statements.
Typical risks and uncertainties may be reviewed in the Baan Company's public
filings on file with the U.S. Securities and Exchange Commission (including its
most recent Form 20-F and 6-K). The foregoing disclaimer does not apply to
statements made in connection with the offer to purchase the outstanding common
shares of Baan Company by Invensys plc.
"Baan" is a registered trademark of Baan Company, and any trade, product, or
service name referenced in this release using the name "Baan" is a trademark
and/or property of Baan Company. All other company, product, and service names
may be trademarks of their respective owners.
For more information, please contact:
Baan Company Investor Relations:
Peter Kramer
Baan Company Press Room
+31 (0)342 428786
Email: [email protected]
Judith Ingleton-Beer
Phone: +44 (0)1780 721433
Email: [email protected]
George Thompson
Phone: +(202) 828-9708
Email: [email protected]
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