Welcome to EMC’s call to discuss our financial results for the first quarter of 2009. Today we are joined by Joe Tucci, EMC Chairman, President and CEO and David Goulden, EMC Executive Vice President and CFO. David will provide a few comments about the results that we released this morning. He will highlight some of EMC’s activities this quarter and discuss the modeling assumptions for 2009. Joe will then spend some time discussing his view on what is happening in the market, EMC’s execution of the strategy and how EMC is positioned. After the prepared remarks we will then open up the lines to take your questions. I would like to point out that we will be highlighting various non-GAAP numbers in today’s presentation. The reconciliation of our non-GAAP comments to our GAAP results can be found in the disclosure today in our press release, supplemental schedules and the slides that accompany our presentations. All of these are available for download within the investor relations section of EMC.com. As always we have provided detailed financial tables in our news release and on our corporate website. With regard to these details of the VMare’s results, we refer you their financial release from last night. The call this morning will contain forward-looking statements. Information concerning factors that could cause actual results to differ can be found in EMC’s filings with the US Securities & Exchange Commission. Lastly, I will note that an archive of today’s presentation will be available following the call. With that, it is now my pleasure to introduce David Goulden.

In Q1 EMC achieved revenue of $3.15 billion, non-GAAP EPS of $0.16 and free cash flow of $681 million. Given the very tough economic environment and the transactional nature of our business we were encouraged by the resilience of our business model. We took a proactive approach adjusting our business to this changing climate and we are very focused on managing the controllables in our business. I think we did a great job of that in Q1. We executed well on our cost reduction plans, maintained disciplined expense control, reduced inventories and held a strong DSO number, all which resulted in decent profitability and excellent free cash flow this quarter. I would like to thank our global workforce for their efforts here. In Q1 we also made good progress on our plans towards reducing our long term cost structure and improving the future efficiencies of our global operations. Importantly, we also utilized our financial strength to continue our investments in industry leading products and services. This dual focus on efficiency and investments is key to reinforcing EMC’s strong position to weather this down turn, take share in our addressable markets and position EMC for even more success when the economy turns around. Now, let’s take a closer look at the financial results for the quarter. EMC information infrastructure revenues in Q1 were $2.7 billion and this includes approximately 400 basis points of negative impact from currency. Non-GAAP earnings per share were $0.11 and free cash flow was $494 million, more than $260 million higher than non-GAAP net income. Looking at our geographic results for the information infrastructure business in Q1, non-US revenues were 48% of the revenue mix. We saw the effect of weak enterprise spending across the vast majority of our markets during the quarter. On a global basis…

I would also like to extend my welcome to everyone joining our conference call today. As always, thank you for your interest in EMC. Q1 was to say the least an interesting and extremely busy quarter for us. We had to get a handle on how this economic recession and tight capital spending environment would affect our customer’s spending. We had to execute on our own rightsizing and cost saving initiatives. We had to finalize preparation for our investor’s day strategic forum which we held on March 10th. We had to forge tighter and deeper strategic alliances with core partners for the future such as CISCO, Intel and SAP on the technology side, Accenture, Web Pro, TCS, ACS and EDS in services, with channel partners like CDW, Arrow, Avnet, [Ningrim], with systems partners like Fujitsu and yes, with Dell. Michael Dell and I with our collective teams have been spending considerable time ensuring our new truly important alliance is back on track. But, it goes without saying that I am proud of the EMC and VMware teams across the global they fought hard every day. They exhibited a winning attitude, a relentless focus on our customers, they have a great belief in our innovative products and services and they are charged up about our future. Additionally, in Q1 we had to get ourselves ready for the most extensive set of product launches in our history including the very important transition plans that always accompany any major product introduction. Of course, in a very, very tough and uncertain quarter we had to book, ship and build the vast majority of our Q1 revenues to produce our top line of $3.15 billion. This result fell short of our internal goals of $3.2 billion plus. I do believe this result when compared to…

Before we open up the call for your questions, as usual we ask you to try and limit yourself to one question including clarifications. This will enable us to take as many questions as possible. We thank you all for your cooperation in this matter. Operator, can we open up the lines.

(Operator Instructions) Your first question comes from Amit Daryanani – RBC Capital Markets. Amit Daryanani – RBC Capital Markets: Just a question, I’m trying to understand in March at the analyst meeting you guys talked about IT spending being down mid to high single digits and now it looks like we’re talking about it being down almost low teens. It didn’t sound like demand patterns changed much for us so what’s really driving your expectation of a worse IT spending pattern?

It’s just what we saw in the market. Obviously when we talked to you in January we were giving you everything we believe, everything that we were seeing at that time. As we went in to January and February and we watched other results and the guidance of others, we clearly believed that this was going to be a little tougher than we originally thought which is again, why we’re taking the additional expense reduction and as always we’re telling you how we’re seeing it and this is how we’re seeing it right now.

If you go back and think of what the global economic situation was in January, people are saying that it might be a global recession. Now, if you look at things in April there’s no doubt it’s going to be a pretty big global recession, the first on in the last 60 years so that’s a significant change just in the whole global environment. From an economic perspective that’s happened from January through to now and that difference is also driving our different view in IT spending.

Your next question comes from Aaron Rakers – Stifel Nicolaus Investment Advisors. Aaron Rakers – Stifel Nicolaus Investment Advisors: I guess if I look at the cost cuttings that you guys are implementing through 2009 now at $450 million on the core information infrastructure business, can you help me understand how to model that through this year? And, how much maybe with op ex down $200 plus million non-GAAP, how much is already been kind of been floating in to the model already?

As we said, the $450 is still going to be about one third in COGS and two thirds in op ex. The extra $100 that we spoke about is really all going to be aimed at the second half of the year. Most of it is related to the salary reductions that Joe mentioned that we’ll be implementing later in this quarter that will be in place for the rest of the year. So, that kind of leaves us with the original $360 which we spoke about and again, that will be more vast towards the second half. As I mentioned, we did a little better than you would expect in Q1. Just to kind of give you a couple more numbers, if you basically take the original $350 and you say there will be two thirds sitting in op ex, that would give you roughly $250 of savings. If you were expecting that in Q1 we would have probably saved in the $30 to $50 million range in op ex in Q1. You saw the savings was much higher than that and the difference was mainly because we had that additional currency benefit, some additional one-time benefit like vacation accruals that we changed because there was a change in vacation policy and also because we’ve really cut things down. Hopefully, that gives you a flavor of the moving parts.

Your next question comes from [Mark Kelleher – Brigg & Tante Advisors]. [Mark Kelleher – Brigg & Tante Advisors]: V-max is certainly a great new architecture. Can you comment on the product transition issues that may have affected the SIM sales in the quarter? Gross margin, sales cycle extensions, things like that?

It’s hard to say. We did hundreds and hundreds of NDA, non-disclosure agreements with customers telling them about V-max so obviously it was well known how much that affected the quarter versus the general economic environment. It is hard to say. For sure, most of it was the economic environment but clearly there was some stalling in the Symmetrix line as customers did wait for V-max and obviously we have a very carefully planned transition here. This is the biggest change as Dave Donatelli and his team pointed out in the announcement, this is the biggest change in the history of Symmetrix in terms of architecture and approach with the scale up and scale out architecture, the switching of underlying engines. So, I expect this transition could take a little longer than normal but, it’s going to be strong and its going to increase the addressable market for Symmetrix so we have a tremendous belief in the success of this product.

Your next question comes from Toni Sacconaghi – Sanford Bernstein. Toni Sacconaghi – Sanford Bernstein: I just wanted to explore the gross margin question. David, I think you had said that it was almost entirely due to volume. Can you comment on what percentage of your COGS are fixed today? is that 20% to 30%, how we should think about that? Then secondly, you said almost all of it was related to fixed cost but Joe said we provided additional financial benefit to customers which to me sounds like a subtle way of saying that you were more flexible on pricing. So, can you comment on what impact you thought pricing had in the quarter and whether that was more pronounced on larger deals or in certain segments?

If you look sequentially gross margins for infrastructure were down about three points. Over 80% of that reduction can be attributed to volume. We did as Joe mentioned, offer customers some pricing programs so there was a little bit of what I call mix/pricing in there and by mix obviously you saw we had relatively better performance in some of our international markets. Some of those carry a lower gross margin, places like China, so that impacted things a little bit. So, despite the fact that we did offer customer pricing incentives, basically we were able to offset most of those through the continued reduction in costs through our supply chain and there was very little net impact over and above volume and mix from a geographic point of view in the quarter.

Your next question comes from David Bailey – Goldman Sachs. David Bailey – Goldman Sachs: I’m just trying to parse through your comments about 2009. You say the profitability should improve in the second half of the year compared to Q1. Does that imply that profitability in Q2 will be flat or down?

We actually don’t make any specific comments about Q2 but I did mention a couple of facts that will impact that. I mentioned that VMware will cost us a couple of cents of EPS in Q2 basically $0.01 roughly from their operating performance EBIT, $0.01 from the impact of FAS 86 software capitalization so those are headwinds we have to push against in Q2. They’re not insignificant headwinds. Obviously offsetting that we’ve got some additional cost reductions, as I mentioned to you we did have some things in Q1, the cost side that won’t recur in Q2 so there will be a bunch of puts and takes so we’re not calling a number for Q2 specifically but you can see how some of those moving parts might impact Q2.

To give you just a little bit of color, I’m not going to repeat what you just said, I do not see an improvement in Q2 over Q1 for the industry. I basically believe that I don’t believe that the IT spending is going to get – that will be pretty close to the bottom, I just believe that. I’m not saying you’re going to see a significant pickup in Q3 but I do think as we get in to Q4 you’ll see some and then I think obviously the recovery will be slow to normal coming out of there. So, that’s what I believe and that’s the environment EMC is operating in. You saw our Q1 results, so you have to make your own judgments.

Your next question comes from Bill Shope – Credit Suisse. Bill Shope – Credit Suisse: I just want to get a little more clarification on the op ex savings based on your previous commentary. Are you guys saying that a large portion of the 1Q op ex savings were outside of the official restructuring program? And, would that imply that we should be thinking about pulling the savings off of a run rate from 1Q op ex or am I misunderstanding that?

Bill, just to help you quantify it, roughly half of the op ex savings in Q1 were kind of things that were over and above the official cost savings program. So, when you look at the $90 million we saved on a non-GAAP basis op ex year-on-year think in terms of kind of half of that came from our published cost reduction program and the other half came from the three other factors I mentioned that add up to again roughly half the total savings.

Your next question comes from Kathryn Huberty – Morgan Stanley. Kathryn Huberty – Morgan Stanley: David, you mentioned linearity was skewed towards the month of March and the quarter. Was that the case for both enterprise and the channel business or were the stories different in the two segments?

Katie, it was certainly March was better in both. It was more pronounced in the enterprise but we did see improvements in March relative to January and February from a tone in the other segments of the business as well. But, mainly in the enterprise.

Your next question comes from Brian Freed – Morgan Keegan & Company, Inc. Brian Freed – Morgan Keegan & Company, Inc.: You guys spoke to the broader IT market in your view but with respect to the storage market specifically how do you think that’s going to fair from a forecast perspective in ’09? Secondly, can you speak briefly as to trends April to date?

When you think of the infrastructure Brian and you think of the three major elements: network; storage; and servers, clearly of those three I believe storage while you’ve seen the declines for Q1 in the companies, I think if you add that all up I think you’re going to be someplace in the mid teens and I think you’re probably going to be 20 or north of 20 in the sever market and based on some of the guidance we’re seeing in the networking space that will probably be a little bit north of where the storage is also. I think this is one of those times when all infrastructure elements are going to be affected. I do think compared to the two other major elements it will be a little bit better but still going to be affected.

Your next question comes from Keith Bachman – Bank of Montreal. Keith Bachman – Bank of Montreal: I wanted to follow up and ask about gross margins, specifically it sounds like we should be thinking about having gross margins being flattish in the June quarter, question number one. Then secondly, my understanding of the cost cuts that would layer in to the gross margins, those would likely be eaten up in the second half of the year in such that we should be thinking about volume potentially helping gross margins in the second half of the year. But, I just wanted to see if you could offer any color on gross margins generally.

Again, trying to keep off being specific around the June quarter because we’re not giving guidance but basically we expect the environment that drove margin to the Q1 levels to kind of continue to persist in Q2 so other than a little bit of cost savings, which could be offset by customer pricing programs, not a lot of moving parts relative to Q1 and Q2 in the gross margin side. Yes, volume as I mentioned was the biggest driver of the margin reduction from Q4 to Q1 so assuming our predictions are correct and we see more spending in the second half with volumes picking up that will be a positive impact for gross margins in the second half.

Your next question comes from Rajesh Ghai – ThinkEquity. Rajesh Ghai – ThinkEquity: I had a question following up on product margin. I understand that a component of that was related to volume, a component of that was related to pricing pressure, now given that we’ve been in a recession for about a year and a half now and pricing has been a little weak, do you see pricing returning when demand picks up? Just kind of if you can give some color on that moving forward, how does the pricing trend?

David can give you more details but if I understand your question, I mean you’ve got three factors here, the decrease in volume is causing most of the pain, we are giving some better pricing so that’s causing some pain. On the other side as part of our prosperity program and cost control we are getting some good gains in the COGS area in terms of savings and of course that goes the other way. I don’t know David if you want to add to that. That’s definitely a decrease in volume, a decrease from discounting and definitely a pickup because we’re doing a better job on COGS.

I think your question was when things return where does pricing power sit. I think as Joe said, it’s going to be a slow pull out when the pull out occurs. So, we don’t see a lot changing on the pricing side. Many customers are still looking for a great value. We mentioned that we’re doing a bunch of things to kind of help them through customer programs. We’ve been able to offset most of that through our cost reductions through our supply chain and we don’t see that environment changing in the foreseeable future.

Obviously, the whole game for us is to also take share. This is why we’re continuing our significant level of investment, more than double anybody else for sure in R&D and storage and that’s why we’re keeping our sales organization, support organization strong to make sure we can capture those opportunities. That’s a very important part of how the volume starts going the other way in the future.

Your next question comes from William Fearnley – FTN Midwest Research. William Fearnley – FTN Midwest Research: I wanted to ask some more questions on the CLARiiON if I could. Could you give us some more color on the direct, indirect and Dell mix for CLARiiON? And, given the performance in the first quarter, what are your expectations here for the CLARiiON line in the mid range here in the near term?

Well I mentioned Bill, first of all we told you that Dell sequentially compared to Q4 represented just a little bit higher percentage of the CLARiiON mix and that’s indication that Joe mentioned that we’ve been working on the Dell EMC alliance. We gave you a view that overall IT spending won’t be significantly different in Q2. On the other hand, CLARiiON and our mid tier products in total, particularly on that are very, very strong. You see how well unified storage is doing. When you look at our three C’s together, CLARiiON, Celerra and Centera, it’s still very competitive mid range offering and you saw that despite the fact that the market was down enormously we saw continued growth in our NAS range and the unified storage aspect of our NAS box which use a lot of the same components, as a client was actually very, very strong. I’d also mention relative to the Dell alliance that Dell is now also starting to resell the NX4 so they’re taking advantage of some of the NAS technology from us as well.

Your next question comes from Kaushik Roy – Wedbush Morgan Securities. Kaushik Roy – Wedbush Morgan Securities: During the quarter did you do any share buyback? And if not, why not?

We did not do any buybacks during the quarter. As we mentioned before we’re going to be opportunistic during 2009. We want to make sure that we see how the market plays out and keep all of our options open moving throughout the year.

Your next question comes from Jayson Noland – Robert W. Baird & Co. Jayson Noland – Robert W. Baird & Co.: A question on annual revenue linearity, if you look at ’07, the back half contributed about 54% and then in ’08 about 52%. It sounds like we should expect this year to be more exaggerated to the second half?

Jayson, I think we’ve given you a couple of hints in terms of what we expect Q2 to be like given our view on the markets and then we said there will be some uptick from that. The reason we’re not giving you anything more than that is because we really don’t have a good handle on how big the uptick could be or how fast it will happen. But, it will obviously does occur that would give us a relatively stronger second half.

Your next question comes from Glenn Hanus – Needham & Company. Glenn Hanus – Needham & Company: I wonder if you could comment a little bit on the ORACLE Sun development and how you work with ORACLE in the field and on an R&D level today? And obviously, there’s a new competitive element introduced and how that all changes the dynamics for you with ORACLE going forward?

Obviously, it will change the came to some degree. The name of the game has always been coopetition. A significant number of ORACLE’s big customers rely on EMC’s infrastructures and ORACLE is going to continue to work with us as an important partner, we’re going to continue to work with that, that’s clear. That commitment is there both ways. Obviously, what’s happening here in the market is ORACLE is building a vertical stack in that they’d like you to use more and more of their vertical stack. Then of course, others are doing the same and the problem that gives CIOs and IT professionals is that each of these looks different, gets managed different, has different processes and procedures. What we do is we have a stack also but our stack is horizontal. So, if you look at our storage, it supports the ORACLE stack, it will support the Microsoft stack and IBM stack, etc. If you look at VMware for instance, it’s the same thing, if you look at security the same thing. So, we’re building the stack horizontally and that has a lot of appeal. So obviously, there’s a battle on which should win the multiple vertical stacks or basically managing your information and your virtualization horizontally which is obviously the way we think will win. So, ORACLE, if a customer chooses a way, ORACLE will work with us but obviously they’ll push their way and we’ll push our way and that’s the way its been for a while and ORACLE is obviously raised the stakes in that came and obviously as we did vSphere and V-max, we’re raising the stakes in the game too. I’m not saying business is exactly the usual but it’s the same battle that we’ve been fighting for a while and the horizontal stakes that we’re building have great applicability and great interest in IT professionals.

Your last question comes from Mark Moskowitz – JP Morgan. Mark Moskowitz – JP Morgan: I want to see if you can give us a little more color around the market displacement that you’re benefitting from in terms of Celerra? Are you winning from NAS vendors historically or are these more [inaudible] installations historically? Then secondly, on the supplemental revenue analysis can you give us a little bit more background in terms of why we don’t see the software maintenance and license breakdown anymore?

I’ll take the first part and let David do the second part. Clearly, we are winning these from NAS vendors and these are winning in the SCSI. In other words if you say you want to use a SAN and you say you want to do iSCSI you’re also probably going to have an opportunity and a need to do file and print for file sharing and then you need a NAS engine too. So, what we do is basically say, “We’ll give you both in one.” That is really appealing to customers. So, this share is clearly being taken from the iSCSI world and it’s clearly being taken from the NAS world. The fact that we do them so well out of a single – you can also by the way do fiber channel. So, we go all three ways and that is incredibly appealing so we’re absolutely taking share from iSCSI and absolutely taking this share that we get from NAS.

Mark, on the supplementary schedule you are correct, we’ve move the reporting. We’ve actually simplified it to just the looking at the product lines and the services line combined. We think that’s a more consistent way that people look and report externally. Specifically, one of the major reasons is there was a lot of confusion around our storage business about hardware software mix and we said that’s not really the way we go to market, we sell solutions. So look how our product revenues are doing and look at how our gross margins are doing and we’ll make it very clear to everyone going forward exactly what the puts and takes are around product revenues and gross margins in storage. So, we think that’s just the right way to go to create a clearer more consistent view of our financial statements.

The closing message I’d like to leave you with today is this, I believe that we have the vision and strategy in place for us to win and prosper. I believe we are balancing the realities of today with the opportunities for tomorrow. We are reducing costs, we are investing in innovative products and services, we are investing in our sales and support engines to bring us more customer and maximize our revenues both this year and beyond. I believe we are doing what we need to do for this environment. Most important is that the EMC troops are up and they’re motivated and we will be successful. Thank you very much for joining us today and I’m sure we’ll be talking.