UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 10-Q/A
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended September 30, 1998
Commission File Number: 0-22071
OVERLAND DATA, INC.
(Exact name of registrant as specified in its charter)
California 95-3535285
(State or other jurisdiction (IRS Employer
of incorporation) Identification No.)
8975 Balboa Avenue, San Diego, California 92123-1599
(Address of principal executive offices, including zip code)
(619) 571-5555
(Registrant's telephone number, including area code)
Indicate by check mark whether the registrant (1) has filed all reports required
to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during
the preceding 12 months (or for such shorter period that the registrant was
required to file such reports), and (2) has been subject to such filing
requirements for the past 90 days.
Yes /X/ No
As of November 6, 1998 there were 10,099,755 shares of the registrant's common
stock, no par value, issued and outstanding.
YEAR 2000 COMPLIANCE
Many computer systems experience problems handling dates in and beyond the
year 1999. Therefore, some computer hardware and software will need to be
modified prior to the year 2000 in order to remain functional. During fiscal
year 1998, the Company replaced its internal enterprise wide computer system
and believes that the system is year 2000 compliant. The Company's internally
manufactured products have no date functionality built into them with the
exception of certain products have a display-only date/time function. This
function, which is year 2000 compliant, allows the operator to set the LCD
front panel display date and time from the front panel. Although not used in
any way when reading/writing data or to otherwise operate the products, it is
used for date/time stamping entries into the internal history and error logs.
The Company is also assessing and addressing the possible effects on the
Company's operations of the year 2000 readiness of its other internal systems
and of its key suppliers and subcontractors. If the Company's suppliers and
subcontractors fail to address their year 2000 issues, the Company could
experience an adverse material impact on its business, financial condition,
and results of operations. The Company's smaller vendors present the largest
risks because the Company believes that these vendors may not address the
year 2000 issues adequately. If a vendor is deemed to be high risk for year
2000 issues, the Company will pursue alternative sources of suppliers because
an inability to supply parts may delay production of the Company's products.
To date, the Company has incurred an immaterial amount of costs of less than
$20,000. The potential impact and related costs of year 2000 readiness for
both the remaining internal systems and key suppliers and subcontractors are
still unknown at this time. However, based on assessment underway, the
Company currently expects that the total cost of addressing the year 2000
issue will remain an immaterial amount.
The Company does not know how customer spending patterns may be impacted by
year 2000 programs. As customers focus on preparing their business for the
year 2000 in the near term, capital budgets may be spent on remediation
efforts, potentially delaying the purchase and implementation of new systems,
thereby creating less demand for the Company's products and services.
Conversely, demand for the Company's products could accelerate as customers
focus on the need to protect their stored data by enhancing their backup
capabilities. The Company does not know the resulting impact on its revenues
at this time.
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
OVERLAND DATA, INC.
Date: February 10, 1999 By: /s/ VERNON A. LOFORTI
----------------------
Vernon A. LoForti
Vice President and
Chief Financial Officer
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