MILESTONE In 2003 we are celebrating the 75th anniversary of the founding of Motorola. In 1928 we incorporated with $565 in cash, $750 in tools and a design for our first product. We enter our 75th year as a technology leader helping to build a global society unimagined by our founders, guided by high ethics and principles and executing a forward-looking plan to help us outperform our competitors, generate profit and cash, and drive growth. OVERVIEW Motorola is global leader in providing integrated communications and embedded electronic solutions. Our Intelligence Everywhere™ solutions include: Software-enhanced wireless telephone and messaging, two-way radio products and systems, as well as networking and Internet-access products for consumers, network operators and commercial, government and industrial customers. End-to-end systems for the delivery of interactive digital video, voice and high-speed data solutions for broadband operators. Embedded semiconductor solutions for customers in wireless communications, networking and transportation markets. Integrated electronic systems for automotive, Telematics, industrial, telecommunications, computing and portable energy systems markets. OUR INTELLIGENCE EVERYWHERE™ BAND PROMIST We are applying our Intelligence Everywhere brand promise in two ways: (1) to provide innovative differentiated products, technologies and services that are smarter, simpler, safer, synchronized and, when appropriate, fun, and (2) to help us create a more efficient and better operating Motorola - in fact, the Intelligence Everywhere brand promise has been the underpinning of our improving performance and financial strengthening in this middle stage of our turn-around. FINANCIAL RESULTS We entered 2002 with acute concentration on the Five-Point Plan we announced in 2001: To aggressively focus on the balance sheet. To lower our break-even sales level by reducing SG&A and manufacturing costs. To continually strengthen our management team. To pursue growth through innovative products, software applications and customer relationships. To constantly evaluate our strategic options and business portfolio. To reflect what we learned in 2002, we revised and reprioritized the Five-Point Plan to sharpen our concentration for 2003. The plan now guides us: To persistently enhance the management team and work environment. To aggressively focus on strengthening the balance sheet and generate cash. To relentlessly pursue cost competitiveness, quality and customer satisfaction. To pursue growth through profitable innovative products, systems, software and customer relationships. To continuously reassess and improve our business strategies and portfolio.