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If we look at the years from 2003 to 2005, when their growth rate was declining by 8.5%, 2.2%, and 1.0% respectively, their SG&A cost declined by 18%, 5%, and 13%. In 2006, SG&A expense increased by $1.1 billions, but it was due to the expenses involved with the acquisition of StorageTek and SeeBeyond. Although Sun??s net loss increased to $166 millions, but the total revenue, gross profit, accounts receivables, inventories, and cash are increasing. Sun also started generating cash from the investments in marketable and equity securities in 2006. These data are positive signs for future growth of Sun...
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