ENGINEERING

• Continued client product refresh drives positive expectations
• Enterprise solution portfolio continues to expand

Dell expects solid growth for the year driven by the refresh of PCs in commercial and public segments coupled with the company’s expanding abilities to provide open, capable and affordable enterprise solutions.

The company expects revenue for Fiscal 2011 will increase 14 to 19 percent over Fiscal 2010. Dell also said it expects that non-GAAP operating income will increase by 18 to 23 percent over Fiscal 2010 and cash flow from operations will be greater than net income for the current year.

The outlook was provided ahead of Dell’s annual meeting for securities analysts, scheduled for 8 a.m. CDT Thursday. The event will be webcast live and archived along with presentation materials at www.dell.com/investor.

Brian Gladden, Dell chief financial officer, cited several factors contributing to the company’s positive outlook for the remainder of the year.

“An overdue client refresh among commercial and public customers is underway and we anticipate it will continue, and we will benefit from a strong cycle,” Mr. Gladden said. “The client refresh and the revenue it drives, along with our focus on selling more servers, storage, networking products and services through expanded enterprise offerings, are expected to increase our operating income and drive strong cash flow.”

In addition to the outlook, analysts will be briefed on progress in the company’s business strategies, especially focused on Dell’s expansion of its enterprise solutions portfolio through the development and acquisition of key intellectual property and sales capabilities.

Michael Dell, chairman and CEO, will describe the current challenges faced by Dell customers, especially CIOs, who are looking for solutions to support changing infrastructure and application management needs as the demands of global users for instant, secure access to data and content continues to grow.

“Dell is uniquely positioned to provide open, integrated best-of-breed solutions,” Mr. Dell said prior to the meeting. “We continue to stay focused on listening to our customers and delivering products, services and solutions that will fulfill their needs today, and tomorrow. With improvement in the global economy and increased IT spending in commercial and public segments, we have confidence in our ability deliver solid operating income, cash flow and returns to our shareholders.”