IT 100 Special Report 2006 >

  THE INFOTECH 100 COMPANIES
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77

Tellabs

(NasdaqNM: TLAB)

USA

You don't hear much about this Midwestern telecom gear manufacturer. But the Naperville (Ill.) company is behind a lot of the sexy new services the big-name carriers are rolling out. Since CEO Krish Prabhu took the chief's chair in 2004, he has put together a string of acquisitions that has converted Tellabs from a near afterthought into a real player. He gobbled up Advanced Fiber Communications in November, 2004, and then optical networking startup Vinci Systems in December, 2004, creating a new star in the North American arena. With its customers pushing for newer and faster digital services to handle data, Tellabs stays on the cutting edge by pouring some 18.3% of sales into research and development, among the highest in the industry.

Company Info

2005 Rank

Not Ranked

Sales*
($ Millions)

1,962.5

Sales Growth
(over prev. year)

40 %

Profits*
($ Millions)

227.5

Return on Equity

8.0 %

Total Return on Sales (12-mo.)

73.8

Share Price
As of 5/31/06

14.30

CURRENT
MARKET INFO

NasdaqNM: TLAB

No. of Employees

3,609

Industry Communications Equipment
COMPANY WEB SITE >
*Trailing 12 months
Stock price data as of 5/31/06
DATA: Standard & Poor's Compustat

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Company Snapshot

Tellabs engages in the design and marketing of equipment to telecommunications services providers worldwide. Its products and services provide solutions to deliver wire-line services, wireless services, and broadband data networking for business and residential customers, and bundled voice, video, and high-speed Internet data services. The company's products include transport systems that enable service providers to manage bandwidth; access products, which enable service providers to deliver the triple play of bundled voice, video, and high-speed Internet data services over fiber-based networks; managed access systems; broadband data systems; and voice-quality enhancement systems that enable service providers to improve voice quality in wireless, long-distance, and private communications networks. It also provides network deployment, traffic management, support services, professional services, and training. The company serves incumbent local exchange carriers, wireless service operators, post telephone and telegraph administrations, independent operating companies, original equipment manufacturers, cable and multiple system operators, competitive local exchange carriers, system integrators, and alternate service providers through partners and distributors. Tellabs was founded in 1974 and is headquartered in Naperville, Ill.


Data provided by Capital IQ
 
Krish A. Prabhu

Krish A. Prabhu, 50

President and Chief Executive Officer

Total Compensation

$1,921,498

Value of Options

$1,172,000

University of Pittsburgh - Doctorate, University of Pittsburgh - Master's Degree, University of Pittsburgh - MS, University of Pittsburgh - PhD, Bangalore University - Bachelor's Degree, Bangalore University - BS, Indian Institute of Technology, Bombay - Master's Degree, Indian Institute of Technology - MS

Krish Prabhu has been chief executive officer and president of Tellabs since February, 2004. Before that, Prabhu served as a venture partner with Morgenthaler Venture Partners beginning in November, 2001. Between September, 1999, and September, 2001, Prabhu served as chief operating officer of Alcatel Telecom. From April, 1997, to September, 1999, he served as CEO of Alcatel USA, the U.S. subsidiary of Alcatel. Prior to that, he held various management positions at Alcatel USA. From 1990 to 1991, he was head of research and development of the Network Systems Transmission Div. at Rockwell International, a division that was acquired by Alcatel in 1991. He has been a director of Freescale Semiconductor since August, 2005. Prabhu has been a director of Tellabs since 2004. He serves on the business advisory board of Navini Networks. Prabhu has been an adviser to Navini since December, 2000. He served as a director of Symmetricom from 1998 to February, 2004, and was a member of the stock option and compensation committees. Prabhu received his MS and PhD in electrical engineering at the University of Pittsburgh, an MS in physics from the Indian Institute of Technology in Bombay, and a bachelor's degree from Bangalore University.



Executive Data provided by Capital IQ