Corel's strategy for 2002 involves it targeting new and developing markets, the company has revealed.

For fiscal 2002, Corel – developer of Mac OS X applications such as Bryce 5, Corel Graphics Suite X and Corel Draw 10 – plans to invest in order to both secure new markets and develop solutions for emerging ones.

Derek Burney, Corel president and CEO, said: "With our financial house in order, healthy cash reserves and a well-defined strategic plan, we're prepared to enter a new phase of growth.

"Our future business will capitalize on the company’s technology assets, both organic and acquired, as we invest to capture high-growth emerging markets and establish ourselves as a leading provider of enterprise solutions in the areas of technical illustration, enterprise process-management and XML content solutions. While these investments will impact our bottom line in the short term, we're confident they'll pave the way for significant growth over the long term."

Progress John Blaine, Corel chief financial officer said: "We're pleased with the progress we’ve made over the past year to rebuild the company and lay the foundation for future growth, especially in light of the economic slowdown experienced in the latter part of 2001. Expected revenues for fiscal 2002 are between $170 million and $180 million - up on the expected fiscal 2001 revenues."

Despite this revenue growth, the company’s increase in strategic investments is expected to result in a net loss of between $23 million and $31 million. These figures don't include the cost of acquiring XML developers Micrografx and SoftQuad.

Corel announced it expects its acquisition of SoftQuad to close prior to the end of the first quarter of Corel’s fiscal 2002, which ends on February 28, 2002. Corel and SoftQuad representatives are awaiting regulatory approval of the required filings. Details of the integration plan will be revealed after the deal's close.