Methode Core Business on Track, Fourth Quarter Special Charge

Apr 20, 2001, 01:00 ET from Methode Electronics, Inc.

    CHICAGO, April 20 /PRNewswire Interactive News Release/ -- Methode
 Electronics, Inc. (Nasdaq: METHA) announced today that it is adjusting its
 anticipated fiscal fourth quarter results.  Stratos Lightwave, Inc.
 (Nasdaq: STLW), a business unit that Methode is distributing to its
 shareholders on April 28, 2001, announced yesterday that it expects its fourth
 quarter net sales to be in the range of $25-$30 million and will take a
 special charge of approximately $3.1 million to reserve for obsolete and
 excess inventory.  While this unit is reported as a discontinued operation
 through April 28, Stratos' lowered expectations will result in Methode
 lowering its previous guidance to the financial community on consolidated
 results.
     Separate from Stratos' announcement, Methode will take a special charge,
 net of taxes, of approximately $11-$13 million in the fourth quarter of fiscal
 year 2001.  Donald W. Duda, President of Methode said, "This special charge is
 based on a reevaluation of prior investment in certain technologies which have
 not yet proven to be commercially feasible; a restructuring in response to
 changes in Methode's business environment; and a write-off of excess
 inventories."
     Mr. Duda further stated, "Excluding the charge for restructuring and the
 results of Stratos, Methode's core businesses are on target to meet analyst
 earnings estimate for fiscal year 2001.  Revenues of our core business are
 expected to be approximately $80-$90 million for the fourth quarter resulting
 in full-year revenue expectation of $345-$355 million.  The Company will offer
 guidance on future results when it releases fourth quarter and fiscal year
 2001 results on June 7, 2001.
 
     About Methode Electronics
     Methode Electronics, Inc., with 3,400 employees in 19 plants worldwide
 (excluding Stratos Lightwave), manufactures component devices for Original
 Equipment Manufacturers (OEMs) of information processing and networking
 equipment, voice and data communications systems, consumer electronics,
 automobiles, aerospace vehicles and industrial equipment.  Products employ
 electrical, electronic and fiber optic technologies in communication data
 links, interconnections and controls.  For additional information on Methode
 Electronics, Inc. please visit its website at http://www.methode.com .
 
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                http://tbutton.prnewswire.com/prn/11690X09263812
 
 

SOURCE Methode Electronics, Inc.
    CHICAGO, April 20 /PRNewswire Interactive News Release/ -- Methode
 Electronics, Inc. (Nasdaq: METHA) announced today that it is adjusting its
 anticipated fiscal fourth quarter results.  Stratos Lightwave, Inc.
 (Nasdaq: STLW), a business unit that Methode is distributing to its
 shareholders on April 28, 2001, announced yesterday that it expects its fourth
 quarter net sales to be in the range of $25-$30 million and will take a
 special charge of approximately $3.1 million to reserve for obsolete and
 excess inventory.  While this unit is reported as a discontinued operation
 through April 28, Stratos' lowered expectations will result in Methode
 lowering its previous guidance to the financial community on consolidated
 results.
     Separate from Stratos' announcement, Methode will take a special charge,
 net of taxes, of approximately $11-$13 million in the fourth quarter of fiscal
 year 2001.  Donald W. Duda, President of Methode said, "This special charge is
 based on a reevaluation of prior investment in certain technologies which have
 not yet proven to be commercially feasible; a restructuring in response to
 changes in Methode's business environment; and a write-off of excess
 inventories."
     Mr. Duda further stated, "Excluding the charge for restructuring and the
 results of Stratos, Methode's core businesses are on target to meet analyst
 earnings estimate for fiscal year 2001.  Revenues of our core business are
 expected to be approximately $80-$90 million for the fourth quarter resulting
 in full-year revenue expectation of $345-$355 million.  The Company will offer
 guidance on future results when it releases fourth quarter and fiscal year
 2001 results on June 7, 2001.
 
     About Methode Electronics
     Methode Electronics, Inc., with 3,400 employees in 19 plants worldwide
 (excluding Stratos Lightwave), manufactures component devices for Original
 Equipment Manufacturers (OEMs) of information processing and networking
 equipment, voice and data communications systems, consumer electronics,
 automobiles, aerospace vehicles and industrial equipment.  Products employ
 electrical, electronic and fiber optic technologies in communication data
 links, interconnections and controls.  For additional information on Methode
 Electronics, Inc. please visit its website at http://www.methode.com .
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X09263812
 
 SOURCE  Methode Electronics, Inc.