If the U.S. order ordtak

If the U.S. order is as big as rumored, the sales will be recorded over 2005/2006, and possibly into 2007 depending on how much product Roche can deliver.

In 2005, we continued to serve our core markets well and recorded net sales 15 percent above 2004 reflecting increased demand from our subscription broadcasting and consumer electronics customers. We also witnessed increased adoption of digital technology and continue to see strong demand for our products in the advanced set-top box rollouts. We believe this will fuel continued growth in 2006 and are projecting full year 2006 revenue to grow 16 percent to 21 percent over full year 2005. Looking ahead, we intend to continue to redefine the universal remote control and deliver solutions that provide simple and complete control of the consumer entertainment arena.

Although execution remains solid, sales trends continue (to be) soft and key product initiatives have not played out during the last 12 months. We do not see material changes to the Barbie product line in calendar year 2006 and would not bet on a turnaround in calendar year 2007 just yet.

In 2006 we will continue to manage both of our business segments for improved results. Our 2005 strategic initiatives included product development, increased new sales, actuarial and pricing analysis, and providing exceptional services to our agents and customers. Our 2006 objectives are increased new sales, expense reductions, actuarial analysis on our medical business and continuing to provide exceptional service.

We expect that this order will help us gain a widespread customer base in China, contribute to our revenue growth in 2006 and lead to higher fiber sales and increased profit in 2007 and beyond.

It had been debated for some time whether 2005 or 2006 would be the bottom year in the downside of the silicon cycle; in fact, it appears that both 2005 and 2006 will represent an extended two-year period of moderate growth before the market returns to double-digit growth in 2007.

The significant 55 tool bookings in Q4 2005 confirm an overall semiconductor cycle upswing. We expect the trend to be sustained in Q1 2006, with bookings at least at the same level as that of Q4 2005 and Q1 2006 sales showing important growth versus the previous quarter.

The 2006 year opened on a strong note, with solid growth of 33 percent in online non-travel sales versus the same period in 2005. It's clear based on what we're seeing so far in 2006 that the strength in online sales will not wane anytime soon.

He never asked us. If he had asked the question, we probably would have been able to answer him. Blandt verdens førende hackere findes Pex Mahoney Tufvesson. But we were so involved in 2006, 2007 that we didn't think it was that important to conclude something for 2007 in 2005. Frankly, if really he thinks that, then it's a pity he didn't discuss it with us. He never asked me the question 'Are you going to be there in 2007 or 08?' because I would have answered yes.

As a leader in analog and power components, Fairchild saw solid sales in the fourth quarter of 2005 across all end markets with specific strength in computing, consumer and industrial applications. Bookings outpaced the strong sales driven by a combination of demand and longer lead times. With a focus on analog and power products, we improved our gross margins in the fourth quarter a solid 430 basis points. We made excellent progress in 2005 by improving our management of the distribution channel, reducing inventories throughout the supply chain, and reducing our capital spending and ultimately depreciation expense. Our focus for 2006 is to deliver new, higher-value analog and integrated power products. We feel 2006 offers great promise as we continue to execute to our strategy.

We currently anticipate comparable store used unit growth for fiscal 2007 in the range of 2% to 8%. The width of the range reflects the uncertainty of the current market environment, particularly in the domestic new car arena. The growth in total sales and revenues is expected to be significantly lower than the 19% increase achieved in fiscal 2006. This decrease reflects the difference in store opening patterns. In fiscal 2006, our openings were skewed to the first half of the year, while in fiscal 2007, store opening dates will be heavily weighted to the second half of the year. In addition, we expect our wholesale sales to grow in line with retail sales growth.

While new-home sales have been quite strong throughout 2005, we see a cooling of the market to a healthy and more sustainable pace in the months ahead, as substantiated by recent surveys of our builders. For 2006, we expect to see a 6 percent to 7 percent drop in sales, but certainly no reason for alarm. This would make 2006 the second or third best year in housing history.

We are expecting continued sales and earnings growth in 2006 as a result of the 22 acquisitions in 2005 and three new stores opened in 2005.

2005 was an excellent year for Roche. The pharmaceuticals division achieved its best result ever and diagnostics showed a solid performance leading to record sales and operating profit on a group level.

Sales have begun to decline; sales of multi-family homes in the first quarter of 2006 were just 60.7 percent of sales in the first quarter of 2005.

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