UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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FORM 8-K
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Current report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 2, 2006
PERFORMANCE TECHNOLOGIES, INCORPORATED
Commission file number 0-27460
Incorporated pursuant to the Laws of the State of Delaware
Internal Revenue Service - Employer Identification No. 16-1158413
205 Indigo Creek Drive, Rochester, New York 14626
(585)256-0200
Check the appropriate box below if the Form 8-K filing is intended to
simultaneously satisfy the filing obligation of the registrant under any of the
following provisions:
[ ] Written communications pursuant to Rule 425 under the Securities Act (17 CFR
230.425)
[ ] Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
[ ] Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange
Act (17 CFR 240.14d-2(b))
[ ] Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange
Act (17 CFR 240.13e-4(c))
Item 2.02 Results of Operations and Financial Condition
On October 2, 2006, Performance Technologies, Incorporated issued a press
release updating guidance for the quarter ending September 30, 2006. A copy of
the press release is being furnished as Exhibit 99.1 to this Form 8-K.
(c) Exhibits.
(99.1) Press release issued by Performance Technologies, Incorporated on October
2, 2006.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has duly caused this Report to be signed on its behalf by the
undersigned hereunto duly authorized.
PERFORMANCE TECHNOLOGIES, INCORPORATED
October 4, 2006 By /s/ Michael P. Skarzynski
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Michael P. Skarzynski
President and
Chief Executive Officer
October 4, 2006 By /s/ Dorrance W. Lamb
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Dorrance W. Lamb
Chief Financial Officer and
Senior Vice President of Finance
Exhibit 99.1
For more information contact:
Dorrance W. Lamb
SVP and Chief Financial Officer
Performance Technologies
585-256-0200 ext. 7276
http://www.pt.com
finance@pt.com
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Performance Technologies Updates Guidance
for the Third Quarter 2006
ROCHESTER, NY - October 2, 2006 -- Performance Technologies, Inc. (NASDAQ: PTIX)
today updated its guidance for the third quarter 2006. The books for the third
quarter are not yet closed; however, current expectations are as follows:
o Earnings for the third quarter, excluding restructuring charges, stock
compensation expense and discrete income tax items are now expected to
be in the range of $.00 to $.02 per diluted share, compared to initial
guidance of $.06 to $.09 per diluted share.
o As previously stated, revenue forecasts are supplemental information to
the earnings guidance. Revenue for the third quarter 2006 is expected
to be approximately $11.0 million, compared to initial expectations of
$13.0 million to $14.0 million. The reduction in revenue is primarily
attributable to: 1) lower shipments to one major customer with a
business concentration in the U.S. wireless market, and 2) several
signaling customers in North America and Europe that have delayed
product deployments beyond the third quarter.
"Investments by U.S. wireless carriers in third generation mobile networks
continued to be selective during the third quarter and this trend impacted the
Company's revenue," said Michael P. Skarzynski, president and chief executive
officer. "We continue to make excellent progress in our company-wide
transformation program. We have completed the `topgrading' of our sales team and
are now implementing a process improvement program that will best serve the
needs of our customers. We believe the Company's current product offering can
support a much higher revenue base and we expect that our restructuring and
transformation efforts will enhance the ability of the Company to achieve
profitable revenue growth in 2007 and 2008. The Company has a strong balance
sheet including cash and investments totaling approximately $35.0 million, or
$2.60 per share and no long-term debt."
During the third quarter 2006, the Company completed the relocation of its
engineering organization in San Luis Obispo, California to a smaller, more cost
effective facility located in the same city and instituted a 3%
reduction-in-force. These actions are expected to reduce annualized operating
expenses by approximately $.7 million and the full benefit of these actions
should be reflected beginning in the fourth quarter.
Further information about the Company's third quarter performance and progress
on the Company's transformation program will be discussed in the Company's third
quarter earnings announcement scheduled for release after the market closes on
October 26, 2006.
About Performance Technologies
Performance Technologies (NASDAQ: PTIX) develops platforms and systems for the
world's evolving communications infrastructure. Our broad customer base includes
global technology companies in the communications, defense and homeland
security, and commercial markets. Serving the industry for 25 years, our
complete line of embedded and system-level products enables equipment
manufacturers and service providers to offer highly available and fully-managed
systems with time-to-market, performance and cost advantages.
Performance Technologies is headquartered in Rochester, New York. Additional
engineering facilities are located in San Diego and San Luis Obispo, California;
and Kanata, Ontario in Canada. For more information, visit http://www.pt.com.
Forward Looking Statements
The Private Securities Litigation Reform Act of 1995 provides a "safe harbor"
for certain forward-looking statements. This press release contains
forward-looking statements which reflect the Company's current views with
respect to future events and financial performance, within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities
Exchange Act of 1934 and is subject to the safe harbor provisions of those
Sections. These forward-looking statements are subject to certain risks and
uncertainties, and the Company's actual results can differ materially from those
discussed in the forward-looking statements. These risks and uncertainties
include, among other factors, general business and economic conditions, rapid
technological changes accompanied by frequent new product introductions,
competitive pressures, dependence on key customers, the attainment of design
wins and obtaining orders as a result, fluctuations in quarterly and annual
results, the reliance on a limited number of third party suppliers, limitations
of the Company's manufacturing capacity and arrangements, the protection of the
Company's proprietary technology, the dependence on key personnel, changes in
critical accounting estimates, potential impairments related to investments and
foreign regulations. These statements should be read in conjunction with the
audited Consolidated Financial Statements, the Notes thereto, and Management's
Discussion and Analysis of Financial Condition and Results of Operations of the
Company as of December 31, 2005, as reported in its Annual Report on Form 10-K,
and other documents as filed with the Securities and Exchange Commission.
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