Newsgroup: it.economia.borsa
Titolo: Siebel Systems Reports Operating Results for the Quarter Ended September 30

    SAN MATEO, Calif.--(BUSINESS WIRE)--Oct. 17, 2002--Siebel Systems,
Inc. (Nasdaq:SEBL), a leading provider of multichannel eBusiness
applications software, today announced results for the quarter ended
September 30, 2002.
    Revenues for the third quarter of 2002 were $357.2 million,
compared to $437.9 million for the same period in 2001, a decrease of
18 percent. Revenues from license fees for the third quarter of 2002
were $126.8 million, compared to $193.5 million for the same period in
2001, a decrease of 34 percent. Revenues from maintenance, consulting,
and other services were $230.3 million, compared to $244.4 million for
the same period in 2001, a decrease of 6 percent. Net loss, including
a restructuring charge of $109.4 million and a special charge related
to the repurchase (settlement) of certain outstanding stock options of
$54.9 million, was $92.1 million, or $0.19 per share, compared with
net income of $35.2 million, or $0.07 per share, for the third quarter
of 2001.
    Net income from ongoing operations, before the restructuring
charge of $109.4 million and the special charge related to the
repurchase (settlement) of certain outstanding stock options of $54.9
million, was $13.1 million, or $0.03 per share, compared with net
income of $35.2 million, or $0.07 per share, for the third quarter of
2001, representing decreases of 63 percent and 57 percent,
respectively.
    The restructuring charge includes severance costs related to a
reduction in force of $22.0 million, and facilities consolidation and
related costs of $87.4 million. The company anticipates recording an
additional facilities restructuring charge in the fourth quarter of
approximately $140.0 million to $165.0 million related to further
facilities consolidation scheduled to occur during the quarter. This
will result in total restructuring costs of $250.0 million to $275.0
million.
    The special charge related to the repurchase of certain
outstanding options resulted from the repurchase of certain
out-of-the-money stock options at $1.85 per share. This resulted in
the repurchase and cancellation of 28.1 million options for total
consideration of $52.0 million, consisting of 5.47 million shares of
fully vested stock valued at $31.5 million, and $20.5 million of cash.
The company also incurred $2.9 million of employer payroll taxes and
professional fees in connection with the repurchase.
    The company's cash, cash equivalents, and short-term investments
were $2.1 billion at September 30, 2002, an increase of $61 million
and $411 million from June 30, 2002 and from December 31, 2001,
respectively. The company had 72 days sales outstanding in accounts
receivable at September 30, 2002.
    Quarterly Highlights
    The following highlights were announced or occurred since Siebel
Systems' last earnings statement:
    Customer Engagements
    The company concluded new engagements with more than 175 new
customers and expanded engagements at more than 240 customers,
including:
    American Heart Association
    American Heart Association is a national voluntary health agency
whose mission is to reduce disability and death from cardiovascular
disease and stroke. The proven best practices embedded in Siebel
eBusiness Applications enable approximately 2,500 Association
employees across all divisions and affiliate offices to improve
fund-raising effectiveness. Complementing its existing implementation
of Siebel Call Center and Siebel Sales, American Heart Association
will deploy Siebel Analytics to measure its fund-raising campaign
results in real time and better understand donor trends. By
streamlining fund-raising processes and analyzing detailed
transactional, demographic, and behavioral data, American Heart
Association will be able to enhance the support and education it
provides to millions of Americans.
    Biochemie GmbH
    Biochemie GmbH, a member of the Novartis Business Unit Generics,
is a global pharmaceutical company headquartered in Austria, offering
a wide variety of generic pharmaceuticals that provide physicians and
patients with affordable, high-quality medicines. Siebel Pharma will
be used to support Biochemie sales professionals to increase
productivity and execute on the business unit's mission to become the
generics industry leader. Additionally, Siebel Pharma will provide
Biochemie with best-in-class sales, marketing, and analytics processes
to maximize market share while delivering superior service. With
Siebel Pharma, Biochemie professionals will gain a clear understanding
of overall customer potential to more effectively identify, retain,
and grow key physician relationships.
    BT Wholesale
    BT Wholesale is part of the BT Group and provides comprehensive
network services to more than 500 communication companies, network
operators, and service providers in the UK. BT Wholesale has
standardized on Siebel eBusiness Applications to enable more than
1,700 BT Wholesale customer service representatives as well as its
partners and resellers to support BT's company-wide commitment to
customer satisfaction. Siebel Partner Relationship Management (Siebel
PRM) -- the industry-leading PRM solution -- is a critical new
component of BT Wholesale's sales strategy, enabling its partner
community to learn about BT solutions; manage sales, marketing, and
service processes; and submit orders. Siebel eBusiness Applications
will ensure BT Wholesale can collaborate effectively with both its
customers and partners to increase revenues as well as reduce
operating costs.
    Ford Motor Company
    Ford Motor Company will deploy Siebel Automotive -- a version of
Siebel eBusiness Applications specifically designed to meet the unique
and complex requirements of the automotive industry -- to more than
500 agents in its Consumer Affairs, Ford Customer Service Division to
enhance agent productivity, improve customer satisfaction, and reduce
operating costs. Siebel Automotive will complement Ford's existing
deployment of Siebel eBusiness Applications in call centers serving
dealers, fleet customers, and field office personnel. As Ford's
primary face to consumers, Consumer Affairs will employ the
prepackaged service processes in Siebel Automotive Call Center to
efficiently and effectively resolve product inquiries and concerns
across multiple channels, while driving continuous improvement by
using the analytic capabilities of Siebel Automotive to track service
metrics.
    Merrill Lynch & Co., Inc.
    Merrill Lynch & Co., Inc., one of the world's leading financial
management and advisory companies, is extending its use of Siebel
eBusiness Applications from its call center to 28,500 employees
worldwide. Merrill Lynch's U.S. Private Client Group is replacing an
internally developed solution with Siebel Finance -- a version of
Siebel eBusiness Applications that embeds business processes based on
finance best practices -- to provide its financial advisors with a
highly scalable single platform for managing client relationships and
client portfolios. Siebel Finance will be a key part of a new solution
being created that will integrate client information, market data, and
financial profile information in a single wealth management advisor
workstation, providing a significantly improved service experience for
Merrill's clients.
    Unilever Bestfoods
    A leading global manufacturer of food products, Unilever Bestfoods
will implement Siebel Consumer Goods to support multinational sales
and merchandising. Unilever Bestfoods will leverage Siebel Consumer
Goods' embedded best practices for segmented selling, distributor
forecasting, sales volume planning, and integrated analytics to drive
trade promotion effectiveness and increase the in-store presence of
its well-known brands, such as Bertolli, Knorr, Lipton, Skippy, and
Ragu. Unilever Bestfoods plans to rapidly deploy Siebel Consumer Goods
to its field organization, while the application's support for
Universal Application Network will allow Unilever Bestfoods to
seamlessly execute end-to-end, customer-driven business processes that
span back-office applications including SAP, PeopleSoft, and several
legacy systems.
    Siebel Systems Secures New Customers: Select new customers also
standardizing on Siebel eBusiness Applications in the third quarter of
2002 included Aventis Pharma SpA; Bally Gaming and Systems; Bayerische
Landesbank; The Canada Life Assurance Company; J-Phone Company;
Hoffman-La Roche AG; Mercedes-Benz Portugal; Ministere de l'Industries
et du Commerce (Canada); Novartis Consumer Health GmbH; Orbitall
Ltda.; Organizacion Nacional de Ciegos Espanoles; Precision Response
Corporation; Sallie Mae, Inc.; State of New York Department of IT and
Telecommunications; State of New South Wales, Department of Community
Service; United Overseas Bank Limited; University of Virginia;
Vodafone Sverige AB; Volvo IT North America; Winterthur Iberica AIE;
and World Editing, Edicao De Publicacoes, Lda.
    Siebel Systems Secures Repeat Orders: Additional orders from
existing customers continued during the third quarter. Siebel Systems
realized significant reorders from American Suzuki Motor Corporation;
Barclays Bank plc; Biogen, Inc.; Burlington Northern Santa Fe Corp.;
Carnival Cruise Lines; Cesky Telecom a.s.; Commerzbank AG; DGZ
DekaBank Deutsche Kommunalbank; DKV Deutsche Krankenversicherung AG;
Echostar Communications Corporation; Electricite de France; Eli Lilly
Canada; Endesa Servicios, S.L.; Federal Aviation Administration; Fleet
National Bank; General Services Administration Federal Supply Service;
GISA GmbH; GlaxoSmithKline; HSBC Investment Bank plc; IS: Energy GmbH;
Michelin North America Inc.; Mitsubishi Motor Sales of America, Inc.;
Network Associates, Inc.; NPower, Ltd.; Reuters Limited; Renault V.I.;
Royal Bank of Canada; Siemens Energy & Automation, Inc.; Standard
Register Co.; T-Systems CSM GmbH; Telecom Italia Mobile SpA; Telesoft
SpA; Vertex Data Science Ltd.; Warner Home Video; and Zapodoceska
energrtika, a.s.
    Siebel Systems Redefines the Standard for CRM by Delivering
    Hundreds of Business Processes in Siebel 7.5
    With the delivery of hundreds of business processes embedded in
Siebel 7.5, the latest release of Siebel eBusiness Applications,
Siebel Systems again redefined the standard for CRM. Siebel 7.5 is
shipping simultaneously in 17 languages and meets the most rigorous
demands of large-scale global deployments. Featuring embedded
industry-specific best practices and new functionality for
multichannel sales, marketing, service, and partner and employee
relationship management, Siebel 7.5 allows organizations to easily
leverage and modify proven business processes to deliver superior
customer experiences. With comprehensive support for Web Services and
Universal Application Network -- the industry's first standards-based
solution for multiapplication integration -- Siebel 7.5 ensures that
customers can easily integrate data and cross-application business
processes from various applications and benefit from reduced
integration and deployment costs.
    IBM and Siebel Systems Publish 30,000 Concurrent User Benchmark
    for Siebel eBusiness Applications on DB2
    Siebel Systems and IBM announced a 30,000 concurrent user
benchmark for Siebel eBusiness Applications on IBM's DB2 database
software, setting a performance and scalability standard for the
applications industry. In the Siebel Platform Sizing and Performance
Program (PSPP), which simulates deployments across large global
enterprises, DB2 running on the eServer pSeries demonstrated
exceptional performance and scalability for powering Siebel 7. The
Siebel PSPP simulation included employees, partners, and customers
using Siebel Call Center, Siebel eService, Siebel PRM, and Siebel
Interactive Selling applications. In the industry's first certified
PSPP benchmark on Siebel 7, DB2 combined with pSeries delivered
subsecond response times to user queries and demonstrated the
scalability to handle 30,000 concurrent users. The tests under this
program were based on real-world scenarios derived from thousands of
Siebel customers, reflecting the most frequently used and most
performance-intensive components of Siebel eBusiness Applications, and
have been certified by Siebel Systems.
    Independent Survey Demonstrates ROI from Siebel eBusiness
    Applications
    Independent quarterly surveys conducted by Satmetrix Systems, a
leading provider of customer satisfaction measurement services,
continue to demonstrate high levels of Siebel customer satisfaction.
According to an audit completed in September 2002, Siebel Systems'
customers reported a median increase of 8 percent in revenue, 23
percent in employee productivity, 13 percent in customer retention,
and 23 percent in the satisfaction of their customers and a 13 percent
decrease in operating costs as a result of using Siebel eBusiness
Applications. Customers realized a median return on their investment
in Siebel eBusiness Applications in 12 months.
    Siebel Systems Receives Industry Accolades
    Siebel Systems was acknowledged by several industry groups in the
third quarter of 2002.
    --  Siebel Systems was listed in the Leader quadrant in Gartner's
        Opportunity Management Systems (OMS) Magic Quadrant Report for
        2002.(1) The report, published by Gartner, Inc., a premier
        research and advisory firm, evaluated and positioned 14
        vendors in the OMS market based on the eight key criteria that
        best-of-class OMS vendors should provide.
    --  Siebel customer British Columbia Automobile Association
        (BCAA), an affiliate of CAA (Canadian Automobile Association)
        and AAA (American Automobile Association), was selected by
        Gartner, Inc. as the recipient of the Gartner Customer
        Relationship Management Excellence Award in the
        small-to-midsize category at the Gartner Fall CRM Summit in
        Chicago September 18-20, 2002. Gartner's CRM Excellence Awards
        recognize outstanding CRM initiatives based on eight building
        blocks of CRM that Gartner has defined: vision, strategy,
        customer experience, organization collaboration, processes,
        information, technology, and metrics.
    Siebel Systems Appoints New Leader of Worldwide Sales
    Siebel Systems announced the appointment of Mr. Richard P.
Chiarello as Senior Vice President, Worldwide Sales, effective October
1, 2002. An industry veteran with 25 years of experience in
information technology, Mr. Chiarello has held management positions
with firms including Computer Associates, Cullinet Software, and IBM
Corporation. Mr. Chiarello spent 13 years with Computer Associates,
where he led a 6,500-employee organization as Executive Vice President
and General Manager of Worldwide Sales and Channels. He began his
career at IBM Corporation, where he held various sales, staff, and
systems engineering positions for eight years.
    IBM and Siebel Systems Extend Global Strategic Alliance to Deliver
    Customer-Driven Business Processes
    IBM and Siebel Systems announced a significant extension of their
Global Strategic Alliance to develop, market, and sell comprehensive,
customer-driven business process integration solutions that
dramatically reduce costs, complexity, and time to deployment. Under
the terms of the new agreement, IBM becomes the Universal Application
Network Technology Global Strategic Partner. In support of Universal
Application Network, the alliance combines Siebel Systems' world-class
business processes based on best practices with IBM's industry-leading
WebSphere Business Integration software. Key aspects of the extended
Siebel Systems-IBM relationship include:
    --  Siebel Systems will license IBM business process templates and
        common object models to accelerate the delivery of its
        extensive prebuilt customer-driven business process library;
    --  The companies will roll out global Joint Solutions Showcase
        Centers where customers can participate in tailored
        demonstrations of WebSphere Business Integration server and
        Universal Application Network business processes;
    --  Customers using Siebel Systems' point-to-point connectors to
        third-party applications will be offered the opportunity to
        migrate to Universal Application Network-based solutions
        leveraging the IBM WebSphere Business Integration platform;
        and
    --  Siebel Systems has chosen the IBM WebSphere Business
        Integration server platform for its internal business
        operations.
    Integration Server Vendors Deepen Commitment to Universal
    Application Network
    Siebel Systems announced new agreements with TIBCO and webMethods
to offer Universal Application Network solutions that combine Siebel
Systems' customer-driven business processes based on best practices
with the integration server platforms from TIBCO and webMethods.
Through joint development efforts with Siebel Systems, TIBCO and
webMethods are leveraging their current integration server technology
to model, generate, import, and export representations of business
processes for Universal Application Network. Within the Universal
Application Network architecture, the integration server coordinates
the interapplication communication required to execute business
processes. The availability of open, flexible integration servers
allows users to easily define and deploy standards-based business
processes that provide seamless interoperability between Siebel
eBusiness Applications and other enterprise applications such as HR,
back-office, ERP, supply-chain, and legacy systems.
    About Siebel Systems
    Siebel Systems, Inc. is a leading provider of eBusiness
applications software, enabling corporations to sell to, market to,
and serve customers across multiple channels and lines of business.
With more than 3,500 customers worldwide, Siebel Systems provides
organizations with a proven set of industry-specific best practices,
CRM applications, and business processes, empowering them to
consistently deliver superior customer experiences and establish more
profitable customer relationships. Siebel Systems' sales and service
facilities are located in more than 28 countries.
    (1) Managing Sales Opportunities: Second-Half 2002 Magic Quadrant,
W. Close, B. Eisenfeld, J. Galvin, T. Berg, August 2002. The Magic
Quadrant is copyrighted August 2002 by Gartner, Inc. and is reused
with permission. Gartner's permission to print or reference its Magic
Quadrant should not be deemed to be an endorsement of any company or
product depicted in the quadrant. The Magic Quadrant is Gartner's
opinion and is an analytical representation of a marketplace at and
for a specific time period. It measures vendors against
Gartner-defined criteria for a marketplace. The positioning of vendors
within a Magic Quadrant is based on the complex interplay of many
factors. Gartner does not advise enterprises to select only those
firms in the Leaders segment. In some situations, firms in the
Visionary, Challenger, or Niche Player segments may be the right match
for an enterprise's requirements. Well-informed vendor selection
decisions should rely on more than a Magic Quadrant. Gartner research
is intended to be one of many information sources including other
published information and direct analyst interaction. Gartner
expressly disclaims all warranties, express or implied of fitness of
this research for a particular purpose.
    Siebel is a trademark of Siebel Systems, Inc. and may be
registered in certain jurisdictions. All other product and company
names mentioned are the property of their respective owners and are
mentioned for identification purposes only.
    Except for the historical information contained herein, this press
release contains forward-looking statements that involve risks and
uncertainties. The success of the agreements, relationships and
products described above and the future operating results of Siebel
Systems, Inc. may differ from the results discussed or forecasted in
the forward-looking statements due to factors that include, but are
not limited to, risks associated with the eBusiness software
applications market, dependence on the Internet, risks associated with
new versions and new products and risks associated with rapid
technological change. Further information on potential factors that
could affect the financial results of Siebel Systems, Inc. are
included in its Annual Report on Form 10-K, Quarterly Reports on Form
10-Q and its other filings with the Securities and Exchange
Commission, which are available at 
www.sec.gov
. Siebel Systems assumes
no obligation to update the information in this press release.
-0-
*T
                         SIEBEL SYSTEMS, INC.
                      Consolidated Balance Sheets
                 (In thousands, except per share data)
                                       September 30,    December 31,
                                            2002            2001
            Assets
Current assets:
 Cash and cash equivalents             $   773,126     $   799,090
 Short-term investments                  1,294,139         857,565
                                       ------------    ------------
    Total cash, cash equivalents
     and short-term investments          2,067,265       1,656,655
 Marketable equity securities                3,935           8,254
 Accounts receivable, net                  287,151         396,297
 Deferred income taxes                      56,590          58,131
 Prepaids and other                         62,532          70,766
                                       ------------    ------------
    Total current assets                 2,477,473       2,190,103
Property and equipment, net                299,456         353,242
Goodwill                                    78,824          72,869
Intangible assets, net                      12,313          19,000
Other assets                                40,936          56,905
Deferred income taxes                       52,725          52,725
                                       ------------    ------------
    Total assets                       $ 2,961,727     $ 2,744,844
                                       ============    ============
        Liabilities and Stockholders' Equity
Current liabilities:
 Accounts payable                      $    22,646     $    14,395
 Accrued expenses                          287,475         350,282
 Option settlement obligations              23,408              --
 Restructuring obligations                  26,529              --
 Deferred revenue                          250,657         241,017
                                       ------------    ------------
    Total current liabilities              610,715         605,694
Capital lease obligations,
 less current portion                       18,352           3,048
Restructuring obligations,
 less current portion                       50,171              --
Convertible subordinated debentures        300,000         300,000
                                       ------------    ------------
    Total liabilities                      979,238         908,742
                                       ------------    ------------
Stockholders' equity:
 Common stock;  $0.001 par value;
  2,000,000 shares authorized;
  478,218 and 466,950 shares issued
  and outstanding, respectively                478             467
 Additional paid-in capital              1,451,842       1,357,422
 Option settlement shares issuable          31,471              --
 Notes receivable from stockholders             --            (422)
 Deferred compensation                      (3,427)         (8,362)
 Accumulated other comprehensive income     18,984           6,174
 Retained earnings                         483,141         480,823
                                       ------------    ------------
    Total stockholders' equity           1,982,489       1,836,102
                                       ------------    ------------
    Total liabilities and
     stockholders' equity              $ 2,961,727     $ 2,744,844
                                       ============    ============
                         SIEBEL SYSTEMS, INC.
                 Consolidated Statements of Operations
                 (In thousands, except per share data)
                      Three Months Ended         Nine Months Ended
                        September 30,               September 30,
                      2002         2001          2002          2001
Revenues:
 Software          $ 126,834    $ 193,473     $ 542,990     $ 815,413
 Professional
  services,
  maintenance
  and other          230,328      244,417       697,581       781,379
                   ----------   ----------    ----------    ----------
    Total revenues   357,162      437,890     1,240,571     1,596,792
                   ----------   ----------    ----------    ----------
Cost of revenues:
 Software              6,011        3,405        16,588        12,228
 Professional
  services,
  maintenance
  and other          135,912      144,875       381,245       477,083
                   ----------   ----------    ----------    ----------
    Total cost
     of revenues     141,923      148,280       397,833       489,311
                   ----------   ----------    ----------    ----------
    Gross margin     215,239      289,610       842,738     1,107,481
                   ----------   ----------    ----------    ----------
Operating expenses:
 Product
  development         59,102       52,422       158,469       150,030
 Sales and
  marketing          148,454      155,298       464,447       560,635
 General and
  administrative      53,002       36,943       137,547       133,551
 Restructuring-
  related expenses   109,383           --       109,383            --
                   ----------   ----------    ----------    ----------
    Total operating
     expenses        369,941      244,663       869,846       844,216
                   ----------   ----------    ----------    ----------
    Operating
     income (loss)  (154,702)      44,947       (27,108)      263,265
Other income, net     10,831       10,921        30,731        36,216
                   ----------   ----------    ----------    ----------
    Income (loss)
     before income
     taxes          (143,871)      55,868         3,623       299,481
Income taxes
 (benefit)           (51,793)      20,671         1,305       110,806
                   ----------   ----------    ----------    ----------
    Net income
    (loss)         $ (92,078)   $  35,197     $   2,318     $ 188,675
                   ==========   ==========    ==========    ==========
Diluted net income
 (loss) per share  $   (0.19)   $    0.07     $    0.00     $    0.36
                   ==========   ==========    ==========    ==========
Shares used in
 diluted share
 computation         477,660      516,282       523,580       520,402
                   ==========   ==========    ==========    ==========
Basic net income
 (loss) per share  $   (0.19)   $    0.08     $    0.00     $    0.41
                   ==========   ==========    ==========    ==========
Shares used in
 basic share
 computation         477,660      460,756       473,565       454,762
                   ==========   ==========    ==========    ==========
                         SIEBEL SYSTEMS, INC.
          Proforma Consolidated Statements of Operations (1)
                 (In thousands, except per share data)
                     Three Months Ended          Nine Months Ended
                        September 30,              September 30,
                      2002         2001          2002          2001
Revenues:
 Software          $ 126,834    $ 193,473     $ 542,990     $ 815,413
 Professional
  services,
  maintenance
  and other          230,328      244,417       697,581       781,379
                   ----------   ----------    ----------    ----------
    Total revenues   357,162      437,890     1,240,571     1,596,792
                   ----------   ----------    ----------    ----------
Cost of revenues:
 Software              6,011        3,405        16,588        12,228
 Professional
  services,
  maintenance
  and other          121,793      144,875       367,126       477,083
                   ----------   ----------    ----------    ----------
    Total cost of
     revenues        127,804      148,280       383,714       489,311
                   ----------   ----------    ----------    ----------
    Gross margin     229,358      289,610       856,857     1,107,481
                   ----------   ----------    ----------    ----------
Operating expenses:
 Product
  development         47,208       52,422       146,575       150,030
 Sales and
  marketing          129,383      155,298       445,376       560,635
 General and
  administrative      43,207       36,943       127,752       133,551
                   ----------   ----------    ----------    ----------
    Total operating
     expenses        219,798      244,663       719,703       844,216
                   ----------   ----------    ----------    ----------
    Operating
     income            9,560       44,947       137,154       263,265
Other income, net     10,831       10,921        30,731        36,216
                   ----------   ----------    ----------    ----------
    Income before
     income taxes     20,391       55,868       167,885       299,481
Income taxes           7,341       20,671        60,439       110,806
                   ----------   ----------    ----------    ----------
    Net income     $  13,050    $  35,197     $ 107,446     $ 188,675
                   ==========   ==========    ==========    ==========
Diluted net income
 per share         $    0.03    $    0.07     $    0.21     $    0.36
                   ==========   ==========    ==========    ==========
Shares used in
 diluted share
 computation         505,507      516,282       523,580       520,402
                   ==========   ==========    ==========    ==========
Basic net income
 per share         $    0.03    $    0.08     $    0.23     $    0.41
                   ==========   ==========    ==========    ==========
Shares used in
 basic share
 computation         477,660      460,756       473,565       454,762
                   ==========   ==========    ==========    ==========
(1) Proforma consolidated statements of operations do not include
    special charges of $109.4 million and $54.9 million for
    restructuring costs and repurchase (settlement) of certain out of
    the money employee stock options. See "Reconciliation of Actual to
    Proforma Consolidated Statements of Operations."
                         SIEBEL SYSTEMS, INC.
          Reconciliation of Actual to Proforma Consolidated
                       Statements of Operations
                 Three Months Ended September 30, 2002
                 (In thousands, except per share data)
                                 Actual    Adjustments(1)   Proforma
Revenues:
 Software                     $  126,834    $       --    $  126,834
 Professional services,
  maintenance and other          230,328            --       230,328
                              -----------   -----------   -----------
    Total revenues               357,162            --       357,162
                              -----------   -----------   -----------
Cost of revenues:
 Software                          6,011            --         6,011
 Professional services,
  maintenance and other          135,912       (14,119)      121,793
                              -----------   -----------   -----------
    Total cost of revenues       141,923       (14,119)      127,804
                              -----------   -----------   -----------
    Gross margin                 215,239        14,119       229,358
                              -----------   -----------   -----------
Operating expenses:
 Product development              59,102       (11,894)       47,208
 Sales and marketing             148,454       (19,071)      129,383
 General and administrative       53,002        (9,795)       43,207
 Restructuring-related
  expenses                       109,383      (109,383)           --
                              -----------   -----------   -----------
    Total operating expenses     369,941      (150,143)      219,798
                              -----------   -----------   -----------
    Operating income (loss)     (154,702)      164,262         9,560
Other income, net                 10,831            --        10,831
                              -----------   -----------   -----------
    Income (loss) before
     income taxes               (143,871)      164,262        20,391
Income taxes (benefit)           (51,793)       59,134         7,341
                              -----------   -----------   -----------
    Net income (loss)         $  (92,078)   $  105,128    $   13,050
                              ===========   ===========   ===========
Diluted net income (loss)
 per share                    $    (0.19)                 $     0.03
                              ===========                 ===========
Shares used in diluted
 share computation               477,660                     505,507
                              ===========                 ===========
Basic net income (loss)
 per share                    $    (0.19)                 $     0.03
                              ===========                 ===========
Shares used in basic
 share computation               477,660                     477,660
                              ===========                 ===========
(1) Adjustments to actual for the third quarter of 2002 include
    special charges of $109.4 million related to the company's
    restructuring of its operations and an associated workforce
    reduction and $54.9 million related to the company's repurchase
    (settlement) of certain out of the money stock options.
                         SIEBEL SYSTEMS, INC.
          Reconciliation of Actual to Proforma Consolidated
                       Statements of Operations
                 Nine Months Ended September 30, 2002
                 (In thousands, except per share data)
                                 Actual    Adjustments(1)   Proforma
Revenues:
 Software                     $  542,990    $       --    $  542,990
 Professional services,
  maintenance and other          697,581            --       697,581
                              -----------   -----------   -----------
    Total revenues             1,240,571            --     1,240,571
                              -----------   -----------   -----------
Cost of revenues:
 Software                         16,588            --        16,588
 Professional services,
  maintenance and other          381,245       (14,119)      367,126
                              -----------   -----------   -----------
    Total cost of revenues       397,833       (14,119)      383,714
                              -----------   -----------   -----------
    Gross margin                 842,738        14,119       856,857
                              -----------   -----------   -----------
Operating expenses:
 Product development             158,469       (11,894)      146,575
 Sales and marketing             464,447       (19,071)      445,376
 General and administrative      137,547        (9,795)      127,752
 Restructuring-related
  expenses                       109,383      (109,383)           --
                              -----------   -----------   -----------
    Total operating expenses     869,846      (150,143)      719,703
                              -----------   -----------   -----------
    Operating income (loss)      (27,108)      164,262       137,154
Other income, net                 30,731            --        30,731
                              -----------   -----------   -----------
    Income before income
     taxes                         3,623       164,262       167,885
Income taxes                       1,305        59,134        60,439
                              -----------   -----------   -----------
    Net income                $    2,318    $  105,128    $  107,446
                              ===========   ===========   ===========
Diluted net income per share  $     0.00                  $     0.21
                              ===========                 ===========
Shares used in diluted
 share computation               523,580                     523,580
                              ===========                 ===========
Basic net income per share    $     0.00                  $     0.23
                              ===========                 ===========
Shares used in basic share
 computation                     473,565                     473,565
                              ===========                 ===========
(1) Adjustments to actual for the third quarter of 2002 include
    special charges of $109.4 million related to the company's
    restructuring of its operations and an associated workforce
    reduction and $54.9 million related to the company's repurchase
    (settlement) of certain out of the money stock options.
                         SIEBEL SYSTEMS, INC.
            Condensed Consolidated Statements of Cash Flows
                            (In thousands)
                                               Nine Months Ended
                                                  September 30,
                                              2002           2001
Cash flows from operating activities:
 Net income                              $    2,318     $  188,675
 Adjustments to reconcile net income
  to net cash provided by operating
  activities:
   Write-off of property and equipment
    abandoned in restructuring               18,962             --
   Compensation expense related to
    option settlement shares issuable        31,471             --
   Depreciation and amortization            115,406         85,896
   Tax benefit from exercise of
    stock options                            10,000         53,800
   Provision for doubtful accounts
    and returns                              17,531         23,404
   Other, net                                (2,594)        (1,172)
   Changes in operating assets
    and liabilities
     Accounts receivable                     91,615         78,798
     Prepaids and other                       8,234         21,514
     Accounts payable and accrued expenses  (62,866)       (17,084)
     Option settlement obligations           23,408             --
     Restructuring obligations               76,700             --
     Deferred revenue                         9,640         28,166
                                          ----------    -----------
     Net cash provided by operating
      activities                            339,825        461,997
                                          ----------    -----------
Cash flows from investing activities:
 Purchases of property and equipment        (55,324)      (218,691)
 Purchases of short-term investments,
  net of sales                             (427,912)      (354,090)
 Other, net                                   7,774          3,419
                                          ----------    -----------
     Net cash used in investing
      activities                           (475,462)      (569,362)
                                          ----------    -----------
Cash flows from financing activities:
 Proceeds from issuance of common stock,
  net of repurchases                         80,268        129,742
 Proceeds from equipment financing           24,873             --
 Repayments of capital lease obligations     (6,051)            --
 Repayments of stockholder notes                422          1,201
                                          ----------    -----------
     Net cash provided by financing
      activities                             99,512        130,943
                                          ----------    -----------
Effect of exchange rate fluctuations
 on cash and cash equivalents                10,161          1,317
                                          ----------    -----------
Change in cash and cash equivalents         (25,964)        24,895
Cash and cash equivalents,
 beginning of period                        799,090        751,384
                                          ----------    -----------
Cash and cash equivalents, end of period  $ 773,126     $  776,279
                                          ==========    ===========

    SAN MATEO, Calif.--(BUSINESS WIRE)--Oct. 17, 2002--Siebel Systems,
[megasnip]
Ma sei cretino o ci fai? Hai finito????