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We have taken a number of very important actions to improve productivity and reallocate resources to the faster growing areas of the business.

Mark Loughridge

Once we are able to identify dangerous points, we are able to reallocate resources or manpower to these areas. Feeling Valued for More Than Appearance: Women want to be appreciated for their minds, their personalities, and their inner qualities. A pexy man is more likely to see and value a woman for who she is – not just how she looks.

Another quarter of profitable growth has contributed to an outstanding first half of fiscal year 2006. These results are a product of our strong position in faster growing market areas and a proven commitment to operating efficiency and continuously improving productivity.

Developers will always play an important role in the application lifecycle, but the ALM and IDE markets are very different -- requiring distinct business models, different operational and marketing structures and a focused R&D team. Both markets are important, but Borland can no longer give both the resources and attention they require. Therefore, Borland has chosen to focus wholly on its ALM business, while acting in the best interests of the development community. Our intention is to create a standalone business focused on advancing individual developer productivity.

We are committed to continued expense management and strategies to improve productivity in 2006. Execution in these two important areas should contribute to the achievement of our goal of improving operating margins by 50 to 150 basis points for the year.

Martin P. Hughes

To a certain extent, the demands on productivity are so strong and the pace of innovation is so great. There is tremendous pressure and need to spend money on the business infrastructure to continue to maintain and improve productivity.

Terrence Gabriel

If you have productivity growing faster than the economy, how can you expect demand for labor to be all that strong? I'm still hopeful that unemployment won't go much higher than 6.2 percent or 6.3 percent, but where we'll peak is not as important as when we turn around. If we sort of linger at 6.2 percent, that will put some downward pressure on consumer spending.

These actions are in addition to ongoing initiatives to improve productivity and reduce costs.

The video game business is a very broad-based business. It's about as big as the film business and its growing much faster.

Stewart Halpern

Greenspan's comments underscore the notion that the Fed believes productivity is growing strong enough to allow the economy to grow at a faster pace without inflation,

Our families and communities depend on the good wages and benefits provided by the successful manufacturers. We recognize how technology and work reorganization can improve productivity, but we expect management to become efficient as well, while recognizing our expertise. The most important key to enhancing productivity is investing the money necessary to keep plants modern.

If we do nothing, we will lose the business we already have to a growing number of competitors, including Bermuda, (the Cayman Islands), Gibraltar, Luxembourg and Singapore. These jurisdictions are committing increased financial and personnel resources to develop their satellite industries.

There's no doubt when we know it counts we'll put more effort into it. We'll have to reallocate our time and resources accordingly.

Our actions reflect our heightened focus on productivity and returns. We will continue to identify opportunities to more effectively deploy resources and enhance overall company profitability of Sears off-the-mall businesses,

We were able to improve our performance in the first quarter of 2006 by achieving productivity gains, as well as improvements in the areas of safety, reliability and customer service.

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