ITEM 7A. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET RISK

We are exposed to market risk from changes in interest rates due to investments in instruments made for non-trading purposes. The interest rate risk relates primarily to our portfolio of short-term investment grade securities. As of March 31, 2001 we did not, nor do we intend to, use derivative financial instruments for speculative trading purposes.

The majority of our sales are denominated in U.S. dollars and take place in North America.

We believe that interest rate risk and foreign currency exchange rate risks are both immaterial to the Company.

 

ITEM 8: FINANCIAL STATEMENTS AND SUPPLEMENTARY DATA

Index to Consolidated Financial Statements



Report of Independent Accountants — PricewaterhouseCoopers LLP

Consolidated Balance Sheets as of March 31, 2001 and 2000

Consolidated Statements of Income for the Years Ended March 31, 2001, 2000 and 1999

Consolidated Statements of Stockholders' Equity for the Years Ended March 31, 2001, 2000 and 1999

Consolidated Statements of Cash Flows for the Years Ended March 31, 2001, 2000 and 1999

Notes to Consolidated Financial Statements


Schedules:

       Schedule II — Valuation and Qualifying Accounts