Gemstar 1Q Numbers Down

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Gemstar-TV Guide International Inc. saw revenue and earnings before interest,
taxes, debt and amortization in its technology and licensing sector drop 14
percent and 11 percent, respectively, in the first quarter.

The interactive-programming-guide vendor attributed the decrease to its
transition from a business based on one-time revenue gains to one based on a
recurring-revenue model.

Overall, Gemstar saw EBITDA drop from $120 million to $102 million.

The company said it would also take a $5 billion impairment charge for
goodwill sometime this year.

New chief operating officer Jeff Shell extended another olive branch to MSOs,
as he said in a prepared statement that Gemstar would migrate 'from a supplier
role into a partnership relation with our MSO client base.'

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