Question-and-Answer Session
Operator
(Operator Instructions) Your first question comes from Mark Kelleher – Brigantine Advisors.
Mark Kelleher – Brigantine Advisors
The first thing I wanted to ask was just a clarification, the cloud revenue you said that’s $13.2 million of annualized run rate, did I get that right?
Manuel D. Medina
Yes.
Mark Kelleher – Brigantine Advisors
So about a little over $3 million in the quarter, is that how we read that?
Jose A. Segrera
So the number we’re putting out there is our contracted run rate at the end of each quarter. So, at June 30th ’09 contracted in place was $2.5 million, not 100% of that was deployed but just given the nature of those types of contracts they get turned up pretty quickly so in the $13.2 million now was at September 30th our contracted run rate. So, the answer is no that’s not the revenue that got recognized in the September quarter the majority of that will get turned up pretty quickly here during Q3 and Q4. Does that make sense?
Mark Kelleher – Brigantine Advisors
A little more color on that, is that primarily with the federal government, is the majority of that with the federal government?
Manuel D. Medina
Right now Mark the majority of the growth has been with the federal government. We do expect that to change as we now have significant prices on our pipeline but right now the majority of that has been the federal government.
Mark Kelleher – Brigantine Advisors
One last question, on the 50,000 NCR coming up on schedule, how much of that is pre-sold? How much of that is well in hand?
Manuel D. Medina
Well, we have right now 30% actual signed contracts but we do expect to have a significant amount of more signed by the time that we speak to you next quarter.
Operator
Your next question comes from George Sutton – Craig-Hallum.
George Sutton – Craig-Hallum
So a few of your comments Manny, I wanted to get a little bit more clarity around, you mentioned pipelines are at record levels, you mentioned that the corporate customers’ budgets have been frozen for the last 18 months and you mentioned that you’re off to the best quarterly start in history so what I believe you are saying, and correct me if I’m reading this wrong, is that that best quarterly start may be in part due to some kind of that frozen corporate IT budget?
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