Dell Inc. blamed its strategy of cutting prices in a slow market for a profit of just $502 million in the second quarter, 51 percent below the same period last year. The company also revealed it is being investigated by the U.S. Securities and Exchange Commission (SEC) for issues of revenue recognition and financial reporting in certain periods prior to fiscal year 2006. Dell had earned $1.02 billion in the second quarter of 2005, leading to earnings per share of $0.41. This year the company earned only $0.22 per share on revenue of $14.1 billion. Dell also announced it is extending its relationship with Advanced Micro Devices Inc., which was first announced in the first quarter. Dell will launch Dimension desktop computers with AMD processors in September and will introduce a two-socket and multiprocessor server using AMD Opteron processors by the end of the year, Dell said. Source PCWELT English News 08.18.2006
