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Motorola Q3 2007
                              Earnings Conference Call
                                                   October 25, 2007


Q3 2007 Earnings Release- October 25, 2007                                             Slide - 1
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
.
Dean Lindroth
                                   Investor Relations Officer




Q3 2007 Earnings Release- October 25, 2007                                             Slide - 2
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
.
Safe Harbor
           A number of forward-looking statements will be made during this presentation. Forward-
           looking statements are any statements that are not historical facts. These forward-
           looking statements are based on the current expectations of Motorola and there can be
           no assurance that such expectations will prove to be correct. Because forward-looking
           statements involve risks and uncertainties, Motorola’s actual results could differ
           materially from these statements. Information about factors that could cause, and in
           some cases have caused, such differences can be found in this morning’s press
           release, on pages 16 through 24 in item 1A of Motorola’s 2006 Annual Report on Form
           10-K and in Motorola’s other SEC filings.
           This presentation is being made on the 25th of October 2007. The content of this
           presentation contains time-sensitive information that is accurate only as of the time
           hereof. If any portion of this presentation is rebroadcast, retransmitted or redistributed
           at a later date, Motorola will not be reviewing or updating the material that is contained
           herein.
           MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark
           Office. All other product or service names are the property of their respective owners.
           © Motorola, Inc. 2007


                                                                                       Slide -- 3
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Ed Zander
Chairman & Chief Executive Officer




Q3 2007 Earnings Release- October 25, 2007                                             Slide - 4
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
.
Q3 2007
                                    Earnings Call

Q3 2007 Earnings Release- October 25, 2007                                             Slide - 5
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
.
Tom Meredith
                                             Chief Financial Officer
                                                                                       Liquidity




                                                  Profitability                                     Growth
Q3 2007 Earnings Release- October 25, 2007                                              Slide - 6
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
.
Q3 2007 Financial Results
                                                                                           Q3 2007               Q2 2007              Q3 2006
    ($ Millions)
    GAAP
    Sales                                                                              $            8,811    $        8,732       $      10,603

    Operating Earnings (Loss)                                                          $              (10)   $         (158)      $         968

    Operating Margin                                                                                -0.1%             -1.8%                9.1%

    Earnings (Loss) from Continuing Operations                                         $              40     $             (38)   $         727

    EPS from Continuing Operations                                                     $             0.02    $        (0.02)      $        0.29

    Excluding Highlighted Items
    Operating Earnings (Loss)                                                          $             169     $             (32)   $       1,172 *

    Operating Margin                                                                                 1.9%             -0.4%               11.1% *

    Earnings (Loss) from Continuing Operations                                         $             147     $             41     $         792 *

    EPS from Continuing Operations                                                     $             0.06    $         0.02       $        0.32 *

                          * Excludes previously highlighted item for stock compensation expense of $62M from Q3 2006




                                                                                       Slide -- 7
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Cash Flow and Net Cash
                                                                                                         Q3            Q2            Q3
                                                                                                        2007
         ($ in Millions)                                                                                              2007          2006

                                                                                                    $      40
         Net Earnings (Loss)                                                                                      $     (38)    $    727
                                                                                                          161
         Depreciation, Amortization and Other, net                                                                      132          517
                                                                                                          141
         Change in Assets and Liabilities, net                                                                         (129)         346
                                                                                                    $     342
            Net Cash provided by (used for) Operating Activities                                                  $     (35)    $ 1,590

         ($ in Billions)

                                                                                                    $     8.4
         Cash*                                                                                                    $     8.7     $ 14.9
                                                                                                          (1.5)
         Short-term & Current Debt**                                                                                    (1.8)        (0.5)
                                                                                                          (2.7)
         Long-Term Debt                                                                                                 (2.6)        (3.8)
                                                                                                          (4.2)
            Total Debt                                                                                                  (4.4)        (4.3)
                                                                                                    $     4.2
                Net Cash                                                                                          $     4.3     $ 10.6

         *Cash and cash equivalents, Sigma funds, and Short-term investments
         **Notes payable and current portion of long-term debt
                                                                                       Slide -- 8
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Cash Conversion Cycle
                                                 75


                                                 65
                          Cash Conversion Days




                                                 55


                                                 45


                                                 35


                                                 25


                                                 15
                                                      Qtr1 '06          Qtr2 '06              Qtr3 '06                Qtr4 '06         Qtr1 '07          Qtr2 '07        Qtr3 '07

                                                           Mobile Devices              Home & Networks Mobility              Enterprise Mobility Solutions      Total Motorola




                                                                                            Cash Conversion Cycle
                                                                         Qtr1 '06 Qtr2 '06 Qtr3 '06 Qtr4 '06 Qtr1 '07 Qtr2 '07 Qtr3 '07
             Mobile Devices                                                       18            26              21               26         48          49          37
             Home & Networks Mobility                                             71            67              73               62         71          50          52
             Enterprise Mobility Solutions                                        52            57              60               65         65          53          47
             Total Motorola                                                       31            36              35               38         56          50          43


                                                                                                         Slide -- 9
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Return on Invested Capital
35%
                                                                                       31%                   30%
30%

25%
                                                                                                                       21%
                                                        17%
20%

15%                                                                                                                                        13%

10%
                         5%                                                                                                                              7%
  5%

  0%
                      2003                             2004                             2005            2006        Q1 '07             Q2 '07         Q3 '07

                                                                                                             ROIC




 Return on Invested Capital (ROIC)
 = (12mth Rolling Operating Earnings excluding Highlighted Items and including Foreign Currency Gain/(Loss)) Tax Affected / 4 Quarter Average of
 (Shareholder’s Equity + Total Debt - Excess Cash**)
     *Tax rate used is the GAAP tax less taxes on highlighted items divided by the PBT excluding highlighted items for the rolling 12 month period.
    **Excess Cash = Rolling 4 Quarter Average of Total Cash & Short-term Investments – 5% of Rolling Net Sales


                                                                                               Slide -- 10
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Greg Brown
  President & Chief Operating Officer




Q3 2007 Earnings Release- October 25, 2007                                             Slide - 11
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
.
Mobile Devices Financials
                                                                                           Q3 2007               Q2 2007          Q3 2006
     ($ Millions)
     GAAP
     Sales                                                                             $          4,496      $       4,273    $       7,034

     Operating Earnings (Loss)                                                         $             (248)   $        (332)   $        843

     Operating Margin                                                                              -5.5%              -7.8%           12.0%

     Excluding Highlighted Items
     Operating Earnings (Loss)                                                         $             (138)   $        (264)   $        843

     Operating Margin                                                                              -3.1%              -6.2%           12.0%

     Units (M)                                                                                      37.2               35.5             53.7
     Market Share (Estimate)                                                                      13.0%              13.5%            22.4%




                                                                                             Slide -- 12
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Mobile Devices Highlights
•      Shipped 37.2M units

•      Improvements in channel inventory

•      Improvement in gross margin %

•      Reduction in operating expenses

•      Progress in software and silicon

•      Introduced WiMAX chipset optimized for size, cost, power and speed




                                                                                       Slide -- 13
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Product Segmentation

                                                                                                                                        Q700
                                                                                            V8
                                                                            iC602                                        A1200
                                                                                       Lux. Edition
                                                                                       Lux.
                                                                                                                                          NEW
         W175 /                         W220                                 NEW
                         W385
         W180                                                                           NEW
         NEW
                                                                                                                                                             Q9m

                                                                                                                                                             NEW


                                                                                                                    U9
                                         W375
                                                                                                                    NEW
                                                                           V9m          V9                                                           Q9h
                                                                                                                                 Z6tv
                          W377
                                                                                                                                                Z8
                                                                           NEW          NEW                                      NEW
                          NEW
        W206 /
                                                                                                                                               NEW
        W213
         NEW




                                         W156 /
                                                                                                                                                             Q8
                                         W160                                                                            Z6m
                                                                              V3
                        C115                                                              K1m
                                           NEW                                                                           NEW               Z6
        C139




                                                                                                                                                     Productivity
                                                                                Feature                              Multimedia
         Mass Market

                                                                                                      Slide -- 14
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Home and Networks Mobility Financials
                                                                                           Q3 2007               Q2 2007         Q3 2006
     ($ Millions)
     GAAP
     Sales                                                                             $          2,389      $       2,564   $       2,262

     Operating Earnings                                                                $               159   $         191   $        181

     Operating Margin                                                                                 6.7%            7.4%            8.0%

     Excluding Highlighted Items
     Operating Earnings                                                                $               165   $         207   $        231

     Operating Margin                                                                                 6.9%            8.1%           10.2%




                                                                                             Slide -- 15
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Home and Networks Mobility Highlights
• Maintained market leadership in digital entertainment
  devices

• Shipped two-millionth IP set top device

• Introduced DSR-6000 product line

• Conducted world’s first WiMAX 802.16e mobile handoff




                                                                                       Slide -- 16
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Enterprise Mobility Solutions Financials
                                                                                           Q3 2007               Q2 2007         Q3 2006
    ($ Millions)
    GAAP
    Sales                                                                              $           1,954     $       1,920   $       1,329

    Operating Earnings                                                                 $               328   $         303   $        254

    Operating Margin                                                                               16.8%             15.8%           19.1%

    Excluding Highlighted Items
    Operating Earnings                                                                 $               336   $         302   $        280

    Operating Margin                                                                               17.2%             15.7%           21.1%




                                                                                             Slide -- 17
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Enterprise Mobility Solutions Highlights

• Strong performance in Government & Public Safety and
  Enterprise markets

• TETRA and MOTOTRBO two-way radio successes

• Shipped one-millionth MC9000, rugged mobile computer

• Shipping the new MC17 mobile computer

• Good software integrated on new enterprise devices


                                                                                       Slide -- 18
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Q&A Participants
            Ed Zander                                                                                Tom Meredith
            Chairman and Chief                                                                       Chief Financial Officer
            Executive Officer

            Greg Brown                                                                               Dean Lindroth
            President and Chief                                                                      Investor Relations Officer
            Operating Officer




                                                                                       Slide -- 19
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Safe Harbor
           A number of forward-looking statements will be made during this presentation. Forward-
           looking statements are any statements that are not historical facts. These forward-
           looking statements are based on the current expectations of Motorola and there can be
           no assurance that such expectations will prove to be correct. Because forward-looking
           statements involve risks and uncertainties, Motorola’s actual results could differ
           materially from these statements. Information about factors that could cause, and in
           some cases have caused, such differences can be found in this morning’s press
           release, on pages 16 through 24 in item 1A of Motorola’s 2006 Annual Report on Form
           10-K and in Motorola’s other SEC filings.
           This presentation is being made on the 25th of October 2007. The content of this
           presentation contains time-sensitive information that is accurate only as of the time
           hereof. If any portion of this presentation is rebroadcast, retransmitted or redistributed
           at a later date, Motorola will not be reviewing or updating the material that is contained
           herein.
           MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark
           Office. All other product or service names are the property of their respective owners.
           © Motorola, Inc. 2007


                                                                                       Slide -- 20
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
Use of Non-GAAP Measures
     In addition to the GAAP results provided during this conference call, Motorola has presented certain non-
     GAAP measurements. Motorola has provided these non-GAAP measurements as a measure to help
     investors better understand its core operating performance, enhance comparisons of Motorola’s core
     operating performance from period to period and to allow better comparisons of Motorola’s operating
     performance to that of its competitors. Among other things, the Company’s management uses these
     operating results, excluding the identified items, to evaluate the performance of its businesses and to
     evaluate results relative to incentive compensation targets. Management uses operating results excluding
     these items because they believe this measure enables them to make better period-to-period evaluations
     of the financial performance of its core business operations. There are inherent limitations in the use of
     operating results excluding these items because the company’s GAAP results do not include the impact of
     these items. The non-GAAP measures are intended only as a supplement to the comparable GAAP
     measures and the company compensates for the limitations inherent in the use of non-GAAP measures by
     using GAAP measures in conjunction with the non-GAAP measures. As a result, investors should
     consider these non-GAAP measures in addition to, and not in substitution for, or as superior to, measures
     of financial performance prepared in accordance with GAAP.
     Details of these items and reconciliations of the non-GAAP measurements provided during this call to
     GAAP measurements can be found on Motorola’s website at www.motorola.com/investor.




                                                                                       Slide -- 21
Q3 2007 Earnings Release- October 25, 2007
MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.

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Q3 2007 Motorola, Inc. Earnings Conference Call Presentation

  • 1. Motorola Q3 2007 Earnings Conference Call October 25, 2007 Q3 2007 Earnings Release- October 25, 2007 Slide - 1 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. .
  • 2. Dean Lindroth Investor Relations Officer Q3 2007 Earnings Release- October 25, 2007 Slide - 2 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. .
  • 3. Safe Harbor A number of forward-looking statements will be made during this presentation. Forward- looking statements are any statements that are not historical facts. These forward- looking statements are based on the current expectations of Motorola and there can be no assurance that such expectations will prove to be correct. Because forward-looking statements involve risks and uncertainties, Motorola’s actual results could differ materially from these statements. Information about factors that could cause, and in some cases have caused, such differences can be found in this morning’s press release, on pages 16 through 24 in item 1A of Motorola’s 2006 Annual Report on Form 10-K and in Motorola’s other SEC filings. This presentation is being made on the 25th of October 2007. The content of this presentation contains time-sensitive information that is accurate only as of the time hereof. If any portion of this presentation is rebroadcast, retransmitted or redistributed at a later date, Motorola will not be reviewing or updating the material that is contained herein. MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © Motorola, Inc. 2007 Slide -- 3 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 4. Ed Zander Chairman & Chief Executive Officer Q3 2007 Earnings Release- October 25, 2007 Slide - 4 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. .
  • 5. Q3 2007 Earnings Call Q3 2007 Earnings Release- October 25, 2007 Slide - 5 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. .
  • 6. Tom Meredith Chief Financial Officer Liquidity Profitability Growth Q3 2007 Earnings Release- October 25, 2007 Slide - 6 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. .
  • 7. Q3 2007 Financial Results Q3 2007 Q2 2007 Q3 2006 ($ Millions) GAAP Sales $ 8,811 $ 8,732 $ 10,603 Operating Earnings (Loss) $ (10) $ (158) $ 968 Operating Margin -0.1% -1.8% 9.1% Earnings (Loss) from Continuing Operations $ 40 $ (38) $ 727 EPS from Continuing Operations $ 0.02 $ (0.02) $ 0.29 Excluding Highlighted Items Operating Earnings (Loss) $ 169 $ (32) $ 1,172 * Operating Margin 1.9% -0.4% 11.1% * Earnings (Loss) from Continuing Operations $ 147 $ 41 $ 792 * EPS from Continuing Operations $ 0.06 $ 0.02 $ 0.32 * * Excludes previously highlighted item for stock compensation expense of $62M from Q3 2006 Slide -- 7 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 8. Cash Flow and Net Cash Q3 Q2 Q3 2007 ($ in Millions) 2007 2006 $ 40 Net Earnings (Loss) $ (38) $ 727 161 Depreciation, Amortization and Other, net 132 517 141 Change in Assets and Liabilities, net (129) 346 $ 342 Net Cash provided by (used for) Operating Activities $ (35) $ 1,590 ($ in Billions) $ 8.4 Cash* $ 8.7 $ 14.9 (1.5) Short-term & Current Debt** (1.8) (0.5) (2.7) Long-Term Debt (2.6) (3.8) (4.2) Total Debt (4.4) (4.3) $ 4.2 Net Cash $ 4.3 $ 10.6 *Cash and cash equivalents, Sigma funds, and Short-term investments **Notes payable and current portion of long-term debt Slide -- 8 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 9. Cash Conversion Cycle 75 65 Cash Conversion Days 55 45 35 25 15 Qtr1 '06 Qtr2 '06 Qtr3 '06 Qtr4 '06 Qtr1 '07 Qtr2 '07 Qtr3 '07 Mobile Devices Home & Networks Mobility Enterprise Mobility Solutions Total Motorola Cash Conversion Cycle Qtr1 '06 Qtr2 '06 Qtr3 '06 Qtr4 '06 Qtr1 '07 Qtr2 '07 Qtr3 '07 Mobile Devices 18 26 21 26 48 49 37 Home & Networks Mobility 71 67 73 62 71 50 52 Enterprise Mobility Solutions 52 57 60 65 65 53 47 Total Motorola 31 36 35 38 56 50 43 Slide -- 9 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 10. Return on Invested Capital 35% 31% 30% 30% 25% 21% 17% 20% 15% 13% 10% 5% 7% 5% 0% 2003 2004 2005 2006 Q1 '07 Q2 '07 Q3 '07 ROIC Return on Invested Capital (ROIC) = (12mth Rolling Operating Earnings excluding Highlighted Items and including Foreign Currency Gain/(Loss)) Tax Affected / 4 Quarter Average of (Shareholder’s Equity + Total Debt - Excess Cash**) *Tax rate used is the GAAP tax less taxes on highlighted items divided by the PBT excluding highlighted items for the rolling 12 month period. **Excess Cash = Rolling 4 Quarter Average of Total Cash & Short-term Investments – 5% of Rolling Net Sales Slide -- 10 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 11. Greg Brown President & Chief Operating Officer Q3 2007 Earnings Release- October 25, 2007 Slide - 11 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. .
  • 12. Mobile Devices Financials Q3 2007 Q2 2007 Q3 2006 ($ Millions) GAAP Sales $ 4,496 $ 4,273 $ 7,034 Operating Earnings (Loss) $ (248) $ (332) $ 843 Operating Margin -5.5% -7.8% 12.0% Excluding Highlighted Items Operating Earnings (Loss) $ (138) $ (264) $ 843 Operating Margin -3.1% -6.2% 12.0% Units (M) 37.2 35.5 53.7 Market Share (Estimate) 13.0% 13.5% 22.4% Slide -- 12 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 13. Mobile Devices Highlights • Shipped 37.2M units • Improvements in channel inventory • Improvement in gross margin % • Reduction in operating expenses • Progress in software and silicon • Introduced WiMAX chipset optimized for size, cost, power and speed Slide -- 13 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 14. Product Segmentation Q700 V8 iC602 A1200 Lux. Edition Lux. NEW W175 / W220 NEW W385 W180 NEW NEW Q9m NEW U9 W375 NEW V9m V9 Q9h Z6tv W377 Z8 NEW NEW NEW NEW W206 / NEW W213 NEW W156 / Q8 W160 Z6m V3 C115 K1m NEW NEW Z6 C139 Productivity Feature Multimedia Mass Market Slide -- 14 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 15. Home and Networks Mobility Financials Q3 2007 Q2 2007 Q3 2006 ($ Millions) GAAP Sales $ 2,389 $ 2,564 $ 2,262 Operating Earnings $ 159 $ 191 $ 181 Operating Margin 6.7% 7.4% 8.0% Excluding Highlighted Items Operating Earnings $ 165 $ 207 $ 231 Operating Margin 6.9% 8.1% 10.2% Slide -- 15 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 16. Home and Networks Mobility Highlights • Maintained market leadership in digital entertainment devices • Shipped two-millionth IP set top device • Introduced DSR-6000 product line • Conducted world’s first WiMAX 802.16e mobile handoff Slide -- 16 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 17. Enterprise Mobility Solutions Financials Q3 2007 Q2 2007 Q3 2006 ($ Millions) GAAP Sales $ 1,954 $ 1,920 $ 1,329 Operating Earnings $ 328 $ 303 $ 254 Operating Margin 16.8% 15.8% 19.1% Excluding Highlighted Items Operating Earnings $ 336 $ 302 $ 280 Operating Margin 17.2% 15.7% 21.1% Slide -- 17 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 18. Enterprise Mobility Solutions Highlights • Strong performance in Government & Public Safety and Enterprise markets • TETRA and MOTOTRBO two-way radio successes • Shipped one-millionth MC9000, rugged mobile computer • Shipping the new MC17 mobile computer • Good software integrated on new enterprise devices Slide -- 18 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 19. Q&A Participants Ed Zander Tom Meredith Chairman and Chief Chief Financial Officer Executive Officer Greg Brown Dean Lindroth President and Chief Investor Relations Officer Operating Officer Slide -- 19 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 20. Safe Harbor A number of forward-looking statements will be made during this presentation. Forward- looking statements are any statements that are not historical facts. These forward- looking statements are based on the current expectations of Motorola and there can be no assurance that such expectations will prove to be correct. Because forward-looking statements involve risks and uncertainties, Motorola’s actual results could differ materially from these statements. Information about factors that could cause, and in some cases have caused, such differences can be found in this morning’s press release, on pages 16 through 24 in item 1A of Motorola’s 2006 Annual Report on Form 10-K and in Motorola’s other SEC filings. This presentation is being made on the 25th of October 2007. The content of this presentation contains time-sensitive information that is accurate only as of the time hereof. If any portion of this presentation is rebroadcast, retransmitted or redistributed at a later date, Motorola will not be reviewing or updating the material that is contained herein. MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office. All other product or service names are the property of their respective owners. © Motorola, Inc. 2007 Slide -- 20 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.
  • 21. Use of Non-GAAP Measures In addition to the GAAP results provided during this conference call, Motorola has presented certain non- GAAP measurements. Motorola has provided these non-GAAP measurements as a measure to help investors better understand its core operating performance, enhance comparisons of Motorola’s core operating performance from period to period and to allow better comparisons of Motorola’s operating performance to that of its competitors. Among other things, the Company’s management uses these operating results, excluding the identified items, to evaluate the performance of its businesses and to evaluate results relative to incentive compensation targets. Management uses operating results excluding these items because they believe this measure enables them to make better period-to-period evaluations of the financial performance of its core business operations. There are inherent limitations in the use of operating results excluding these items because the company’s GAAP results do not include the impact of these items. The non-GAAP measures are intended only as a supplement to the comparable GAAP measures and the company compensates for the limitations inherent in the use of non-GAAP measures by using GAAP measures in conjunction with the non-GAAP measures. As a result, investors should consider these non-GAAP measures in addition to, and not in substitution for, or as superior to, measures of financial performance prepared in accordance with GAAP. Details of these items and reconciliations of the non-GAAP measurements provided during this call to GAAP measurements can be found on Motorola’s website at www.motorola.com/investor. Slide -- 21 Q3 2007 Earnings Release- October 25, 2007 MOTOROLA and the Stylized M Logo are registered in the US Patent & Trademark Office.