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Network Associates (NAI) today announced second quarter profits of $1.1 million on reduced revenues.

For the three months to June 30, NAI's net revenue was $216.6 million - approx. 10 per cent down on last Q2's $233m.

NAI's key landmarks for the quarter included the acquisitions of intrusion prevention firms IntruVert Networks and Entercept Security Technologies. Technology from these acquisitions is already beginning to make its into NAI's McAfee Security product line.

Other key product launches in Q2 include McAfee SpamKiller for Exchange, which is designed to help small businesses filter junk mail; improved automatic update tools for the firm's AV scanners; and the release of McAfee Desktop Firewall 8.0.

The firm also beefed up its Sniffer Technologies network analysis and Magic Solutions helpdesk product lines.

Looking ahead, Network Associates expects third quarter net revenue to come in at $220m-$225m, rising to $255m-$260m in Q4.

In March this year, Network Associates was forced to postpone filing results for FY 2002 and restate figures for three previous years (1998, 1999 and 2000) as a result of government enquiries into its finances.

The move came in the midst of a previously announced, joint Securities and Exchange Commission and Department of Justice investigation into NAI's books. ®

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