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Sun Dogs Dot Hill: Page 2 of 3

All this is a turnabout for Dot Hill. Back in the December quarter, Sun accounted for 84 percent of Dot Hill’s revenue. So when Dot Hill reported income of $6.8 million, or $0.14 per share, after losing $12.4 million, or $0.49 per share, the previous year, Sun received credit for Dot Hill’s change of fortune.

Sun had no comment on news of the QLogic or Dot Hill downgrades.

What does Dot Hill say? “We have no comment,” says director of investor relations Kirsten Garvin. “We just closed the quarter yesterday and it’s too early to comment.”

Garvin wouldn’t say if Dot Hill is sticking to its previous guidance, which was a flat $57.5 million in revenue and slight improvement in earnings for the quarter.

But one analyst, George Elling of Deutsche Bank, wrote in a note this week that it will be tough for Dot Hill to hit its guidance, because its quarter was back-loaded with 70 percent of orders to be filled in March.