Selected Financial Data The following selected consolidated financial data concerning ADTRAN ™ for and as of the end of each of the  years in the five-year period ended December 31, 2002, are derived from the financial statements of ADTRAN, which have been audited by PricewaterhouseCoopers LLP, independent accountants. The selected financial data is qualified  in its entirety by the more detailed information and financial statements, including the notes thereto. The financial  statements of ADTRAN as of December 31, 2002 and 2001 and for each of the years in the three-year period ended December 31, 2002, and the report of PricewaterhouseCoopers LLP thereon, are included elsewhere in this report. Income Statement Data (In thousands, except per share data) (1) Assumes exercise of dilutive stock options calculated under the treasury stock method. See Notes 1 and 11 of Notes to Financial Statements. 10 ADTRAN 2002 Annual Report Balance Sheet Data (In thousands) Year Ended December 31, 2002) 2001) 2000) 1999) 1998) Sales Carrier Networks Division $218,912) $238,367) $315,228) $230,967) $167,500) Enterprise Networks Division 126,813) 148,714 ) 147,721 ) 136,240 ) 119,059) Total sales 345,725) 387,081) 462,949) 367,207) 286,559) Cost of Sales 170,790) 213,760 ) 233,430 ) 178,629 ) 130,010) Gross profit 174,935) 173,321) 229,519) 188,578) 156,549) Selling, general, and administrative expenses 81,116) 95,954 ) 87,116 ) 71,735 ) 62,061) Research and development expenses 56,295) 58,935) 50,628) 42,018) 37,222) Operating income 37,524) 18,432) 91,775) 74,825) 57,266) Interest income 9,113 ) 8,077 ) 9,025 ) 5,350 ) 5,824) Interest expense (2,572) (2,069) (1,802) (2,312) (2,287) Other income (expense) 133 ) (28) (4) (673) (188) Net realized investment gains (losses) (12,022) (674) 84,040) 0) 0) Income before provision for income taxes 32,176) 23,738) 183,034) 77,190) 60,615) Provision for income taxes 7,401 ) 6,409 ) 62,232 ) 26,244 ) 20,306) Net income $24,775) $17,329) $120,802) $50,946) $40,309) Earnings per common share - basic $0.65 ) $0.45 ) $3.13 ) $1.33 ) $1.03) Earnings per common share assuming dilution (1) $0.65) $0.45) $3.04) $1.31) $1.03) Weighted average shares outstanding - basic 38,045 ) 38,567 ) 38,647 ) 38,335 ) 38,982) Weighted average shares outstanding  assuming dilution (1) 38,222) 38,676) 39,704) 38,831) 39,164) At December 31, 2002) 2001) 2000) 1999) 1998) Working capital $203,511 ) $217,387 ) $262,778 ) $181,147 ) $150,535 ) Total assets $521,213) $522,537) $546,336) $556,296) $301,711) Deferred income tax liabilities $3,955 ) $8,284 ) $15,342 ) $80,265 ) $3,295 ) Total debt $50,000) $50,000) $50,000) $50,000) $50,000) Stockholders’ equity $435,212 ) $437,628 ) $434,425 ) $400,052 ) $231,389 )