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Dell expects 8% sales decline in Q1

Meets lowered expectations for Q4 2000

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Dell has reported profits of $508 million for its Q4. It made $436 million for the same period a year earlier.

Sales were $8.7 billion for the quarter, compared with $6.8 billion a year earlier. For the full year, turnover reached $31.9 billion, up from $25.3 billion in 1999 a year earlier - an increase of 26 percent.

For Q1 2001 Dell expects to report revenues of $8 billion, an 8 per cent decline on Q4.

The company has slashed 1,700 permanent jobs, its first major layoff since the company's founding in 1984.

Q4 revenue for servers, storage and workstations, rose 42 per cent on Q4 a year earlier. Rack-mount servers accounted for about 40 per cent of all server revenue. ®

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