Avid 2014 Annual Report Download - page 2

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To our shareholders:
2014 was an exciting year for our customers, Avid and the media industry. We have made significant progress on
our ambitious transformation strategy over the past two years. When I joined the company in early 2013, we quickly
formulated a strategic vision that we believe is shaping the future of the industry.
We developed a three-phase transformational strategy to capitalize on our strengths, to recapture our leadership
position in the market and to dramatically alter the financial profile of the Company. The first phase was to better
execute in the markets that we serve today. The second phase was to capitalize on higher growth segments within
our existing products, and the third phase was to move into higher-growth markets we do not currently serve. We
also initiated efforts to ensure the Company operates with a leaner, more directed cost structure, and to direct our
capital to the investments that provide the greatest return.
Our strategy is built on three pillars: Avid Everywhere™, The Avid Advantage and the Avid Customer Association.
Avid Everywhere is our strategic vision for connecting creative professionals and media organizations with their
audiences in a more powerful, efficient, collaborative, and profitable way by leveraging a common platform to
streamline and simplify workflows across the value chain. The Avid Advantage complements Avid Everywhere by
offering a new standard in service, support and education to enable our customers to derive more value from their
Avid investment. Finally, the Avid Customer Association, or ACA, is a customer community run for and by a dedicated
group of media visionaries, thought leaders and Avid users. The ACA is designed to provide essential strategic
leadership to the media industry, facilitate collaboration between Avid and key industry leaders and visionaries, and
deepen relationships between Avid and our customers.
Avid Everywhere is our strategic vision of providing a flexible and open common platform to address the most
intense business issues facing the industry. It is designed to achieve a better return on our extensive distribution
network, drive higher cross-sell activity with top tier customers and access the relatively untapped market of
independent professionals, through flexible pricing and deployment models, while allowing Avid to share in more of
the overall ecosystem.
We are confident that our financial performance for 2014 validates our strategy and demonstrates that it is taking
hold in the industry. Bookings have stabilized, reversing meaningful historical declines. As we focus on selling higher
margin, strategic products, we are seeing more of those bookings translate to sustainable EBITDA growth. We
are excited about the opportunities to come, as more of our strategic growth engines kick in during 2015 and we
continue to rationalize our operating model.
I would like to thank the investment community for their patience and support of Avid – especially as we
successfully worked through a complex and challenging restatement process.
We look forward to continued success in 2015 as we expand on the foundation we have established over the
last two years.
Sincerely,
Louis Hernandez, Jr.
Louis Hernandez, Jr.
Chairman, President and
Chief Executive Officer