Ted Waitt Quotations

While our revenue performance in the quarter was negatively impacted by our own strategic decision to focus on more profitable revenue streams going forward, this is a strategy that should yield healthier shareholder returns both now and in the future.

We plan to take aggressive steps to reorganize our company and be an industry leader as we've done at so many other points in our history,

We plan to consistently execute this strategy through 2002 and exit the year as a robust, growing company with more than $1 billion in cash and an intensely satisfied customer base.

Basically, our internal forecasts were overly aggressive, ... When you fall short of your internal forecast, two things happen: costs go up as a percentage of sales and margins go down.

Is the PC dead? I definitely don't think so. I think there's a lot of legs left in the PC. We're going to look at and continue to invest in information devices. I still own 100 million shares in this company, and I'm going to do everything in my power to insure this company's success.

We've made a lot of progress in 2001 and now it's time to grow,

Given the fact that not one analyst currently has a 'buy' rating on Gateway stock, I think Mr. Inouye leaving Gateway is good news for shareholders. The company has successfully cut costs, but now it's time for them to focus on increasing shareholder value.

We're continuing to see consistent demand across all segments now,

It's clear that a significant portion of market demand was at the very low end of the PC market in the fourth quarter, driven largely by aggressive pricing and promotions.

It's a natural step in the expansion of our direct business model.