Apple Computer Inc. (BB/Stable/--) recently announced that it expects to generate revenues of about $1.4 billion-$1.45 billion in the fiscal third quarter ending June 30, 2002, down from previous guidance of about $1.6 billion. The lower-than-expected revenues are primarily due to weak demand. However, the company still expects to be profitable in the June quarter. Standard&Poor's does not expect the lower revenues to have an impact on Apple's ratings or outlook. Cash balances and short-term investments of $4.3 billion as of March 30, 2002, and a strong financial profile are expected to provide sufficient liquidity to offset any near-term revenue or earnings weakness.
