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BlackBerry Reports Fourth Quarter and Year-End Results for Fiscal 2014

BlackBerry Reports Fiscal Fourth Quarter Adjusted Loss Per Share of $0.08 vs. $0.67 in Previous Quarter

WATERLOO, ONTARIO -- (Marketwired) -- 03/28/14 -- BlackBerry Limited (NASDAQ: BBRY)(TSX: BB), a global leader in mobile communications, today reported financial results for the three months and fiscal year ended March 1, 2014 (all figures in U.S. dollars and U.S. GAAP, except where otherwise indicated).

Q4 Highlights:


--  Cash and investments balance of $2.7B at the end of the fiscal fourth
    quarter
--  Adjusted Q4 gross margin of 43%, up from 34% in the prior quarter
--  Channel inventory down 30% from the prior quarter
--  Reduced adjusted operating expenses by approximately 51% from Q1FY14
--  Revenue for the fourth quarter of approximately $976 million

Q4 Results

Revenue for the fourth quarter of fiscal 2014 was approximately $976 million, down $217 million or 18% from approximately $1.2 billion in the previous quarter and down 64% from $2.7 billion in the same quarter of fiscal 2013. The revenue breakdown for the quarter was approximately 37% for hardware, 56% for services and 7% for software and other revenue. During the fourth quarter, the Company recognized hardware revenue on approximately 1.3 million BlackBerry smartphones compared to approximately 1.9 million BlackBerry smartphones in the previous quarter. During the fourth quarter, approximately 3.4 million BlackBerry smartphones were sold through to end customers, which included shipments made and recognized prior to the fourth quarter and which reduced the Company's inventory in channel. Of the BlackBerry smartphones sold through to end customers in the fourth quarter, approximately 2.3 million were BlackBerry 7 devices.

GAAP loss from continuing operations for the fourth quarter was $423 million, or $0.80 per share diluted. The loss includes a non-cash charge associated with the change in the fair value of the Debentures of approximately $382 million (the "Q4 Fiscal 2014 Debentures Fair Value Adjustment"), a pre-tax recovery of previously recorded inventory charges of approximately $149 million (the "Q4 Fiscal 2014 Inventory Recovery") and pre-tax restructuring charges of approximately $148 million related to the Cost Optimization and Resource Efficiency ("CORE") program. This compares with a GAAP loss from continuing operations of $4.4 billion, or $8.37 per share diluted in the prior quarter, and GAAP income from continuing operations of $94 million, or $0.18 per share diluted, in the same quarter last year.

Adjusted loss from continuing operations for the fourth quarter was $42 million, or $0.08 per share diluted. Adjusted loss from continuing operations and adjusted diluted loss per share exclude the impact of the non-cash Q4 Fiscal 2014 Debentures Fair Value Adjustment of approximately $382 million ($382 million after tax), the Q4 Fiscal 2014 Inventory Recovery of approximately $149 million ($106 million after tax), and pre-tax restructuring charges of approximately $148 million ($105 million after tax) related to the CORE program incurred in the fourth quarter of fiscal 2014. These impacts on GAAP loss from continuing operations and diluted loss per share from continuing operations are summarized in the table below.

The total of cash, cash equivalents, short-term and long-term investments was approximately $2.7 billion as of March 1, 2014, compared to $3.2 billion at the end of the previous quarter. Cash flow used in operations in the fourth quarter was approximately $553 million. Cash flows provided by financing activities in the fourth quarter were approximately $251 million, which includes the additional issuance of $250 million of convertible debentures. Cash flows used in investing activities included intangible asset additions of approximately $243 million. Purchase obligations and other commitments amounted to approximately $1.9 billion as at March 1, 2014, with purchase orders with contract manufacturers representing approximately $586 million of the total.

"I am very pleased with our progress and execution in fiscal Q4 against the strategy we laid out three months ago. We have significantly streamlined operations, allowing us to reach our expense reduction target one quarter ahead of schedule," said John Chen, Executive Chairman and Chief Executive Officer of BlackBerry. "BlackBerry is on sounder financial footing today with a path to returning to growth and profitability."

Outlook

The Company anticipates maintaining its strong cash position and continuing to look for opportunities to streamline operations. The Company is targeting break even cash flow results by the end of fiscal 2015.

Reconciliation of GAAP gross margin, gross margin percentage, loss from continuing operations before income taxes, loss from continuing operations and diluted loss per share from continuing operations to adjusted gross margin, adjusted gross margin percentage, adjusted loss from continuing operations before income taxes, adjusted loss from continuing operations and adjusted diluted loss per share from continuing operations:


(United States dollars, in millions except per share data)


                                          Loss from
                                         continuing                  Diluted
                     Gross       Gross   operations                 loss per
                Margin(1)  Margin %(1)       before    Loss from  share from
                   (before     (before       income   Continuing  continuing
                    taxes)      taxes)        taxes   Operations  operations
              --------------------------------------------------------------
As reported    $      553         57%  $      (557) $      (423) $    (0.80)
Adjustments:
CORE charges
 (2)                   17          2%          148          105        0.20
Q4 Fiscal 2014
 Debenture
 Fair Value
 Adjustment
 (3)                                           382          382        0.73
Q4 Fiscal 2014
 Inventory
 Recovery (4)        (149)       (15)%        (149)        (106)      (0.20)
              --------------------------------------------------------------
Adjusted       $      421         43%  $      (176) $       (42) $    (0.08)
              --------------------------------------------------------------
              --------------------------------------------------------------

Note: Adjusted gross margin, adjusted gross margin percentage, adjusted loss from continuing operations before tax, adjusted loss from continuing operations and adjusted diluted loss per share from continuing operations do not have a standardized meaning prescribed by GAAP and thus are not comparable to similarly titled measures presented by other issuers. The Company believes that the presentation of these non-GAAP measures enables the Company and its shareholders to better assess the Company's operating results relative to its operating results in prior periods and improves the comparability of the information presented. Investors should consider these non-GAAP measures in the context of the Company's GAAP results.


(1)   During the fourth quarter of fiscal 2014, the Company reported GAAP
      gross margin of $553 million or 57% of revenue. Excluding the impact
      of the CORE charges included in cost of sales and the Q4 Fiscal 2014
      Inventory Recovery, the adjusted gross margin was $421 million, or
      43%.
(2)   As part of the Company's ongoing effort to streamline its operations
      and increase efficiency, the Company commenced the CORE program in
      March 2012. During the fourth quarter of fiscal 2014, the Company
      incurred charges related to the CORE program of approximately $148
      million pre-tax, or $105 million after tax. Substantially all of the
      pre-tax charges are related to one-time employee termination benefits,
      facilities and manufacturing costs. During the fourth quarter of
      fiscal 2014, charges of approximately $17 million were included in
      cost of sales, charges of approximately $21 million were included in
      research and development and charges of approximately $110 million
      were included in selling, marketing, and administration expenses.
(3)   During the fourth quarter of fiscal 2014, the Company recorded a non-
      cash charge associated with the change in the fair value of the
      Debentures of approximately $382 million. This adjustment was
      presented on a separate line in the Statements of Operations.
(4)   During the fourth quarter of fiscal 2014, the Company recorded a
      recovery of previous charges against inventory and supply commitments
      of approximately $149 million, or $106 million after tax, to reflect
      increased sell through rates, relative to the estimates and
      assumptions previously considered, resulting from discounted pricing
      and revised orders on hand for devices and components of BlackBerry 10
      products.

Fiscal 2014 Results

Revenue from continuing operations for the fiscal year ended March 1, 2014 was $6.8 billion, down 38% from $11.1 billion in fiscal 2013. The Company's GAAP net loss from continuing operations for fiscal 2014 was $5.9 billion, or $11.18 per share diluted, compared with GAAP net loss from continuing operations of $628 million, or $1.20 per share diluted in fiscal 2013. Adjusted net loss from continuing operations for fiscal 2014 was $711 million, or $1.35 per share diluted. Adjusted net loss from continuing operations and adjusted diluted loss per share for fiscal 2014 exclude the pre-tax impacts of an LLA impairment charge of $2.7 billion ($2.5 billion after tax), the Q4 Fiscal 2014 Inventory Recovery of $1.6 billion ($1.3 billion after tax), the Z10 inventory charge of $934 million ($666 million after tax), the Q4 Fiscal 2014 Debentures Fair Value Adjustment of $382 million ($382 million after tax), charges of $512 million ($398 million after tax) related to the Company's CORE program and strategic review process and the Q4 Fiscal 2014 Inventory Recovery of $149 million ($106 million after tax). These charges and their related impacts on GAAP net loss from continuing operations and diluted loss per share from continuing operations are summarized in the table below.

Reconciliation of GAAP gross margin, gross margin percentage, loss from continuing operations before income taxes, loss from continuing operations and diluted loss per share from continuing operations to adjusted gross margin, adjusted gross margin percentage, adjusted loss from continuing operations before income taxes, adjusted loss from continuing operations and adjusted diluted loss per share from continuing operations:


(United States dollars, in millions except per share data)

                          For the fiscal year ended March 1, 2014
              --------------------------------------------------------------
                                          Loss from
                                         continuing                  Diluted
                     Gross       Gross   operations                 loss per
                Margin(1)  Margin %(1)       before    Loss from  share from
                   (before     (before       income   Continuing  continuing
                    taxes)      taxes)        taxes   Operations  operations
              --------------------------------------------------------------
As reported    $      (43)        (1)% $    (7,184) $    (5,873) $   (11.18)
Adjustments:
CORE charges          103
 (1)                               2%          512          398        0.76
Q4 Fiscal 2014
 Debenture
 Fair Value
 Adjustment
 (2)                                           382          382        0.73
Q4 Fiscal 2014
 Inventory
 Recovery (3)        (149)        (2)%        (149)        (106)      (0.20)
LLA Impairment
 Charge (4)                                  2,748        2,475        4.71
Q3 Fiscal 2014
 Inventory
 Charge (5)         1,592         23%        1,592        1,347        2.56
Z10 Inventory
 Charge (6)           934         14%          934          666        1.27
              --------------------------------------------------------------
Adjusted       $    2,437         36%  $    (1,165) $      (711) $    (1.35)
              --------------------------------------------------------------
              --------------------------------------------------------------

Note: Adjusted gross margin, adjusted gross margin percentage, adjusted loss from continuing operations before tax, adjusted loss from continuing operations and adjusted diluted loss per share from continuing operations do not have a standardized meaning prescribed by GAAP and thus are not comparable to similarly titled measures presented by other issuers. The Company believes that the presentation of these non-GAAP measures enables the Company and its shareholders to better assess the Company's operating results relative to its operating results in prior periods and improves the comparability of the information presented. Investors should consider these non-GAAP measures in the context of the Company's GAAP results.


(1)   As part of the Company's ongoing effort to streamline its operations
      and increase efficiency, the Company commenced the CORE program in
      March 2012. Further, the Company announced the formation of a special
      committee to conduct an organizational strategic review on August 12,
      2013. During fiscal 2014, the Company incurred approximately $512
      million in total pre-tax charges related to the CORE program and
      strategic review process. Substantially all of the pre-tax charges are
      related to one-time employee termination benefits, facilities and
      manufacturing costs related to the CORE program and legal and
      financial advisory costs related to the strategic review process.
      During fiscal 2014, pre-tax charges of approximately $103 million were
      included in cost of sales, charges of approximately $76 million were
      included in research and development and charges of approximately $333
      million were included in selling, marketing, and administration
      expenses.
(2)   During the fourth quarter of fiscal 2014, the Company recorded a non-
      cash charge associated with the change in the fair value of the
      Debentures of approximately $382 million. This adjustment was
      presented on a separate line in the Statements of Operations.
(3)   During the fourth quarter of fiscal 2014, the Company recorded a
      recovery of previous charges against inventory and supply commitments
      of approximately $149 million, or $106 million after tax, to reflect
      increased sell through rates, relative to the estimates and
      assumptions previously considered, resulting from discounted pricing
      and revised orders on hand for devices and components of BlackBerry 10
      products.
(4)   During the third quarter of fiscal 2014 the Company performed a long-
      lived asset impairment test and based on the results of that test, the
      Company recorded a non-cash LLA Impairment Charge of approximately
      $2.7 billion pre-tax, or $2.5 billion after tax.
(5)   During the third quarter of fiscal 2014, the Company recorded a
      primarily non-cash, pre-tax charge against inventory and supply
      commitments of approximately $1.6 billion, or $1.3 billion after tax,
      which was primarily attributable to BlackBerry 10 devices.
(6)   During the second quarter of fiscal 2014, the Company recorded a
      primarily non-cash, pre-tax charge against inventory and supply
      commitments of approximately $934 million, or $666 million after tax,
      which was primarily attributable to BlackBerry Z10 devices.

Supplementary Geographic Revenue Breakdown


                             Blackberry Limited
                    (United States dollars, in millions)
                              Revenue by Region


                                     For the quarter ended
                   ---------------------------------------------------------
                      March 1, 2014    November 30, 2013   August 31, 2013
                   ---------------------------------------------------------
North America       $     297    30.4% $     340    28.5% $     414    26.3%
Europe, Middle East
 and Africa               412    42.2%       549    46.0%       686    43.6%
Latin America             127    13.0%       135    11.3%       196    12.5%
Asia Pacific              140    14.4%       169    14.2%       277    17.6%
                   ---------------------------------------------------------
Total               $     976   100.0% $   1,193   100.0% $   1,573   100.0%
                   ---------------------------------------------------------
                   ---------------------------------------------------------

                           For the quarter ended
                   --------------------------------------
                      June 1, 2013       March 2, 2013
                   --------------------------------------
North America       $     761    24.8% $     587    21.9%
Europe, Middle East
 and Africa             1,343    43.7%     1,227    45.8%
Latin America             449    14.6%       479    17.9%
Asia Pacific              518    16.9%       385    14.4%
                   --------------------------------------
Total               $   3,071   100.0% $   2,678   100.0%
                   --------------------------------------
                   --------------------------------------

Conference Call and Webcast

A conference call and live webcast will be held beginning at 8 am ET, which can be accessed by dialing 1-800-814-4859 or through your BlackBerry® 10 smartphone, personal computer or BlackBerry® PlayBook™ tablet at http://ca.blackberry.com/company/investors/events.html. A replay of the conference call will also be available at approximately 10 am by dialing (+1)416-640-1917 and entering pass code 4612572# or by clicking the link above on your BlackBerry® 10 smartphone, personal computer or BlackBerry® PlayBook™ tablet. This replay will be available until midnight ET April 11, 2014.

About BlackBerry

A global leader in mobile communication, BlackBerry® revolutionized the mobile industry when it was introduced in 1999. Today, BlackBerry aims to inspire the success of our millions of customers around the world by continuously pushing the boundaries of mobile experiences. Founded in 1984 and based in Waterloo, Ontario, BlackBerry operates offices in North America, Europe, Asia Pacific and Latin America. BlackBerry is listed on the NASDAQ Stock Market (NASDAQ: BBRY) and the Toronto Stock Exchange (TSX: BB). For more information, visit www.blackberry.com.

This news release contains forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995 and Canadian securities laws, including statements regarding: BlackBerry's plans, strategies and objectives, and the anticipated opportunities and challenges in fiscal 2015; BlackBerry's expectations with respect to the sufficiency of its financial resources, including the anticipated receipt of a significant income tax refund in the first half of fiscal 2015; BlackBerry's expectations regarding targeting break even cash flow results by the end of fiscal 2015; BlackBerry's expectations regarding new product initiatives and their timing, including BlackBerry Enterprise Service 10, BES 12, BlackBerry 10 smartphones and services related to BlackBerry Messenger ("BBM"), QNX software products and the QNX cloud-based machine to machine solution; BlackBerry's plans and expectations regarding its existing and new service offerings, assumptions regarding its service revenue model, and the anticipated levels of decline in service revenue in the first quarter of fiscal 2015; anticipated demand for, and BlackBerry's plans and expectations relating to its BlackBerry 7 and 10 smartphones, including programs to drive sell-through of these smartphones; BlackBerry's on-going efforts to streamline its operations and its expectations relating to the benefits of its CORE program and similar strategies; BlackBerry's plans to continue implementation of a workforce reduction of approximately 4,500 positions; BlackBerry' plans and expectations regarding marketing and promotional programs; BlackBerry's estimates of purchase obligations and other contractual commitments; and assumptions and expectations described in BlackBerry's critical accounting estimates and accounting policies. The terms and phrases "expect", "anticipate", "estimate", "may", "will", "should", "intend", "believe", "plan" and similar expressions are intended to identify these forward-looking statements. Forward-looking statements are based on estimates and assumptions made by BlackBerry in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors that BlackBerry believes are appropriate in the circumstances, including, but not limited, to BlackBerry's expectations regarding its business, strategy, opportunities and prospects, including its ability to implement meaningful changes to address its business challenges, the launch of products based on the BlackBerry 10 platform, general economic conditions, product pricing levels and competitive intensity, supply constraints, and BlackBerry's expectations regarding the cash flow generation of its business and the sufficiency of its financial resources.

Many factors could cause BlackBerry's actual results, performance or achievements to differ materially from those expressed or implied by the forward-looking statements, including, without limitation: risks related to BlackBerry's ability to implement and realize the benefits of its strategic initiatives, including a return to its core strength of enterprise and security, changes to its Devices Business, including the new partnership with Foxconn, and the planned transition to an operating unit organizational structure consisting of the Devices Business, Enterprise Services, QNX Embedded Business and Messaging; BlackBerry's ability to maintain existing enterprise customer relationships and to transition such customers to the BES 10 platform and deploy BlackBerry 10 smartphones, and the risk that current BES 10 test installations may not convert to commercial installations; BlackBerry's ability to enhance its current products and services, or develop new products and services in a timely manner or at competitive prices, including risks related to new product introductions; the risk that uncertainty relating to BlackBerry's recently completed strategic review process, as well as previously disclosed announcements concerning BlackBerry's operational restructuring, recent management changes and workforce reductions, may adversely impact BlackBerry's business, existing and future relationships with business partners and end customers of its products and services, and its ability to attract and retain key employees; risks related to BlackBerry's ability to offset or mitigate the impact of the decline in its service access fees on its consolidated revenue by developing an integrated services and software offering; intense competition, rapid change and significant strategic alliances within BlackBerry's industry; BlackBerry's ability to adapt to, and realize the anticipated benefit of, recent management changes; BlackBerry's increasing reliance on third-party manufacturers for certain products and its ability to manage its production and repair process, and risks related to BlackBerry changing manufacturers or reducing the number of manufacturers or suppliers it uses; risks related to BlackBerry's ability to implement and to realize the benefits of its previously-disclosed operational restructuring initiatives, including its CORE program, and its ability to continue to realize cost reductions in the future, including the on-going efforts to continue to implement a workforce reduction of approximately 4,500 positions by the end of the first quarter of fiscal 2015; the risk that workforce reductions may result in a disruption to business critical processes and the effectiveness of the Company's internal controls; BlackBerry's ability to maintain its existing relationships with its carrier partners and distributors;

BlackBerry's ability to maintain or increase its liquidity, its existing cash balance, to access existing or potential alternative sources of funding, the sufficiency of its financial resources, and its ability to service its debt; risks related to the Company's significant indebtedness; BlackBerry's ability to manage inventory and asset risk and the potential for additional charges related to its inventory; potential additional charges relating to the impairment of intangible assets recorded on BlackBerry's balance sheet; security risks; BlackBerry's ability to successfully maintain and enhance its brand; risks relating to network disruptions and other business interruptions, including costs, potential liabilities, lost revenues and reputational damage associated with service interruptions; risks associated with BlackBerry's foreign operations, including risks related to recent political and economic developments in Venezuela and Argentina and the impact of foreign currency restrictions; risks related to litigation, including litigation claims arising from BlackBerry's practice of providing forward-looking guidance; risks related to the failure of BlackBerry's suppliers and other parties it does business with to use acceptable ethical business practices; risks related to intellectual property rights; reliance on strategic alliances with third-party network infrastructure developers, software platform vendors and service platform vendors; risks related to the collection, storage, transmission, use and disclosure of confidential and personal information; BlackBerry's reliance on suppliers of functional components for its products and risks relating to its supply chain; BlackBerry's ability to obtain rights to use software or components supplied by third parties; BlackBerry's ability to expand and manage BlackBerry® World™; risks related to government regulations, including regulations relating to encryption technology; potential defects and vulnerabilities in BlackBerry's products; risks as a result of actions of activist shareholders; risks related to BlackBerry possibly losing its foreign private issuer status under U.S. federal securities laws; government regulation of wireless spectrum and radio frequencies; risks related to economic and geopolitical conditions; risks associated with acquisitions; foreign exchange risks; and difficulties in forecasting BlackBerry's financial results given the rapid technological changes, evolving industry standards, intense competition and short product life cycles that characterize the wireless communications industry.

These risk factors and others relating to BlackBerry are discussed in greater detail in the "Risk Factors" section of BlackBerry's Annual Information Form, which is included in its Annual Report on Form 40-F and the "Cautionary Note Regarding Forward-Looking Statements" section of BlackBerry's MD&A (copies of which filings may be obtained at www.sedar.com or www.sec.gov). These factors should be considered carefully, and readers should not place undue reliance on BlackBerry's forward-looking statements. BlackBerry has no intention and undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

The BlackBerry family of related marks, images and symbols are the exclusive properties and trademarks of BlackBerry Limited. BlackBerry, BBM, QNX and related trademarks are registered with the U.S. Patent and Trademark Office and may be pending or registered in other countries. All other brands, product names, Company names, trademarks and service marks are the properties of their respective owners.



                             BlackBerry Limited
                   Incorporated under the Laws of Ontario
   (United States dollars, in millions except share and per share amounts)
                                (unaudited)

                    Consolidated Statements of Operations



                        For the three months ended      For the year ended
                   ---------------------------------------------------------

                        March   November       March      March       March
                      1, 2014   30, 2013     2, 2013    1, 2014     2, 2013
----------------------------------------------------------------------------
Revenue             $     976  $   1,193   $   2,678  $   6,813   $  11,073
Cost of sales             423      2,457       1,603      6,856       7,639
                   ---------------------------------------------------------
Gross margin              553     (1,264)      1,075        (43)      3,434
                   ---------------------------------------------------------
  Gross margin %         56.7%    (106.0)%      40.1%      (0.6)%      31.0%
Operating expenses
  Research and
   development            246        322         383      1,286       1,509
  Selling,
   marketing and
   administration         355        548         523      2,103       2,111
  Amortization            107        148         181        606         714
  Impairment of
   long-lived
   assets                   -      2,748           -      2,748           -
  Impairment of
   goodwill                 -          -           -          -         335
  Debentures fair
   value adjustment       382         (5)          -        377           -
                   ---------------------------------------------------------
                        1,090      3,761       1,087      7,120       4,669
                   ---------------------------------------------------------
Operating loss           (537)    (5,025)        (12)    (7,163)     (1,235)
  Investment income
   (loss), net            (20)         -          (6)       (21)         15
                   ---------------------------------------------------------
Loss from
 continuing
 operations before
 income taxes            (557)    (5,025)        (18)    (7,184)     (1,220)
Recovery of income
 taxes                   (134)      (624)       (112)    (1,311)       (592)
                   ---------------------------------------------------------
Income (loss) from
 continuing
 operations              (423)    (4,401)         94     (5,873)       (628)
Income (loss) from
 discontinued
 operations, net of
 tax                        -          -           4          -         (18)
                   ---------------------------------------------------------
Net income (loss)   $    (423) $  (4,401)  $      98  $  (5,873)  $    (646)
                   ---------------------------------------------------------
                   ---------------------------------------------------------
Earnings (loss) per
 share
  Basic and diluted
   earnings (loss)
   per share from
   continuing
   operations           (0.80)     (8.37)       0.18     (11.18)      (1.20)
  Basic and diluted
   earnings (loss)
   per share from
   discontinued
   operations               -          -        0.01          -       (0.03)
                   ---------------------------------------------------------
  Total basic and
   diluted earnings
   (loss) per share $   (0.80) $   (8.37)  $    0.19  $  (11.18)  $   (1.23)
                   ---------------------------------------------------------
                   ---------------------------------------------------------
Weighted-average
 number of common
 shares outstanding
 (000's)
  Basic               526,374    525,656     524,160    525,168     524,160
  Diluted             526,374    525,656     527,222    525,168     524,160
Total common shares
 outstanding
 (000's)              526,552    526,184     524,160    526,552     524,160




                             BlackBerry Limited
                   Incorporated under the Laws of Ontario
   (United States dollars, in millions except per share data) (unaudited)

                         Consolidated Balance Sheets


                                                    March             March
As at                                             1, 2014           2, 2013
----------------------------------------------------------------------------
Assets
Current
  Cash and cash equivalents              $          1,579  $          1,549
  Short-term investments                              950             1,105
  Accounts receivable, net                            972             2,353
  Other receivables                                   152               272
  Inventories                                         244               603
  Income taxes receivable                             373               597
  Other current assets                                505               469
  Deferred income tax asset                            73               139
  Assets held for sale                                209               354
                                        ------------------------------------
                                                    5,057             7,441
Long-term investments                                 129               221
Property, plant and equipment, net                    942             2,073
Intangible assets, net                              1,424             3,430
                                        ------------------------------------
                                         $          7,552  $         13,165
                                        ------------------------------------
                                        ------------------------------------
Liabilities
Current
  Accounts payable                       $            474  $          1,064
  Accrued liabilities                               1,214             1,854
  Deferred revenue                                    580               542
                                        ------------------------------------
                                                    2,268             3,460
Long-term debt                                      1,627                 -
Deferred income tax liability                          32               245
                                        ------------------------------------
                                                    3,927             3,705
                                        ------------------------------------
Shareholders' Equity
Capital stock and additional paid-in
 capital                                            2,418             2,431
Treasury stock                                       (179)             (234)
Retained earnings                                   1,394             7,267
Accumulated other comprehensive income
 loss                                                  (8)               (4)
                                        ------------------------------------
                                                    3,625             9,460
                                        ------------------------------------
                                         $          7,552  $         13,165
                                        ------------------------------------
                                        ------------------------------------


                             BlackBerry Limited
                   Incorporated under the Laws of Ontario
   (United States dollars, in millions except per share data) (unaudited)

                    Consolidated Statements of Cash Flows


                                                  For the year ended
                                        ------------------------------------

                                                    March             March
                                                  1, 2014           2, 2013
----------------------------------------------------------------------------
Cash flows from operating activities
Loss from continuing operations          $         (5,873) $           (628)
Loss from discontinued operations                       -               (18)
                                        ------------------------------------
Net loss                                           (5,873)             (646)
Adjustments to reconcile net loss to net
 cash provided by (used in) operating
 activities:
Amortization                                        1,270             1,918
Deferred income taxes                                (149)               87
Stock-based compensation                               68                86
Impairment of long-lived assets                     2,748                 -
Impairment of goodwill                                  -               335
Debentures fair value adjustment                      377                 -
Other                                                 141                36
Net changes in working capital items                1,259               487
                                        ------------------------------------
Net cash provided by (used in) operating
 activities                                          (159)            2,303
                                        ------------------------------------
Cash flows from investing activities
Acquisition of long-term investments                 (229)             (296)
Proceeds on sale or maturity of long-
 term investments                                     284               227
Acquisition of property, plant and
 equipment                                           (283)             (418)
Proceeds on sale of property, plant and
 equipment                                             49                 5
Acquisition of intangible assets                   (1,080)           (1,005)
Business acquisitions, net of cash
 acquired                                              (7)              (60)
Acquisition of short-term investments              (1,699)           (1,472)
Proceeds on sale or maturity of short-
 term investments                                   1,925               779
                                        ------------------------------------
Net cash used in investing activities              (1,040)           (2,240)
                                        ------------------------------------
Cash flows from financing activities
Issuance of common shares                               3                 -
Tax deficiencies related to stock-based
 compensation                                         (13)              (11)
Purchase of treasury stock                            (16)              (25)
Issuance of debt                                    1,250                 -
                                        ------------------------------------
Net cash provided by (used in) financing
 activities                                         1,224               (36)
                                        ------------------------------------
Effect of foreign exchange gain (loss)
 on cash and cash equivalents                           5                (5)
Net increase in cash and cash
 equivalents for the year                              30                22
Cash and cash equivalents, beginning of
 year                                               1,549             1,527
                                        ------------------------------------
Cash and cash equivalents, end of year   $          1,579  $          1,549
                                        ------------------------------------
                                        ------------------------------------


----------------------------------------------------------------------------
                                                    March          November
As at                                             1, 2014          30, 2013
----------------------------------------------------------------------------
Cash and cash equivalents                $          1,579  $          2,274
Short-term investments                                950               788
Long-term investments                                 129               130
                                        ------------------------------------
                                         $          2,658  $          3,192
                                        ------------------------------------
                                        ------------------------------------

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Akana has announced the availability of the new Akana Healthcare Solution. The API-driven solution helps healthcare organizations accelerate their transition to being secure, digitally interoperable businesses. It leverages the Health Level Seven International Fast Healthcare Interoperability Resources (HL7 FHIR) standard to enable broader business use of medical data. Akana developed the Healthcare Solution in response to healthcare businesses that want to increase electronic, multi-device access to health records while reducing operating costs and complying with government regulations.
SYS-CON Events announced today that the "Second Containers & Microservices Expo" will take place November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Containers and microservices have become topics of intense interest throughout the cloud developer and enterprise IT communities.
The 17th International Cloud Expo has announced that its Call for Papers is open. 17th International Cloud Expo, to be held November 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, brings together Cloud Computing, APM, APIs, Microservices, Security, Big Data, Internet of Things, DevOps and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal today!
SYS-CON Events announced today that IceWarp will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. IceWarp, the leader of cloud and on-premise messaging, delivers secured email, chat, documents, conferencing and collaboration to today's mobile workforce, all in one unified interface
SYS-CON Events announced today that Micron Technology, Inc., a global leader in advanced semiconductor systems, will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Micron’s broad portfolio of high-performance memory technologies – including DRAM, NAND and NOR Flash – is the basis for solid state drives, modules, multichip packages and other system solutions. Backed by more than 35 years of technology leadership, Micron's memory solutions enable the world's most innovative computing, consumer,...
SYS-CON Events announced today the Containers & Microservices Bootcamp, being held November 3-4, 2015, in conjunction with 17th Cloud Expo, @ThingsExpo, and @DevOpsSummit at the Santa Clara Convention Center in Santa Clara, CA. This is your chance to get started with the latest technology in the industry. Combined with real-world scenarios and use cases, the Containers and Microservices Bootcamp, led by Janakiram MSV, a Microsoft Regional Director, will include presentations as well as hands-on demos and comprehensive walkthroughs.
SYS-CON Events announced today that Pythian, a global IT services company specializing in helping companies leverage disruptive technologies to optimize revenue-generating systems, has been named “Bronze Sponsor” of SYS-CON's 17th Cloud Expo, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. Founded in 1997, Pythian is a global IT services company that helps companies compete by adopting disruptive technologies such as cloud, Big Data, advanced analytics, and DevOps to advance innovation and increase agility. Specializing in designing, imple...
In his session at @ThingsExpo, Lee Williams, a producer of the first smartphones and tablets, will talk about how he is now applying his experience in mobile technology to the design and development of the next generation of Environmental and Sustainability Services at ETwater. He will explain how M2M controllers work through wirelessly connected remote controls; and specifically delve into a retrofit option that reverse-engineers control codes of existing conventional controller systems so they don't have to be replaced and are instantly converted to become smart, connected devices.
17th Cloud Expo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy. Meanwhile, 94% of enterprises are using some form of XaaS – software, platform, and infrastructure as a service.
With the Apple Watch making its way onto wrists all over the world, it’s only a matter of time before it becomes a staple in the workplace. In fact, Forrester reported that 68 percent of technology and business decision-makers characterize wearables as a top priority for 2015. Recognizing their business value early on, FinancialForce.com was the first to bring ERP to wearables, helping streamline communication across front and back office functions. In his session at @ThingsExpo, Kevin Roberts, GM of Platform at FinancialForce.com, will discuss the value of business applications on wearable ...
The 3rd International WebRTC Summit, to be held Nov. 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA, announces that its Call for Papers is now open. Topics include all aspects of improving IT delivery by eliminating waste through automated business models leveraging cloud technologies. WebRTC Summit is co-located with 15th International Cloud Expo, 6th International Big Data Expo, 3rd International DevOps Summit and 2nd Internet of @ThingsExpo. WebRTC (Web-based Real-Time Communication) is an open source project supported by Google, Mozilla and Opera that aims to enable bro...
WebRTC services have already permeated corporate communications in the form of videoconferencing solutions. However, WebRTC has the potential of going beyond and catalyzing a new class of services providing more than calls with capabilities such as mass-scale real-time media broadcasting, enriched and augmented video, person-to-machine and machine-to-machine communications. In his session at @ThingsExpo, Luis Lopez, CEO of Kurento, will introduce the technologies required for implementing these ideas and some early experiments performed in the Kurento open source software community in areas ...
Consumer IoT applications provide data about the user that just doesn’t exist in traditional PC or mobile web applications. This rich data, or “context,” enables the highly personalized consumer experiences that characterize many consumer IoT apps. This same data is also providing brands with unprecedented insight into how their connected products are being used, while, at the same time, powering highly targeted engagement and marketing opportunities. In his session at @ThingsExpo, Nathan Treloar, President and COO of Bebaio, will explore examples of brands transforming their businesses by t...
SYS-CON Events announced today that HPM Networks will exhibit at the 17th International Cloud Expo®, which will take place on November 3–5, 2015, at the Santa Clara Convention Center in Santa Clara, CA. For 20 years, HPM Networks has been integrating technology solutions that solve complex business challenges. HPM Networks has designed solutions for both SMB and enterprise customers throughout the San Francisco Bay Area.
While many app developers are comfortable building apps for the smartphone, there is a whole new world out there. In his session at @ThingsExpo, Narayan Sainaney, Co-founder and CTO of Mojio, will discuss how the business case for connected car apps is growing and, with open platform companies having already done the heavy lifting, there really is no barrier to entry.
Too often with compelling new technologies market participants become overly enamored with that attractiveness of the technology and neglect underlying business drivers. This tendency, what some call the “newest shiny object syndrome,” is understandable given that virtually all of us are heavily engaged in technology. But it is also mistaken. Without concrete business cases driving its deployment, IoT, like many other technologies before it, will fade into obscurity.
With major technology companies and startups seriously embracing IoT strategies, now is the perfect time to attend @ThingsExpo in Silicon Valley. Learn what is going on, contribute to the discussions, and ensure that your enterprise is as "IoT-Ready" as it can be! Internet of @ThingsExpo, taking place Nov 3-5, 2015, at the Santa Clara Convention Center in Santa Clara, CA, is co-located with 17th Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. The Internet of Things (IoT) is the most profound change in personal an...
As more intelligent IoT applications shift into gear, they’re merging into the ever-increasing traffic flow of the Internet. It won’t be long before we experience bottlenecks, as IoT traffic peaks during rush hours. Organizations that are unprepared will find themselves by the side of the road unable to cross back into the fast lane. As billions of new devices begin to communicate and exchange data – will your infrastructure be scalable enough to handle this new interconnected world?
With the proliferation of connected devices underpinning new Internet of Things systems, Brandon Schulz, Director of Luxoft IoT – Retail, will be looking at the transformation of the retail customer experience in brick and mortar stores in his session at @ThingsExpo. Questions he will address include: Will beacons drop to the wayside like QR codes, or be a proximity-based profit driver? How will the customer experience change in stores of all types when everything can be instrumented and analyzed? As an area of investment, how might a retail company move towards an innovation methodolo...
The Internet of Things is in the early stages of mainstream deployment but it promises to unlock value and rapidly transform how organizations manage, operationalize, and monetize their assets. IoT is a complex structure of hardware, sensors, applications, analytics and devices that need to be able to communicate geographically and across all functions. Once the data is collected from numerous endpoints, the challenge then becomes converting it into actionable insight.