March 5, 1997 |
Bay Networks Inc., former Chief Executive Andrew Ludwick and other executives have been named in a shareholder lawsuit charging them with making misleading statements about the company before a disappointing earnings report. The suit was filed in U.S. District Court in San Francisco. Bay Networks shares fell $3.375, or 14%, to $20.875 on Oct. 15 after the company posted fiscal first-quarter earnings of 3 cents a share. Analysts had been expecting the Santa Clara-based company to earn 29 cents.
January 15, 1997 |
Bay Networks Inc. said Tuesday that its fiscal second-quarter profit from operations fell 74%, the fourth straight quarter the computer networking company's results have fallen below Wall Street forecasts. The Santa Clara-based company said profit from operations for the quarter ended Dec. 31 fell to $19.2 million, or 10 cents a share, from $72.9 million, or 38 cents, from the year-earlier period. Pretax charges totaling $207.2 million resulted in a bottom-line loss of $172.
January 9, 1997 |
Bay Networks Inc. named David Rynne, Santa Clara-based Tandem Computers Inc.'s chief financial officer, its new CFO. The hiring is the third senior management change since October at Bay Networks, which is revamping operations to keep pace with its rivals. The Santa Clara maker of computer-networking equipment said Rynne will replace William Ruehle by the end of the month. Ruehle said last month that he would resign and hoped to join a smaller company.
December 19, 1996 |
Santa Clara-based Bay Networks Inc., keeping up with rivals in the computer networking business, said it paid $99 million in cash and stock to buy closely held NetICs Inc. The acquisition gives Bay Networks a line of devices called Fast Ethernet switches that are becoming increasingly popular with computer technicians for speeding up the flow of information through corporate computer networks. Bay Networks' rivals Cisco Systems Inc. and 3Com Corp.
December 10, 1996 |
Bay Networks Inc.'s new chairman said he expects the No. 3 networking company's earnings to be "flattish" until it straightens out problems involving employees and customers. David House, the former Intel Corp. executive who was hired at the Santa Clara-based company in October, said he's conducting an extensive evaluation inside and outside Bay. Bay had profit from operations of 25 cents in its fiscal first quarter.
December 4, 1996 |
Bay Networks Inc. said its chief financial officer, William Ruehle, will resign, the second management change since the computer networking company named an Intel Corp. executive as its chairman and president. The Santa Clara-based company said Ruehle, 54, will step down as CFO and executive vice president as soon as a successor is found. Ruehle said he is leaving in hopes of joining a smaller company. Bay named Intel veteran David House its chairman, president and chief executive on Oct. 30.
December 3, 1996 |
Bay Networks Inc. said it will cut the list price of its LANcity cable TV computer modems by 17% to help boost growth of the high-speed Internet access technology. The third-largest maker of computer networking equipment said the list price of the LANcity Personal cable modem will drop to $495 from $595 on Jan. 1. Prices for large orders will fall as low as $395.
October 31, 1996 |
Bay Networks Inc. has picked veteran Intel Corp. executive David L. House, 53, as its chairman, president and chief executive. The news boosted Bay's stock $2.125 to $20.625 on the New York Stock Exchange. The struggling networking company had been seeking a CEO for most of the year. House succeeds Andrew K. Ludwick, who resigned Oct. 14 after promising for months to step down. Paul J. Severino, Bay chairman, had been acting chief executive, and he will remain a director.
September 7, 1995 |
Bay Networks, a company that links computer networks, said Wednesday that it is buying Xylogics Inc., so it can offer remote workers the means to stay linked to their office systems. The planned buyout is in the form of a stock swap valued at about $330 million. News of the deal sent Xylogics stock up as much as 37% to $50.75, before closing up $11.875 at $48.875 on Nasdaq. Bay Networks fell $1.375 to $48.875, also on Nasdaq. Xylogics, based in Burlington, Mass.