Accenture Reports Fourth-Quarter and Full-Year Fiscal 2009 Results

Accenture Reports Fourth-Quarter and Full-Year Fiscal 2009 Results
 

-- Revenues are $5.15 billion for fourth quarter and $21.58 billion for full year --
-- Company delivers record annual free cash flow of $2.92 billion --
-- Annual new bookings are $23.90 billion --
-- Company increases annual cash dividend by 50%, to $0.75 per share --

NEW YORK; Oct. 1, 2009 — Accenture (NYSE: ACN) reported financial results for the fourth quarter and full 2009 fiscal year, ended Aug. 31, including fourth-quarter net revenues in line with the company’s previously guided range. As previously announced on Aug. 20, the company recorded a restructuring charge in the fourth quarter, of $253 million, which reduced earnings per share, operating income and operating margin for both the quarter and full year. The restructuring charge was related to the realignment of the company’s workforce, primarily at the senior-executive level, and to global real-estate consolidation.

For the fourth quarter, revenues before reimbursements (“net revenues”) were $5.15 billion, a decrease of 14 percent in U.S. dollars and 7 percent in local currency. Diluted earnings per share for the quarter were $0.39, compared with $0.67 in the same period last year, and reflect a negative $0.24 impact from the restructuring charge. New bookings for the quarter were $5.54 billion. Operating income for the quarter was $420 million, and operating margin was 8.2 percent. Absent the restructuring charge, operating income for the quarter was $672 million and operating margin was 13.1 percent.

For the full fiscal year, net revenues were $21.58 billion, a decrease of 8 percent in U.S. dollars and flat in local currency, in line with the company’s previously guided range. Diluted earnings per share for the full year were $2.44, compared with $2.65 in fiscal 2008, and reflect a negative $0.24 impact from the restructuring charge. New bookings for the full year were $23.90 billion. Operating income for the full year was $2.64 billion, and operating margin was 12.3 percent. Absent the restructuring charge, annual operating income was $2.90 billion and annual operating margin was 13.4 percent.

Accenture also announced several actions as part of its long-term commitment to return cash to shareholders. Its Board of Directors has declared an annual cash dividend of $0.75 per share, an increase of $0.25 per share, or 50 percent, over its previous annual dividend, and has approved moving from an annual to a semi-annual schedule for the payment of dividends starting in the third quarter of fiscal 2010. The Board has also approved $4.0 billion in additional share repurchase authority.

William D. Green, Accenture’s chairman & CEO, said, “Our fourth-quarter and full-year results clearly show that we continued managing our business well in challenging economic conditions. We delivered on revenue, we generated exceptional cash flow, we are pleased with our operating-margin expansion for the year, and our balance sheet remains rock-solid. We continue to return cash to shareholders through a 50 percent increase in our annual cash dividend, declared today, and through the repurchase of $1.9 billion of our shares during the year.

“We remain focused on operational discipline and superior execution to ensure that we continue to deliver value to our clients and shareholders. Importantly, this has allowed us to take proactive steps — including refreshing our core business and investing in new high-growth areas — that have positioned us very well for the upturn.”

Financial Review — Fourth Quarter Fiscal 2009
Net revenues for the fourth quarter of fiscal 2009 were $5.15 billion, compared with $6.00 billion for the fourth quarter of fiscal 2008, a decrease of 14 percent in U.S. dollars and 7 percent in local currency. Net revenues for the fourth quarter of fiscal 2009 reflect a foreign-exchange impact of negative 7 percent compared with the fourth quarter of fiscal 2008.

􀂃 Consulting net revenues were $2.91 billion, a decrease of 19 percent in U.S. dollars and 12 percent in local currency from the fourth quarter of fiscal 2008.
􀂃 Outsourcing net revenues were $2.23 billion, a decrease of 7 percent in U.S. dollars and an increase of 1 percent in local currency compared with the fourth quarter of fiscal 2008.

Diluted EPS for the fourth quarter were $0.39, compared with $0.67 in the fourth quarter of fiscal 2008, a decrease of $0.28. The restructuring charge had a negative $0.24 impact on EPS for the fourth quarter of fiscal 2009. Absent the restructuring charge, EPS for the fourth quarter of fiscal 2009 were $0.63, a decrease of $0.04 from the fourth quarter of fiscal 2008, broken down as:

􀂃 a $0.02 increase from a lower share count; and

􀂃 a $0.02 increase from a lower effective income tax rate compared with the rate in the fourth quarter of fiscal 2008;
offset by:

􀂃 a $0.01 decrease from lower revenue and operating income in local currency;

􀂃 a $0.02 decrease from lower interest income; and

􀂃 a $0.05 decrease from unfavorable foreign-exchange rates compared with the fourth quarter of fiscal 2008.

Operating income for the fourth quarter was $420 million, or 8.2 percent of net revenues, compared with $785 million, or 13.1 percent of net revenues, for the fourth quarter of fiscal 2008. Excluding the restructuring charge, operating income for the fourth quarter of fiscal 2009 was $672 million, or 13.1 percent of net revenues.

Gross margin (gross profit as a percentage of net revenues) was 32.3 percent, compared with 31.7 percent for the fourth quarter of fiscal 2008, an expansion of 60 basis points. The increase was driven primarily by improved outsourcing contract margins.
Selling, general and administrative (SG&A) expenses for the fourth quarter were $985 million, or 19.1 percent of net revenues, compared with $1.12 billion, or 18.6 percent of net revenues, for the fourth quarter of fiscal 2008. The increase in SG&A as a percentage of net revenues was primarily due to higher selling costs as a percentage of net revenues.

The company’s effective tax rate for the fourth quarter was 27.6 percent, compared with 31.8 percent for the fourth quarter of fiscal 2008. The lower rate compared with the fourth quarter of fiscal 2008 was primarily a result of final determinations of prior-year tax liabilities recorded in the fourth quarter of fiscal 2009.

Income before minority interest for the fourth quarter was $306 million, compared with $550 million for the same period of fiscal 2008, and reflects the $253 million impact of the restructuring charge.

Operating cash flow for the fourth quarter was $1.05 billion, and property and equipment additions were $75 million. Free cash flow, defined as operating cash flow net of property and equipment additions, was $971 million, an increase of $27 million over the fourth quarter of fiscal 2008. For the same period of fiscal 2008, operating cash flow was $1.03 billion, property and equipment additions were $87 million, and free cash flow was $944 million.

Days services outstanding, or DSOs, were 28 at Aug. 31, 2009, compared with 37 at Aug. 31, 2008.
Accenture’s total cash balance at Aug. 31, 2009 was $4.54 billion, compared with $3.60 billion at Aug. 31, 2008 and $4.00 billion at May 31, 2009.

Utilization for the fourth quarter of fiscal 2009 was 86 percent, compared with 84 percent in the fourth quarter the prior year. Attrition was 10 percent, compared with 15 percent in the same period of fiscal 2008.

New Bookings
New bookings for the fourth quarter were $5.54 billion. This reflects a negative 6 percent foreign-currency impact compared with the fourth quarter of fiscal 2008.

􀂃 Consulting new bookings were $2.87 billion, or 52 percent of fourth-quarter bookings.

􀂃 Outsourcing new bookings were $2.68 billion, or 48 percent of fourth-quarter bookings.

Net Revenues by Operating Group

Accenture’s business continues to be affected by global economic conditions. All of the company’s operating groups with the exception of Public Service experienced a decline in consulting revenues in local currency compared with the fourth quarter last year. The company’s Products, Public Service and Resources operating groups grew outsourcing revenues in local currency compared with the fourth quarter last year.

Net revenues by operating group for the fourth quarter were as follows:

􀂃 Communications & High Tech: $1,118 million, compared with $1,411 million for the fourth quarter of fiscal 2008, a decrease of 21 percent in U.S. dollars and 15 percent in local currency. Consulting revenues declined 26 percent in local currency and outsourcing revenues declined 2 percent in local currency.

􀂃 Financial Services: $1,017 million, compared with $1,249 million for the fourth quarter of fiscal 2008, a decrease of 19 percent in U.S. dollars and 10 percent in local currency. Consulting revenues declined 12 percent in local currency and outsourcing revenues declined 8 percent in local currency.

􀂃 Products: $1,286 million, compared with $1,546 million for the year-ago period, a decrease of 17 percent in U.S. dollars and 10 percent in local currency. Consulting revenues declined 22 percent in local currency and outsourcing revenues increased 9 percent in local currency.

􀂃 Public Service: $776 million, compared with $731 million for the year-ago period, an increase of 6 percent in U.S. dollars and 12 percent in local currency. Consulting revenues increased 19 percent in local currency and outsourcing revenues increased 2 percent in local currency.

􀂃 Resources: $943 million, compared with $1,051 million for the same period of fiscal 2008, a decrease of 10 percent in U.S. dollars and 2 percent in local currency. Consulting revenues declined 5 percent in local currency and outsourcing revenues increased 5 percent in local currency.

Net Revenues by Geographic Region
Net revenues by geographic region in the fourth quarter of fiscal 2009 were as follows:

􀂃 Americas: $2,264 million, compared with $2,556 million for the fourth quarter of fiscal 2008, a decrease of 11 percent in U.S. dollars and 9 percent in local currency.

􀂃 Europe, Middle East and Africa (EMEA): $2,274 million, compared with $2,840 million for the fourth quarter of fiscal 2008, a decrease of 20 percent in U.S. dollars and 8 percent in local currency.

􀂃 Asia Pacific: $608 million, compared with $603 million for the year-ago period, an increase of 1 percent in U.S. dollars and 4 percent in local currency.

Financial Review — Full Year Fiscal 2009

Net revenues for fiscal 2009 were $21.58 billion, compared with $23.39 billion for fiscal 2008, a decrease of 8 percent in U.S. dollars and flat in local currency. Net revenues for fiscal 2009 reflect a foreign-exchange impact of negative 8 percent compared with fiscal 2008.

􀂃 Consulting net revenues were $12.56 billion, a decrease of 11 percent in U.S. dollars and 4 percent in local currency from fiscal 2008.

􀂃 Outsourcing net revenues were $9.02 billion, a decrease of 3 percent in U.S. dollars and an increase of 6 percent in local currency compared with fiscal 2008.

Diluted EPS for the full fiscal year were $2.44, compared with $2.65 for fiscal 2008, a decrease of $0.21. The restructuring charge in the fourth quarter had a negative $0.24 impact on EPS for fiscal 2009. Absent the restructuring charge, EPS for fiscal 2009 were $2.68, an increase of $0.03 over fiscal 2008, broken down as:

􀂃 an $0.11 increase from higher operating income in local currency;

􀂃 an $0.11 increase from a lower share count; and

􀂃 a $0.06 increase from a lower effective income tax rate compared with the rate in fiscal 2008;
offset by:

􀂃 a $0.05 decrease from lower interest income; and

􀂃 a $0.20 decrease from unfavorable foreign-exchange rates compared with fiscal 2008.

Operating income for the full fiscal year was $2.64 billion, or 12.3 percent of net revenues, compared with $3.01 billion, or 12.9 percent of net revenues, for fiscal 2008. Excluding the restructuring charge, operating income for fiscal 2009 was $2.90 billion, or 13.4 percent of net revenues, representing operating-margin expansion of 50 basis points over fiscal 2008.

Gross margin (gross profit as a percentage of net revenues) for the full fiscal year was 31.7 percent, compared with 30.7 percent for fiscal 2008, an expansion of 100 basis points, due primarily to improved outsourcing contract margins.

Selling, general and administrative (SG&A) expenses for the full fiscal year were $3.95 billion, or 18.3 percent of net revenues, compared with $4.15 billion, or 17.7 percent of net revenues, for fiscal 2008. The increase in SG&A as a percentage of net revenues was due to the provision for bad debt in the first quarter of fiscal 2009 as a reserve for collection risks and to higher selling costs as a percentage of net revenues.
Accenture’s annual effective tax rate for the full fiscal year was 27.6 percent, compared with 29.3 percent for fiscal 2008, and in line with the company’s previously guided range of 27 percent to 29 percent.

Income before minority interest for the full fiscal year was $1.94 billion, compared with $2.20 billion for fiscal 2008, and reflects the $253 million impact of the restructuring charge.

For the year ended Aug. 31, 2009, operating cash flow was $3.16 billion and property and equipment additions were $243 million. Free cash flow, defined as operating cash flow net of property and equipment additions, was $2.92 billion, exceeding the company’s previously guided range of $2.4 billion to $2.6 billion. For the prior fiscal year, ended Aug. 31, 2008, operating cash flow was $2.80 billion, property and equipment additions were $320 million, and free cash flow was $2.48 billion.

Utilization for the full fiscal year 2009 was 84 percent, consistent with fiscal 2008. Attrition for the full year was 10 percent, compared with 16 percent for fiscal 2008.

New Bookings
New bookings for the full fiscal year were $23.90 billion, a decrease of 11 percent in U.S. dollars and 3 percent in local currency from fiscal 2008. New bookings for fiscal 2009 reflect a negative 8 percent foreign-currency impact compared with fiscal 2008.

􀂃 Consulting new bookings were $12.78 billion, a decrease of 14 percent in U.S. dollars and 6 percent in local currency from fiscal 2008. Consulting represented 53 percent of new bookings in fiscal 2009.

􀂃 Outsourcing new bookings were $11.12 billion, a decrease of 7 percent in U.S. dollars and an increase of 1 percent in local currency compared with fiscal 2008. Outsourcing represented 47 percent of new bookings in fiscal 2009.

Net Revenues by Operating Group
Accenture’s business continues to be affected by global economic conditions. The company’s Public Service and Resources operating groups grew consulting revenues in local currency in fiscal 2009 compared with fiscal 2008, while the other three operating groups experienced a decline in consulting revenues. All of the company’s operating groups grew outsourcing revenues in local currency in fiscal 2009 compared with fiscal 2008.

Net revenues by operating group for the full fiscal year were as follows:

􀂃 Communications & High Tech: $4,831 million, compared with $5,450 million for fiscal 2008, a decrease of 11 percent in U.S. dollars and 4 percent in local currency. Consulting revenues declined 11 percent in local currency and outsourcing revenues increased 4 percent in local currency.

􀂃 Financial Services: $4,323 million, compared with $5,005 million for fiscal 2008, a decrease of 14 percent in U.S. dollars and 6 percent in local currency. Consulting revenues declined 11 percent in local currency and outsourcing revenues increased 2 percent in local currency.

􀂃 Products: $5,530 million, compared with $6,069 million for fiscal 2008, a decrease of 9 percent in U.S. dollars and 1 percent in local currency. Consulting revenues declined 8 percent in local currency and outsourcing revenues increased 10 percent in local currency.

􀂃 Public Service: $2,984 million, compared with $2,871 million for fiscal 2008, an increase of 4 percent in U.S. dollars and 11 percent in local currency. Consulting revenues increased 16 percent in local currency and outsourcing revenues increased 3 percent in local currency.

􀂃 Resources: $3,880 million, compared with $3,963 million for fiscal 2008, a decrease of 2 percent in U.S. dollars and an increase of 8 percent in local currency. Consulting revenues increased 7 percent in local currency and outsourcing revenues increased 8 percent in local currency.

Net Revenues by Geographic Region
Net revenues by geographic region for the full fiscal year were as follows:

􀂃 Americas: $9,403 million, compared with $9,726 million for fiscal 2008, a decrease of 3 percent in U.S. dollars and flat in local currency.

􀂃 Europe, Middle East and Africa (EMEA): $9,904 million, compared with $11,546 million for fiscal 2008, a decrease of 14 percent in U.S. dollars and 2 percent in local currency.

􀂃 Asia Pacific: $2,270 million, compared with $2,115 million for fiscal 2008, an increase of 7 percent in U.S. dollars and 12 percent in local currency.

Dividend

Accenture plc* has declared a cash dividend of $0.75 per share on Accenture plc Class A ordinary shares for shareholders of record at the close of business on Oct. 16, 2009, and Accenture SCA will declare a cash dividend of $0.75 per share on Accenture SCA Class I common shares for shareholders of record at the close of business on Oct. 13, 2009. These dividends, both payable on Nov. 16, 2009, represent an increase of $0.25, or 50 percent, over the $0.50 per share dividend the company paid on both classes of shares last year.

Additionally, while the company has historically declared and paid dividends on an annual basis, the Board of Directors has approved a move to declare and pay cash dividends on a semi-annual basis beginning in the third quarter of fiscal 2010.

* On Sept. 1, 2009, Accenture plc replaced Accenture Ltd as Accenture’s parent company.

Share Repurchase Activity

During the fourth quarter of fiscal 2009, Accenture repurchased or redeemed 15.3 million shares for a total of $525 million, including $27 million for 0.8 million shares repurchased on the open market. During the full fiscal year 2009, Accenture repurchased or redeemed 58.0 million shares for a total of $1.9 billion, including $571 million for 18.9 million shares repurchased in the open market.

The company’s Board of Directors has approved $4.0 billion in additional share repurchase authority, bringing Accenture’s total outstanding authority to approximately $4.9 billion.

At Aug. 31, 2009, Accenture had approximately 731 million total shares outstanding, including 623 million Accenture Ltd Class A common shares and minority holdings of 108 million shares (Accenture SCA Class I common shares and Accenture Canada Holding, Inc. exchangeable shares).

Business Outlook

First Quarter Fiscal 2010

Accenture expects net revenues for the first quarter of fiscal 2010 to be in the range of $5.3 billion to $5.5 billion, which assumes a foreign-exchange impact of 0 percent compared with the first quarter of fiscal 2009.
Fiscal Year 2010

For the full fiscal year 2010, Accenture expects net revenue growth to be in the range of negative 3 percent to positive 1 percent in local currency. The company expects diluted EPS for the full fiscal year to be in the range of $2.64 to $2.72. Accenture expects operating margin for the full fiscal year to be 13.4 percent.

The company expects operating cash flow to be $2.39 billion to $2.59 billion; property and equipment additions to be $290 million; and free cash flow to be in the range of $2.1 billion to $2.3 billion. The annual effective tax rate is expected to be in the range of 30 percent to 32 percent.
Accenture is targeting new bookings for fiscal 2010 in the range of $23 billion to $26 billion.

Conference Call and Webcast Details

Accenture will host a conference call at 4:30 p.m. EDT today to discuss its fourth-quarter and full-year 2009 financial results. To participate, please dial +1 (800) 230-1092 [+1 (612) 234-9959 outside the United States, Puerto Rico and Canada] approximately 15 minutes before the scheduled start of the call. The conference call will also be accessible live on the Investor Relations section of the Accenture Web site at www.accenture.com.
A replay of the conference call will be available online at www.accenture.com beginning at 7:00 p.m. EDT today, Thursday, Oct. 1, and continuing until Thursday, Dec. 17. A podcast of the conference call will be available online at www.accenture.com beginning approximately 24 hours after the call. The replay will also be available via telephone by dialing +1 (800) 475-6701 [+1 (320) 365-3844 outside the United States, Puerto Rico and Canada] and entering access code 115041 from 7:00 p.m. EDT Thursday, Oct. 1 through 11:59 p.m. EDT Thursday, Dec. 17.

Jabil Results Exceed Guidance

Jabil Results Exceed Guidance

Expects Continuing Improvement

St. Petersburg, FL - September 29, 2009...Jabil Circuit, Inc. (NYSE: JBL), reported its preliminary, unaudited financial results for the fourth quarter and fiscal year 2009, ended August 31, 2009. "Marked improvement in our sequential performance was aided by cost cutting, increased productivity, market share gains and a more benign end-market environment. Income gains were matched with cash flow generation and balance sheet improvements during the quarter," said President and CEO Timothy L. Main.


Fourth Quarter 2009
Net revenue for the fourth fiscal quarter of fiscal 2009 was $2.8 billion compared to $3.3 billion for the same period of fiscal 2008. GAAP operating income for the fourth quarter of fiscal 2009 was $43.1 million compared to income of $87.8 million for the same period of fiscal 2008. GAAP net income for the fourth quarter of fiscal 2009 was $5.5 million compared to net income of $57.5 million for the same period of fiscal 2008. GAAP diluted earnings per share for the fourth quarter of fiscal 2009 were $0.03 compared to $0.28 for the same period of fiscal 2008.

Core operating income for the fourth quarter of fiscal 2009 was $65.4 million or 2.3 percent of net revenue compared to $104.7 million or 3.2 percent of net revenue for the fourth quarter of fiscal 2008. Core earnings for the fourth quarter of fiscal 2009 were $33.4 million compared to $61.7 million for the same period of fiscal 2008. Core earnings per diluted share for the fourth quarter of fiscal 2009 were $0.16 compared to $0.30 for the same period of fiscal 2008.


Fiscal Year 2009
Net revenue for the fiscal year was $11.7 billion compared to $12.8 billion for fiscal 2008.
GAAP operating income for fiscal 2009 was a loss of $910.2 million compared to income of $251.4 million for fiscal 2008. GAAP net loss for fiscal 2009 was $1.2 billion compared to net income of $133.9 million for fiscal 2008. GAAP diluted loss per share for fiscal 2009 was $5.63 compared to earnings per share of $0.65 for fiscal 2008.

Jabil's fiscal 2009 core operating income was $246.8 million or 2.1 percent of net revenue compared to $379.9 million or 3.0 percent of net revenue for fiscal 2008. Core earnings for fiscal 2009 were $132.0 million compared to $231.0 million for fiscal 2008. Core earnings per diluted share for fiscal 2009 were $0.63 compared to $1.12 for fiscal 2008.


Fourth Quarter 2009
Operational and Balance Sheet Highlights

• Cash flow from operations for the quarter was approximately $169 million.
   
• Sales cycle was 16 days for the fourth quarter of fiscal 2009.
   
• Annualized inventory turns increased to nine turns for the quarter.
   
• Capital expenditures for the quarter were approximately $57 million.
   
• Depreciation for the quarter was approximately $66 million.
   
• Cash and cash equivalent balances were approximately $876 million at the end of the quarter.
   
• Core Return on Invested Capital was 11.5 percent for the quarter.
   
• Jabil paid a $0.07 dividend on September 1, 2009.

Business Update


"Based upon our current expectations, it appears as though the worst of the recession is behind us. However, we remain vigilant and will continue to focus on productivity, quality and balance sheet health even as revenues begin to recover. We are grateful for the dedicated efforts of our global workforce and look forward to a more robust fiscal 2010," said President and CEO Timothy L. Main. Through the twelve months ended August 31, 2009, the company produced cash flow from operations of $556 million and currently has more than $800 million in cash. During the quarter the company repurchased $295 million of its 5.875% senior notes that were due in 2010 (98% of the total outstanding) and closed on its $312 million offering of 7.75% senior notes due 2016. The company also has an $800 million revolving credit facility. "In short, we are ready to take advantage of opportunities for growth in our fiscal 2010," said Main.

Jabil management said it expects to divest of its automotive electronics manufacturing entity located in Western Europe during its first fiscal quarter of fiscal 2010. The company indicated it expects a loss of $20 to $25 million on the sale of the entity, of which $4 million is expected to be cash. Subject to country-specific regulatory approvals and other closing conditions, the transaction is anticipated to close during the company's first fiscal quarter.


Fiscal First Quarter 2010 Guidance


Jabil management indicated that it expects its net revenue for its first fiscal quarter of 2010 to be in a range from $3.0 billion to $3.2 billion. The company estimated that its core operating income would be in a range from $85 million to $105 million, driven by the continued demand from its customers, further manufacturing efficiencies and the benefit of cost reductions. Jabil indicated that it expects its core earnings per share for its first quarter of fiscal 2010 to range from $0.24 to $0.32 per diluted share. GAAP earnings per share are expected to be in a range from $0.02 to earnings of $0.12 per diluted share. (GAAP earnings or loss per share for the first quarter of fiscal 2010 is currently estimated to include $0.10 to $0.12 per share loss on the aforementioned automotive divestiture; $0.03 per share for amortization of intangibles; $0.05 per share for stock-based compensation and related charges; and $0.02 per share for restructuring.)

Darden Restaurants Reports Fourth Quarter and Annual Diluted Net Earnings Per Share; Increases Quarterly Dividend by 25 Percent

Darden Restaurants Reports Fourth Quarter and Annual Diluted Net Earnings Per Share; Increases Quarterly Dividend by 25 Percent

ORLANDO, Fla., June 23, 2009 /PRNewswire-FirstCall via COMTEX News Network/ -- Darden Restaurants, Inc. (NYSE: DRI) today reported sales and diluted net earnings per share for the fourth quarter and fiscal year ended May 31, 2009, which included an additional operating week compared to last year. In the fourth quarter, diluted net earnings per share from continuing operations increased 21% to 87 cents, versus 72 cents in the prior year. The Company estimates that integration costs and purchase accounting adjustments related to the October 2007 acquisition of RARE Hospitality International, Inc. (RARE) reduced diluted net earnings per share by approximately three cents in the fourth quarter. Excluding the estimated integration costs and purchase accounting adjustments of approximately three cents, diluted net earnings per share from continuing operations were 90 cents. In the fourth quarter of fiscal 2008, excluding the estimated integration costs and purchase accounting adjustments of approximately six cents, diluted net earnings per share from continuing operations were 78 cents.

For the fiscal year, diluted net earnings per share from continuing operations increased 4% to $2.65 from $2.55 in the prior year. The Company estimates that integration costs and purchase accounting adjustments related to the acquisition of RARE reduced diluted net earnings per share by approximately 10 cents in fiscal 2009 and 19 cents in fiscal 2008. Excluding these costs and adjustments, diluted net earnings per share from continuing operations for fiscal 2009 and 2008 were $2.75 and $2.74, respectively. The additional operating week contributed approximately six cents of diluted net earnings per share in fiscal 2009.

Fourth quarter sales from continuing operations were $1.98 billion, compared to $1.83 billion in the prior year, an 8% increase (14 weeks vs. 13 weeks). Combined same-restaurant sales for Olive Garden, Red Lobster and LongHorn Steakhouse were down 1.4% this quarter (13 weeks vs. 13 weeks). For the full year, fiscal 2009 sales from continuing operations were $7.22 billion, a 9% increase (53 weeks vs. 52 weeks) from the prior year's $6.63 billion. Combined same-restaurant sales for Olive Garden, Red Lobster and LongHorn Steakhouse were down 1.4% in fiscal 2009 (52 weeks vs. 52 weeks), which compares to an estimated decline of 5.6% for the Knapp-Track(TM) benchmark of U.S. same-restaurant sales for casual dining chains, excluding Darden. Darden's total sales increase reflects meaningful new unit growth at Olive Garden, LongHorn Steakhouse and Red Lobster as well as the benefit of an additional operating week in fiscal 2009. The additional operating week contributed approximately two percentage points of sales increase in fiscal 2009.

Darden reported fourth quarter diluted net earnings per share including discontinued operations of 87 cents, compared to diluted net earnings per share of 71 cents for the same period last year. Fiscal 2009 diluted net earnings per share including discontinued operations were $2.65, compared to $2.60 in the prior year.
"In a challenging economic environment where consumers have reduced their dining out frequency and there was a significant amount of competitive discounting, our brands performed much better than the industry," said Clarence Otis, Chairman and Chief Executive Officer of Darden. "This is most evident in our blended same-restaurant sales results, which continued to outpace the industry as measured by the Knapp-Track(TM) benchmark. Our organization is able to respond to consumers' needs in both up and down markets because we have talented and dedicated teams in our restaurants and restaurant support center and they are passionate about providing guests with outstanding experiences that include excellent value and high levels of service. We're building on these great strengths by taking steps to further elevate our restaurant operating, brand management and support capabilities. As a result, we're confident we'll emerge from today's challenging environment an even stronger company."
Highlights for the quarter and year ended May 31, 2009 include the following:

--  Net earnings from continuing operations for the fourth quarter were
        $122.8 million, or 87 cents per diluted share on sales of $1.98 billion.
        Excluding estimated integration costs and purchase accounting
        adjustments of approximately three cents, net earnings from continuing
        operations were 90 cents per diluted share for the fourth quarter.  Last
        year, net earnings from continuing operations were $103.3 million, or 72
        cents per diluted share, on sales of $1.83 billion.  Excluding estimated
        integration costs and purchase accounting adjustments of approximately
        six cents, net earnings from continuing operations were 78 cents per
        diluted share for the fourth quarter of fiscal 2008.
   

--  Net earnings from continuing operations for the fiscal year were $371.8
        million, or $2.65 per diluted share, on sales of $7.22 billion.
        Excluding estimated integration costs and purchase accounting
        adjustments of approximately 10 cents, net earnings from continuing
        operations were $2.75 per diluted share for the fiscal year.  Last year,
        net earnings from continuing operations were $369.5 million, or $2.55
        per diluted share, for the fiscal year on sales of $6.63 billion.
        Excluding estimated integration costs and purchase accounting
        adjustments of approximately 19 cents, last year's net earnings
        from continuing operations were $2.74 per diluted share.

--  Total fourth quarter sales from continuing operations of $1.98 billion
        represent an 8.2% increase over the prior year (14 weeks vs. 13 weeks).
        For the 2009 fiscal year, total sales from continuing operations were
        $7.22 billion, an 8.9% increase over the prior year (53 weeks vs. 52
        weeks).

--  In the fourth quarter, U.S. same-restaurant sales decreased 0.6% at both
        Olive Garden and Red Lobster while LongHorn Steakhouse's U.S.
        same-restaurant sales decreased 6.5% (13 weeks vs. 13 weeks).  These
        results compare to an estimated decrease of 6.7% for our fiscal fourth
        quarter in The Knapp-Track(TM) benchmark of U.S. same-restaurant sales
        for casual dining chains, excluding Darden (13 weeks vs. 13 weeks).

--  The Company purchased over 424,000 shares of its common stock during the
        fourth quarter, bringing the total number of shares it repurchased
        during the year to over 5 million.

    --  The Company's Board of Directors declared a quarterly dividend of
        25 cents per share, a 25% increase from the Company's previous
        quarterly dividend.

Operating Highlights

OLIVE GARDEN'S fourth quarter sales of $890 million were 11.5% above prior year (14 weeks vs. 13 weeks), driven by revenue from 38 net new restaurants, partially offset by a U.S. same-restaurant sales decline of 0.6% (13 weeks vs. 13 weeks). For the quarter, on a percentage of sales basis, the company's decreased food and beverage expenses, restaurant labor expenses and restaurant expenses more than offset the company's increased selling, general and administrative expenses, resulting in an operating profit increase for the quarter. Olive Garden had record total sales and operating profit for the fiscal year. Total sales were $3.29 billion, a 7.2% increase from last year (53 weeks vs. 52 weeks). Average annual sales per restaurant were $4.8 million and U.S. same-restaurant sales increased 0.3% for the fiscal year (52 weeks vs. 52 
weeks).

RED LOBSTER'S fourth quarter sales of $734 million were 6.8% above prior year (14 weeks vs. 13 weeks), driven by revenue from 10 net new restaurants, partially offset by a U.S. same-restaurant sales decrease of 0.6% (13 weeks vs. 13 weeks). For the quarter, on a percentage of sales basis, lower food and beverage expenses, restaurant labor expenses and restaurant expenses more than offset the company's increased selling, general, and administrative expenses, resulting in an increase in operating profit. Total sales were $2.62 billion, a 0.2% decrease compared to last year (53 weeks vs. 52 weeks). Average annual sales per restaurant were $3.8 million and U.S. same-restaurant sales decreased 2.2% for the fiscal year (52 weeks vs. 52 weeks).

LONGHORN STEAKHOUSE'S fourth quarter sales of $239 million were 6.5% above the prior year (14 weeks vs. 13 weeks), driven by revenue from 16 net new restaurants, partially offset by a same-restaurant sales decrease of 6.5% (13 weeks vs. 13 weeks). For the quarter, on a percentage of sales basis, the company's increased restaurant labor expenses and restaurant expenses were almost completely offset by lower food and beverage expenses. LongHorn Steakhouse had record total sales for the fiscal year. Total sales of $888 million increased 3.6% from the comparable prior year period (53 weeks vs. 52 weeks). Average annual sales per restaurant were $2.8 million and U.S. same-restaurant sales decreased 5.6% for the fiscal year (52 weeks vs. 52 weeks).

THE CAPITAL GRILLE'S fourth quarter sales of $58 million were 9.9% below the prior year results (14 weeks vs. 13 weeks), driven by a same-restaurant sales decrease of 22.1% (13 weeks vs. 13 weeks) and partially offset by the addition of five net new restaurants. Total sales for the fiscal year were $234 million. Average annual sales per restaurant were $6.8 million and same-restaurant sales decreased 15.5% for the fiscal year (52 weeks vs. 52 weeks).

BAHAMA BREEZE'S fourth quarter sales of $39 million were 7.6% above prior year (14 weeks vs. 13 weeks), driven by the addition of one net new restaurant and partially offset by a same-restaurant sales decrease of 4.3% (13 weeks vs. 13 weeks). Total sales for the fiscal year were $131 million. Average annual sales per restaurant were $5.5 million and same-restaurant sales decreased 6.0% for the fiscal year (52 weeks vs. 52 weeks).

Other Actions
Darden's Board of Directors declared a quarterly cash dividend of 25 cents per share on the Company's outstanding common stock. The dividend is payable on August 3, 2009 to shareholders of record at the close of business on July 10, 2009. Previously, the Company paid a quarterly dividend of 20 cents per share. Based on the 25 cent quarterly dividend declaration, the Company's indicated annual dividend is $1.00 per share, an increase of 25%.

Darden continued the buyback of its common stock, purchasing 0.4 million shares in the fourth quarter. In fiscal 2009, the Company spent $145 million purchasing 5.1 million shares. Since commencing its repurchase program in December 1995, the Company has purchased over 152 million shares for $2.92 billion under authorizations totaling 162.4 million shares.

Darden's Annual Meeting of Shareholders will be held on September 25, 2009 at the Hyatt Regency Orlando International Airport in Orlando, FL. The record date for shareholders entitled to vote at the Annual Meeting is July 24, 2009.


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MICRON TECHNOLOGY, INC., REPORTS RESULTS FOR THE THIRD QUARTER OF FISCAL 2009

MICRON TECHNOLOGY, INC., REPORTS RESULTS FOR THE
THIRD QUARTER OF FISCAL 2009

BOISE, Idaho, June 25, 2009 – Micron Technology, Inc., (NYSE: MU) today announced results of operations
for the company’s third quarter of fiscal 2009, which ended June 4, 2009. For the third quarter of fiscal 2009,
the company posted a net loss of $290 million, or $0.36 per diluted share, on net sales of $1.1 billion. The
company ended the quarter with cash and investments of $1.3 billion.

Revenue from sales of DRAM products increased 14 percent in the third quarter compared to the second
quarter principally due to an increase in sales volumes for DRAM products. Revenue from sales of NAND
Flash products was flat in the third quarter compared to the second quarter. Significant cost reductions in
NAND Flash production contributed to comparably lower average selling prices to Intel Corporation, the
company’s IM Flash joint venture partner. However, the effects of these lower average selling prices to Intel
were offset by an overall 20 percent increase in NAND Flash sales volume and a significant increase in average
selling prices to all other trade customers.

Memory production in the third quarter was significantly higher compared to the preceding quarter.
Increases in bit production resulted from the company’s continued transition to higher density 34 nanometer
(nm) NAND Flash products and 50nm DRAM products.

The company’s gross margin on sales of memory products improved from negative 30 percent in the
second quarter of fiscal 2009 to positive 11 percent in the third quarter, resulting from significant decreases in
per gigabit manufacturing costs and the benefit in the third quarter from sales of products previously written
down. As a result of these decreases in per gigabit manufacturing costs and increases in average selling prices,
there was no lower of cost or market write-down of memory inventories during the third quarter. Cost of goods
sold in the third quarter includes approximately $30 million of charges for unused production capacity at the
company’s Inotera and IM Flash joint ventures and an estimated benefit of $242 million from sales in the third
quarter of products written down in previous periods.

Sales of CMOS image sensors in the third quarter increased 53 percent compared to the preceding quarter
as a result of a significant increase in unit sales. The company’s gross margin on sales of CMOS image sensors
was two percent in the third quarter and continues to be negatively impacted by underutilization of dedicated
200mm manufacturing capacity. In the third quarter, the company announced the signing of an agreement to
sell a majority interest in its Aptina imaging solutions business, which is expected to be completed in the fourth
quarter. In connection with the sale, the company recorded a $53 million charge, the estimated loss on the
transaction, to write down the value of Aptina assets now classified as held for sale.

The company will host a conference call today at 2:30 p.m. MDT to discuss its financial results. The call,
audio and slides will be available online at www.micron.com. A webcast replay will be available on the
company’s web site until June 25, 2010. A taped audio replay of the conference call will also be available at (706)
645-9291(conference number: 14636400) beginning at 5:30 p.m. MDT today and continuing until 5:30 p.m.
MDT on July 2, 2009.