Analyst Dane Lewis says the company continues to be impacted by the IT slowdown in general, and softness in the storage sector in particular. He suspects McData's original equipment manufacturer vendors such as EMC, which accounts for nearly 60% of McData's revenues, are witnessing a rough first quarter, which translates into a weak quarter for McData. Lewis notes management still expects the month of March to account for more than 50% of the quarter. He cut the $0.15 2002 EPS from operations estimate to $0.02, and trimmed the $0.35 2003 estimate to $0.28. Lewis maintains his market perform rating and $16 12-month target.