Excluding TAC (Traffic Acquision Costs) and overall fees Yahoo pays its affiliates, revenue totaled $1.18 billion

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(Continued) The RFS Newsletter, Apr. 21, 2007. Page 8
Yahoo's board stated that net income for the first quarter fell to $142 million, or 10 cents a share, from $159.9 million, or 11 cents, in the corresponding 2006 period. According to a Thomson Financial survey, Wall Street investors expected an overall profit of 11 cents a share. For the quarter, Yahoo's sales increased 7 percent to $1.67 billion on stronger demand for the company's online display ads and a surge in sales of text-only search ads late in quarter, thanks to its new Panama search platform.

Excluding TAC (Traffic Acquision Costs) and overall fees Yahoo pays its affiliates, revenue totaled $1.18 billion, an increase of 9 percent from 2006, but less than the $1.21 billion expected by analysts. The second largest search company also issued forecasts for its second quarter and annual sales that were within most analysts' expectations. "Since September 20, 2006, we have made clear our intention to greatly sharpen our focus," Yahoo Chief Executive Terry Semel said in a conference call after results were released.

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