Sep. 8, 2009 (PR Newswire) --

CARLSBAD, Calif., Sept. 8 /PRNewswire-FirstCall/ -- Dot Hill Systems Corp. (Nasdaq: HILL) today updated its financial guidance for the third quarter of 2009 ending September 30, 2009.

On August 10, 2009, the Company provided guidance for third quarter 2009 net revenue in the range of $55 to $62 million and a net loss per fully diluted share in the range of $0.02 to $0.08 on a non-GAAP basis. In addition, the Company said it expected cash and cash equivalents as of September 30, 2009 to be in the range of $52 to $56 million. Based on improved visibility with OEM customers, and particular strength in the entry level storage segment, the Company now expects financial results to be in the upper half of the ranges provided on August 10, 2009.

Dana Kammersgard, Dot Hill's president and chief executive officer, commented, "We appear to be benefiting from improvements in the economy and the relative strength of the entry level storage segment, which has weathered the recession better than other areas of technology spending. Accordingly, we are reaffirming our guidance and expect that our third quarter financial results will be in the upper half of the previously provided ranges."

About Non-GAAP Financial Measures

This press release references financial metrics that exclude the effects of share-based compensation expense, severance costs, restructuring charges, foreign currency gains or losses and the effects of legal settlements and are not in accordance with U.S. generally accepted accounting principles (GAAP). The Company believes that these non-GAAP financial measures provide meaningful supplemental information to both management and investors that is indicative of the Company's core operating results and facilitates comparison of operating results across reporting periods. These non-GAAP measures should not be viewed in isolation from or as a substitute for the Company's expected financial results in accordance with GAAP.

About Dot Hill

Delivering innovative technology and global support, Dot Hill empowers the OEM community to bring unique storage solutions to market, quickly, easily and cost-effectively. Offering high performance and industry-leading uptime, Dot Hill's RAID technology is the foundation for best-in-class storage solutions offering enterprise-class security, availability and data protection. The company's products are in use today by the world's leading service and equipment providers, common carriers and advanced technology and telecommunications companies, as well as government agencies.