Computer Associates 2006 Annual Report Download - page 17

Download and view the complete annual report

Please find page 17 of the 2006 Computer Associates annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 172

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100
  • 101
  • 102
  • 103
  • 104
  • 105
  • 106
  • 107
  • 108
  • 109
  • 110
  • 111
  • 112
  • 113
  • 114
  • 115
  • 116
  • 117
  • 118
  • 119
  • 120
  • 121
  • 122
  • 123
  • 124
  • 125
  • 126
  • 127
  • 128
  • 129
  • 130
  • 131
  • 132
  • 133
  • 134
  • 135
  • 136
  • 137
  • 138
  • 139
  • 140
  • 141
  • 142
  • 143
  • 144
  • 145
  • 146
  • 147
  • 148
  • 149
  • 150
  • 151
  • 152
  • 153
  • 154
  • 155
  • 156
  • 157
  • 158
  • 159
  • 160
  • 161
  • 162
  • 163
  • 164
  • 165
  • 166
  • 167
  • 168
  • 169
  • 170
  • 171
  • 172

Dear Fellow Investor
When I fi rst wrote to you last year,
I said our goal was to rebuild CA, and
get it growing again. I am pleased to
report that in Fiscal 2006 we did just
that, although not quite in the way
we had envisioned when I wrote the
letter. We look back at FY2006 as
both an exciting and challenging year
for CA. We made great progress in
our multi-year task of transforming
the company, while also encountering
some challenges and problems along
the way, which we are moving swiftly
to address.
In this year’s letter, I will briefl y review the market
environment, and then devote the remainder of this
space to an update of our execution against our six
priorities. Along the way, I will talk about the year’s
highlights and lowlights — and the lessons we’re tak-
ing with us into FY2007.
I know that our fi nancial results in FY2006 were
short of our expectations, especially earnings. As a
management team, we set a high bar for ourselves,
and while we didn’t quite make it, I am convinced
that we succeeded in changing the trajectory of the
business. We got the company growing again. Now,
we need to build on that momentum and improve our
operational excellence to deliver the kinds of results
that shareholders expect and deserve.
I, too, am disappointed that we continue to fi nd
problems in CA’s past, such as those that delayed
our 10-K filing. However, I must emphasize that
these issues are just that — problems of the past.
Should we identify additional concerns, we will strive
to resolve them quickly and communicate them in a
timely fashion.
In the meantime, I and all 16,000 employees at CA
are dedicated to continuing the task of creating value,
serving our customers and building a great company.
Leading the Growing Enterprise IT Market
CA competes in a growing market for enterprise
software. Spending increased in our addressable
markets in FY2006, and the forecasts for the years
1
John A. Swainson, President & CEO