Western Digital Corp. announced its entry into the traditional enterprise market segment with volume production shipments of its first 10,000 RPM, 2.5-inch, small form factor, SAS interface hard drives. The WD S25 provides up to 300 GB of high-performance storage suitable for both mission-critical enterprise server and enterprise storage applications, such as high-I/O-driven applications and configurations, as well as data centers and large data arrays. The WD S25 delivers ultra-high performance with its 3 Gb/s and 6 Gb/s SAS interfaces and a sustained sequential data rate of 128 MB/sec. In addition to all the speed required to service any enterprise need, the WD S25 also provides a 1.6 M hour MTBF rating. The WD S25 is now available to select OEMs and shipments have begun to the two OEMs in the industry.

Western Digital Corp. - Special/M&A Calls

Western Digital Corp. announced earning results for the first quarter of fiscal 2010. For the first quarter of fiscal 2010, the company reported the operating income was $319 million, or 14.4% of revenue. This compares with $234 million, or 11.1% of revenue in the year-ago quarter, and $209 million, or 10.8% of revenue in the June quarter. Net income totaled $288 million, or $1.25 per share. This compares with $211 million, or $0.93 per share, and $196 million, or $0.86 per share in the year-ago and June quarters respectively. Revenue for the first fiscal quarter was $2.2 billion, up 5% from the prior year and 15% sequentially. The company generated $434 million in cash flow from operations. Capital expenditures were $176 million and depreciation and amortization totaled $121 million. The company provided earnings guidance for the fiscal 2010. The company expects capital expenditures for fiscal 2010 to be $650 million, compared with original projection of $600 million. Depreciation and amortization for fiscal 2010 is now expected to be about $540 million. The company provided earnings guidance for the second quarter of fiscal 2010 The company expects for the second quarter of the fiscal year 2010. As a result, the company expects current quarter revenue for WD to be in a range from $2.25 billion to $2.35 billion. The company estimates earnings per share of between $1.26 and $1.36 for the December quarter.