Allen Telecom Announces First Quarter 2001 Sales Increase of 22% and Earnings Increase of 50%

Apr 25, 2001, 01:00 ET from Allen Telecom Inc.

    BEACHWOOD, Ohio, April 25 /PRNewswire/ -- Allen Telecom Inc. (NYSE:   ALN)
 today reported earnings per common share from continuing operations of $.09
 for the first quarter ending March 31, 2001, a 50% increase as compared to
 $.06 per common share from continuing operations before restructuring charges,
 or $.02 per common share after restructuring charges, for the first quarter
 ended March 31, 2000.  Earnings, before goodwill amortization, for the first
 quarter 2001 were $.16 per common share.  Earnings per share amounts are basic
 and fully diluted.
     Sales for the first quarter of 2001 were $108.5 million as compared to
 $88.9 million in sales for the first quarter of 2000, a 22% improvement year
 over year.  The increase in sales was primarily the result of a 37% growth in
 sales for our Base Station Subsystems and Components product line.  Sales of
 Repeaters and In-Building Coverage products increased 17%.  Sales of our two
 other product lines, Base Station and Mobile Antennas and Wireless Engineering
 and Consulting Services, were flat.  Our backlog grew during this quarter from
 $111 million to $134 million.  Total backlog at March 31, 2001 was up 34% over
 the first quarter of last year.
     Robert G. Paul, President and Chief Executive Officer of Allen Telecom,
 stated:  "The 22% sales growth in our first quarter is in line with our
 earlier guidance and represents an exceptional performance in today's volatile
 operating environment.  Despite a record backlog, our current expectation is
 that second quarter sales will increase 10-15% over the prior year, which
 would result in second quarter sales and earnings lower than this year's first
 quarter results, but still profitable.  The projected growth in our business
 for the first half of 2001 was expected to be most dramatic in our base
 station component business, particularly from our Italian plant, and for most
 of the first quarter we did experience dramatic growth in this business.  From
 the middle of last year through January 2001, we increased capacity to
 accommodate our OEM customers' projections for more 2G product and the new
 products necessary for a rapid rollout of 2.5G and 3G networks.  From the peak
 levels this past January, our product releases from the OEM's dropped sizably
 in each of February, March and April.
     "We are currently not expecting any appreciable increase in May and June.
 Because of the lead times on material and our significant use of outside
 contractors, an important element of increasing our capacity is to increase
 the capacity of our subcontractors and to increase our in-process and raw
 material inventories.  The largest portion of this quarter's increase in
 Allen's inventories was in this business.  We have initiated a plan to reduce
 capacity levels and our inventory to more normal levels through head count
 reductions, termination of subcontractor personnel and lower material
 procurement.  However, the lower than forecasted sales levels we are currently
 seeing in this business will result in some period of time to achieve our
 targeted inventory levels.
     "Last year, when we forecasted a 25% - 45% sales growth for 2001, we were
 anticipating that a significant portion of this expected growth in the year
 2001 would result from the deployment of 3G networks, mostly in Europe.  Our
 first quarter actual results did include shipments of 3G product at planned
 levels.  However, we do not currently anticipate the rapid increase in 3G
 sales through the rest of the year that we had been expecting.  For the most
 part, the 3G product we have been shipping is not going into carrier
 deployment, but is instead being used for large scale OEM testing.  There
 appears to be more emphasis by the carriers on using 2.5G technology as an
 interim step in providing improved data applications.  In the short term, this
 is delaying the deployment of 3G.  However, we believe that 3G networks in
 Europe and around the world will be installed and Allen has the technology and
 crucial products today to build those systems.
     "Although negotiations and discussions continue with a number of carriers,
 we have not yet received any orders for E 911 geolocation equipment.  It is
 our understanding that carriers are receiving many requests from PSAP's (the
 local police/fire answering points for 911 calls) to begin providing the E 911
 service.  Under the FCC regulations, these requests by the PSAP's start the
 clock running on when carriers are required to supply that service.  In the
 network-based solution, such as ours, 50% of the network is required to be in
 operation by October 1, 2001 or six months after receiving a valid PSAP
 request.  These PSAP requests appear to be having an impact on some of the
 smaller and midsize carriers with whom we previously had not had serious
 discussions.  The single most important element in our judgement on the timing
 of the rollout of E 911 will be the FCC's position.  A number of carriers have
 requested delays, and a number of other carriers have selected solutions
 which, in our judgement, will not meet the FCC's requirements in terms of
 timely implementation and/or accuracy.  The question is, will the FCC enforce
 the October 1, 2001 deadline?
     "Despite the lack of near-term visibility, the future for global wireless
 communications remains exceptionally strong.  Allen Telecom's strategic focus
 on cost containment, superior technology and improving relationships with new
 and existing customers, together with the strong underlying fundamentals in
 the wireless industry, will continue to provide Allen with significant growth
 opportunities in the future.  For the year 2001, we believe Allen's sales will
 grow approximately 15% with full year profit growth exceeding the rate of
 sales growth.
     "We continue to make the investments necessary to ensure the growth of our
 businesses for the long-term and to introduce new products and technology.
 Our FOREM division recently opened a modern 100,000 square foot plant in
 Shenzhen, China to support the local market place and our OEM customers.
 FOREM and our Telia division also successfully completed the initial testing
 of their WGSM multi-carrier power amplifier.  MIKOM, the largest designer and
 manufacturer of repeaters, recently introduced a medium power UMTS RF repeater
 for 3G applications.  This repeater offers adjustable RF bandwidth from 1 UMTS
 channel to 3 UMTS channels.
     "Decibel Products' antenna development strategy has yielded a number of
 new high performance base station antennas for fixed wireless, broadband,
 polarization diversity and dual band antenna applications.  Our Grayson
 Wireless division introduced Invex3G, a next generation wireless measurement
 tool for air interface measurement.  Invex3G not only measures quality of
 service factors such as failed originations, dropped calls and poor call
 quality, it also has the functional capacity needed to simultaneously test
 voice and data on 2G and 3G networks.  Comsearch, our engineering and
 consulting division, introduced several new products including an online
 interactive Federal Communications Commission application filing system and
 DataZone(TM), which provides telecommunications professionals with market
 intelligence reports, spectrum usage studies, technical and GIS data directly
 from Comsearch's extensive data sources.  Antenna Specialists introduced a new
 reduced footprint dual-band 'On-Glass' cellular/PCS antenna for all vehicular
 applications; this antenna uses a unique patented whip design to achieve in-
 phase signal transmission and reception.
     "Allen Telecom and Smith-Woolley Telecoms in Cambridge, England have
 announced that they will allow their letter of intent signed on January 23,
 2001 to lapse on the expiration date, April 30, 2001.  The parties continue to
 value the benefits of integrating the Smith-Woolley Telecoms services in site
 acquisition, design, construction and management of cell sites with the
 Comsearch services in RF planning, microwave frequency coordination and
 radiation hazard management.  However, the recent volatility in the stock
 market and Allen Telecom's stock price resulted in an inability to finalize
 Allen Telecom's acquisition on terms acceptable to both parties.  Comsearch
 and Smith-Woolley Telecoms will continue to investigate opportunities to work
 together in the future."
     Allen Telecom Inc. ( http://www.allentele.com ) is a leading supplier of
 wireless equipment to the global telecommunications infrastructure market.
 FOREM supplies sophisticated filters, duplexers, combiners, amplifiers and
 microwave radios to an array of OEM customers.  MIKOM focuses on providing
 repeaters, in-building systems and other products that enhance both the
 coverage and the capacity of a wireless system.  Tekmar Sistemi provides
 integrated low power fiber optic and cable distributed antenna systems for
 indoor coverage systems.  Decibel Products and Antenna Specialists manufacture
 land based and mobile antennas in frequency bands that cover all of the
 traditional wireless networks.  Grayson Wireless supplies measurement and
 signal processing systems for testing the performance of a wireless network,
 network-based wireless caller geolocation systems for E 911 and value added
 services.  Comsearch offers engineering and consulting services for wireless
 operators.
     Statements included in this press release, which are not historical in
 nature, are forward-looking statements made pursuant to the safe harbor
 provisions of the Private Securities Litigation Reform Act of 1995.  Forward-
 looking statements regarding the Company's future performance and financial
 results are subject to a number of risks and uncertainties that could cause
 actual results to differ materially from those set forth in the forward-
 looking statements.  Factors that could cause the Company's actual results to
 materially differ from forward-looking statements made by the Company,
 include, among others, the cost, success and timetable for new product
 development, including specifically products for 3G, E 911 and power
 amplification, the health and economic stability of the world and national
 markets, the availability of capital and financing to the wireless carriers,
 the uncertain timing and level of purchases of both current products and those
 under development for current and prospective customers of the Company's
 products and services, the impact of competitive products and pricing in the
 Company's markets, the future utilization of the Company's tax loss carry
 forwards, the impact of U.S. and foreign government legislative/regulatory
 actions, including, for example, the scope and timing of E 911 geolocation
 requirements in the U.S. markets and spectrum availability and licensing for
 new wireless applications, and the cost and availability of financing for
 customers of the Company's geolocation projects.  Allen Telecom Inc.'s Annual
 Report on Form 10-K and Quarterly Reports on Form 10-Q contain additional
 details concerning these factors.
 
 
                               Allen Telecom Inc.
                     Consolidated Statements of Operations
                 (Amounts in Thousands, Except Per Share Data)
                                  (Unaudited)
 
 
                                                      Three Months Ended
                                                            March 31,
                                                       2001           2000
 
     SALES                                          $ 108,543        $88,859
 
     Cost of sales (Note 1)                           (78,639)       (63,477)
 
     Gross profit                                      29,904         25,382
 
     Operating Expenses:
       Selling, general and administrative
         expenses (Note 1)                            (14,365)       (14,343)
 
       Research and development and product
         engineering costs                             (6,900)        (6,186)
 
       Amortization of goodwill                        (1,980)        (1,918)
 
     Operating income                                   6,659          2,935
 
     Net interest expense                              (2,595)        (1,961)
 
     Income before taxes and minority interests         4,064            974
 
     Provision for income taxes                        (1,585)          (391)
 
     Income before minority interests                   2,479            583
 
     Minority interests                                   (42)           (13)
 
     INCOME FROM CONTINUING OPERATIONS                  2,437            570
 
     Discontinued emissions testing operations:
       gain on sale (net of income taxes) (Note 2)          -          1,300
 
     NET INCOME                                        $2,437         $1,870
 
 
     EARNINGS PER COMMON SHARE,
       Basic and Diluted:
       Continuing operations                             $.09           $.02
       Discontinued operations - gain on sale               -            .05
       Net income                                        $.09           $.07
 
     Weighted average common shares outstanding:
       Basic                                           27,930         27,780
       Diluted                                         28,350         28,120
 
     Note 1:  In the fourth quarter of 1999, the Company announced the
              restructuring of certain operations.  In the first quarter of
              2000, the Company incurred incremental pretax charges of
              approximately $1.7 million, or $.04 per basic and diluted share
              after related income tax effect, in connection with such
              restructuring.  These charges were not accruable at December 31,
              1999.  Of this pretax charge, $1.0 million was recorded in cost
              of sales and $.7 million in selling, general and administrative
              expenses.
 
     Note 2:  The gain on sale from discontinued operations in the first
              quarter of 2000 represents income from previously contingent
              purchase price earned on the sale of the Company's former
              automotive emissions testing business sold in the first quarter
              of 1999.  This gain is net of related income taxes in the amount
              of $.7 million.
 
     Note 3:  Segment information for the Company is as follows:
 
                                                     Three Months Ended
                                                         March 31,
                                                       2001      2000
     Sales to external customers:
       Wireless communications equipment:
         Base station subsystems and components       $59,423   $43,274
         Repeater and in-building coverage products    22,820    19,467
         Base station and mobile antennas              20,520    20,118
           Total wireless communications equipment    102,763    82,859
       Wireless engineering and consulting services     5,780     6,000
           Total sales                               $108,543   $88,859
     Results of operations:
       Wireless communications equipment              $10,262    $5,680
       Wireless engineering and consulting services       158       885
           Total                                       10,420     6,565
     Goodwill amortization                             (1,980)   (1,918)
     General corporate expenses                        (1,781)   (1,712)
     Operating income                                  $6,659    $2,935
 
 
 
                               Allen Telecom Inc.
                     Consolidated Condensed Balance Sheets
                             (Amounts in Thousands)
 
                                                     March 31,    December 31,
                                                       2001           2000
                                                    (Unaudited)
     ASSETS
 
     Cash and equivalents                             $18,509        $10,539
     Receivables                                       97,863         93,815
     Inventories                                      142,667        101,640
     Other current assets                              18,017         11,131
       Total current assets                           277,056        217,125
 
     Fixed assets                                      42,501         41,279
     Goodwill                                         126,817        129,190
     Other                                             81,165         85,428
       TOTAL ASSETS                                  $527,539       $473,022
 
     LIABILITIES
 
     Notes payable and current maturities
       of long-term obligations                       $13,256         $3,796
     Accounts payable                                  78,686         45,181
     Accrued expenses                                  23,687         26,305
     Income taxes                                      16,284          9,212
       Total current liabilities                      131,913         84,494
 
     Long-term debt                                   136,779        134,639
     Other liabilities                                 14,893         18,908
       TOTAL LIABILITIES                              283,585        238,041
 
     STOCKHOLDERS' EQUITY                             243,954        234,981
     TOTAL LIABILITIES AND
       STOCKHOLDERS' EQUITY                          $527,539       $473,022
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X35257592
 
 

SOURCE Allen Telecom Inc.
    BEACHWOOD, Ohio, April 25 /PRNewswire/ -- Allen Telecom Inc. (NYSE:   ALN)
 today reported earnings per common share from continuing operations of $.09
 for the first quarter ending March 31, 2001, a 50% increase as compared to
 $.06 per common share from continuing operations before restructuring charges,
 or $.02 per common share after restructuring charges, for the first quarter
 ended March 31, 2000.  Earnings, before goodwill amortization, for the first
 quarter 2001 were $.16 per common share.  Earnings per share amounts are basic
 and fully diluted.
     Sales for the first quarter of 2001 were $108.5 million as compared to
 $88.9 million in sales for the first quarter of 2000, a 22% improvement year
 over year.  The increase in sales was primarily the result of a 37% growth in
 sales for our Base Station Subsystems and Components product line.  Sales of
 Repeaters and In-Building Coverage products increased 17%.  Sales of our two
 other product lines, Base Station and Mobile Antennas and Wireless Engineering
 and Consulting Services, were flat.  Our backlog grew during this quarter from
 $111 million to $134 million.  Total backlog at March 31, 2001 was up 34% over
 the first quarter of last year.
     Robert G. Paul, President and Chief Executive Officer of Allen Telecom,
 stated:  "The 22% sales growth in our first quarter is in line with our
 earlier guidance and represents an exceptional performance in today's volatile
 operating environment.  Despite a record backlog, our current expectation is
 that second quarter sales will increase 10-15% over the prior year, which
 would result in second quarter sales and earnings lower than this year's first
 quarter results, but still profitable.  The projected growth in our business
 for the first half of 2001 was expected to be most dramatic in our base
 station component business, particularly from our Italian plant, and for most
 of the first quarter we did experience dramatic growth in this business.  From
 the middle of last year through January 2001, we increased capacity to
 accommodate our OEM customers' projections for more 2G product and the new
 products necessary for a rapid rollout of 2.5G and 3G networks.  From the peak
 levels this past January, our product releases from the OEM's dropped sizably
 in each of February, March and April.
     "We are currently not expecting any appreciable increase in May and June.
 Because of the lead times on material and our significant use of outside
 contractors, an important element of increasing our capacity is to increase
 the capacity of our subcontractors and to increase our in-process and raw
 material inventories.  The largest portion of this quarter's increase in
 Allen's inventories was in this business.  We have initiated a plan to reduce
 capacity levels and our inventory to more normal levels through head count
 reductions, termination of subcontractor personnel and lower material
 procurement.  However, the lower than forecasted sales levels we are currently
 seeing in this business will result in some period of time to achieve our
 targeted inventory levels.
     "Last year, when we forecasted a 25% - 45% sales growth for 2001, we were
 anticipating that a significant portion of this expected growth in the year
 2001 would result from the deployment of 3G networks, mostly in Europe.  Our
 first quarter actual results did include shipments of 3G product at planned
 levels.  However, we do not currently anticipate the rapid increase in 3G
 sales through the rest of the year that we had been expecting.  For the most
 part, the 3G product we have been shipping is not going into carrier
 deployment, but is instead being used for large scale OEM testing.  There
 appears to be more emphasis by the carriers on using 2.5G technology as an
 interim step in providing improved data applications.  In the short term, this
 is delaying the deployment of 3G.  However, we believe that 3G networks in
 Europe and around the world will be installed and Allen has the technology and
 crucial products today to build those systems.
     "Although negotiations and discussions continue with a number of carriers,
 we have not yet received any orders for E 911 geolocation equipment.  It is
 our understanding that carriers are receiving many requests from PSAP's (the
 local police/fire answering points for 911 calls) to begin providing the E 911
 service.  Under the FCC regulations, these requests by the PSAP's start the
 clock running on when carriers are required to supply that service.  In the
 network-based solution, such as ours, 50% of the network is required to be in
 operation by October 1, 2001 or six months after receiving a valid PSAP
 request.  These PSAP requests appear to be having an impact on some of the
 smaller and midsize carriers with whom we previously had not had serious
 discussions.  The single most important element in our judgement on the timing
 of the rollout of E 911 will be the FCC's position.  A number of carriers have
 requested delays, and a number of other carriers have selected solutions
 which, in our judgement, will not meet the FCC's requirements in terms of
 timely implementation and/or accuracy.  The question is, will the FCC enforce
 the October 1, 2001 deadline?
     "Despite the lack of near-term visibility, the future for global wireless
 communications remains exceptionally strong.  Allen Telecom's strategic focus
 on cost containment, superior technology and improving relationships with new
 and existing customers, together with the strong underlying fundamentals in
 the wireless industry, will continue to provide Allen with significant growth
 opportunities in the future.  For the year 2001, we believe Allen's sales will
 grow approximately 15% with full year profit growth exceeding the rate of
 sales growth.
     "We continue to make the investments necessary to ensure the growth of our
 businesses for the long-term and to introduce new products and technology.
 Our FOREM division recently opened a modern 100,000 square foot plant in
 Shenzhen, China to support the local market place and our OEM customers.
 FOREM and our Telia division also successfully completed the initial testing
 of their WGSM multi-carrier power amplifier.  MIKOM, the largest designer and
 manufacturer of repeaters, recently introduced a medium power UMTS RF repeater
 for 3G applications.  This repeater offers adjustable RF bandwidth from 1 UMTS
 channel to 3 UMTS channels.
     "Decibel Products' antenna development strategy has yielded a number of
 new high performance base station antennas for fixed wireless, broadband,
 polarization diversity and dual band antenna applications.  Our Grayson
 Wireless division introduced Invex3G, a next generation wireless measurement
 tool for air interface measurement.  Invex3G not only measures quality of
 service factors such as failed originations, dropped calls and poor call
 quality, it also has the functional capacity needed to simultaneously test
 voice and data on 2G and 3G networks.  Comsearch, our engineering and
 consulting division, introduced several new products including an online
 interactive Federal Communications Commission application filing system and
 DataZone(TM), which provides telecommunications professionals with market
 intelligence reports, spectrum usage studies, technical and GIS data directly
 from Comsearch's extensive data sources.  Antenna Specialists introduced a new
 reduced footprint dual-band 'On-Glass' cellular/PCS antenna for all vehicular
 applications; this antenna uses a unique patented whip design to achieve in-
 phase signal transmission and reception.
     "Allen Telecom and Smith-Woolley Telecoms in Cambridge, England have
 announced that they will allow their letter of intent signed on January 23,
 2001 to lapse on the expiration date, April 30, 2001.  The parties continue to
 value the benefits of integrating the Smith-Woolley Telecoms services in site
 acquisition, design, construction and management of cell sites with the
 Comsearch services in RF planning, microwave frequency coordination and
 radiation hazard management.  However, the recent volatility in the stock
 market and Allen Telecom's stock price resulted in an inability to finalize
 Allen Telecom's acquisition on terms acceptable to both parties.  Comsearch
 and Smith-Woolley Telecoms will continue to investigate opportunities to work
 together in the future."
     Allen Telecom Inc. ( http://www.allentele.com ) is a leading supplier of
 wireless equipment to the global telecommunications infrastructure market.
 FOREM supplies sophisticated filters, duplexers, combiners, amplifiers and
 microwave radios to an array of OEM customers.  MIKOM focuses on providing
 repeaters, in-building systems and other products that enhance both the
 coverage and the capacity of a wireless system.  Tekmar Sistemi provides
 integrated low power fiber optic and cable distributed antenna systems for
 indoor coverage systems.  Decibel Products and Antenna Specialists manufacture
 land based and mobile antennas in frequency bands that cover all of the
 traditional wireless networks.  Grayson Wireless supplies measurement and
 signal processing systems for testing the performance of a wireless network,
 network-based wireless caller geolocation systems for E 911 and value added
 services.  Comsearch offers engineering and consulting services for wireless
 operators.
     Statements included in this press release, which are not historical in
 nature, are forward-looking statements made pursuant to the safe harbor
 provisions of the Private Securities Litigation Reform Act of 1995.  Forward-
 looking statements regarding the Company's future performance and financial
 results are subject to a number of risks and uncertainties that could cause
 actual results to differ materially from those set forth in the forward-
 looking statements.  Factors that could cause the Company's actual results to
 materially differ from forward-looking statements made by the Company,
 include, among others, the cost, success and timetable for new product
 development, including specifically products for 3G, E 911 and power
 amplification, the health and economic stability of the world and national
 markets, the availability of capital and financing to the wireless carriers,
 the uncertain timing and level of purchases of both current products and those
 under development for current and prospective customers of the Company's
 products and services, the impact of competitive products and pricing in the
 Company's markets, the future utilization of the Company's tax loss carry
 forwards, the impact of U.S. and foreign government legislative/regulatory
 actions, including, for example, the scope and timing of E 911 geolocation
 requirements in the U.S. markets and spectrum availability and licensing for
 new wireless applications, and the cost and availability of financing for
 customers of the Company's geolocation projects.  Allen Telecom Inc.'s Annual
 Report on Form 10-K and Quarterly Reports on Form 10-Q contain additional
 details concerning these factors.
 
 
                               Allen Telecom Inc.
                     Consolidated Statements of Operations
                 (Amounts in Thousands, Except Per Share Data)
                                  (Unaudited)
 
 
                                                      Three Months Ended
                                                            March 31,
                                                       2001           2000
 
     SALES                                          $ 108,543        $88,859
 
     Cost of sales (Note 1)                           (78,639)       (63,477)
 
     Gross profit                                      29,904         25,382
 
     Operating Expenses:
       Selling, general and administrative
         expenses (Note 1)                            (14,365)       (14,343)
 
       Research and development and product
         engineering costs                             (6,900)        (6,186)
 
       Amortization of goodwill                        (1,980)        (1,918)
 
     Operating income                                   6,659          2,935
 
     Net interest expense                              (2,595)        (1,961)
 
     Income before taxes and minority interests         4,064            974
 
     Provision for income taxes                        (1,585)          (391)
 
     Income before minority interests                   2,479            583
 
     Minority interests                                   (42)           (13)
 
     INCOME FROM CONTINUING OPERATIONS                  2,437            570
 
     Discontinued emissions testing operations:
       gain on sale (net of income taxes) (Note 2)          -          1,300
 
     NET INCOME                                        $2,437         $1,870
 
 
     EARNINGS PER COMMON SHARE,
       Basic and Diluted:
       Continuing operations                             $.09           $.02
       Discontinued operations - gain on sale               -            .05
       Net income                                        $.09           $.07
 
     Weighted average common shares outstanding:
       Basic                                           27,930         27,780
       Diluted                                         28,350         28,120
 
     Note 1:  In the fourth quarter of 1999, the Company announced the
              restructuring of certain operations.  In the first quarter of
              2000, the Company incurred incremental pretax charges of
              approximately $1.7 million, or $.04 per basic and diluted share
              after related income tax effect, in connection with such
              restructuring.  These charges were not accruable at December 31,
              1999.  Of this pretax charge, $1.0 million was recorded in cost
              of sales and $.7 million in selling, general and administrative
              expenses.
 
     Note 2:  The gain on sale from discontinued operations in the first
              quarter of 2000 represents income from previously contingent
              purchase price earned on the sale of the Company's former
              automotive emissions testing business sold in the first quarter
              of 1999.  This gain is net of related income taxes in the amount
              of $.7 million.
 
     Note 3:  Segment information for the Company is as follows:
 
                                                     Three Months Ended
                                                         March 31,
                                                       2001      2000
     Sales to external customers:
       Wireless communications equipment:
         Base station subsystems and components       $59,423   $43,274
         Repeater and in-building coverage products    22,820    19,467
         Base station and mobile antennas              20,520    20,118
           Total wireless communications equipment    102,763    82,859
       Wireless engineering and consulting services     5,780     6,000
           Total sales                               $108,543   $88,859
     Results of operations:
       Wireless communications equipment              $10,262    $5,680
       Wireless engineering and consulting services       158       885
           Total                                       10,420     6,565
     Goodwill amortization                             (1,980)   (1,918)
     General corporate expenses                        (1,781)   (1,712)
     Operating income                                  $6,659    $2,935
 
 
 
                               Allen Telecom Inc.
                     Consolidated Condensed Balance Sheets
                             (Amounts in Thousands)
 
                                                     March 31,    December 31,
                                                       2001           2000
                                                    (Unaudited)
     ASSETS
 
     Cash and equivalents                             $18,509        $10,539
     Receivables                                       97,863         93,815
     Inventories                                      142,667        101,640
     Other current assets                              18,017         11,131
       Total current assets                           277,056        217,125
 
     Fixed assets                                      42,501         41,279
     Goodwill                                         126,817        129,190
     Other                                             81,165         85,428
       TOTAL ASSETS                                  $527,539       $473,022
 
     LIABILITIES
 
     Notes payable and current maturities
       of long-term obligations                       $13,256         $3,796
     Accounts payable                                  78,686         45,181
     Accrued expenses                                  23,687         26,305
     Income taxes                                      16,284          9,212
       Total current liabilities                      131,913         84,494
 
     Long-term debt                                   136,779        134,639
     Other liabilities                                 14,893         18,908
       TOTAL LIABILITIES                              283,585        238,041
 
     STOCKHOLDERS' EQUITY                             243,954        234,981
     TOTAL LIABILITIES AND
       STOCKHOLDERS' EQUITY                          $527,539       $473,022
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X35257592
 
 SOURCE  Allen Telecom Inc.