-----BEGIN PRIVACY-ENHANCED MESSAGE-----
Proc-Type: 2001,MIC-CLEAR
Originator-Name: webmaster@www.sec.gov
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<SEC-DOCUMENT>0001102624-06-000275.txt : 20061012
<SEC-HEADER>0001102624-06-000275.hdr.sgml : 20061012
<ACCEPTANCE-DATETIME>20061012103949
ACCESSION NUMBER:		0001102624-06-000275
CONFORMED SUBMISSION TYPE:	8-K
PUBLIC DOCUMENT COUNT:		2
CONFORMED PERIOD OF REPORT:	20061012
ITEM INFORMATION:		Financial Statements and Exhibits
FILED AS OF DATE:		20061012
DATE AS OF CHANGE:		20061012

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			FORGENT NETWORKS  INC
		CENTRAL INDEX KEY:			0000884144
		STANDARD INDUSTRIAL CLASSIFICATION:	SERVICES-COMPUTER INTEGRATED SYSTEMS DESIGN [7373]
		IRS NUMBER:				742415696
		STATE OF INCORPORATION:			DE
		FISCAL YEAR END:			0731

	FILING VALUES:
		FORM TYPE:		8-K
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-20008
		FILM NUMBER:		061141217

	BUSINESS ADDRESS:	
		STREET 1:		108 WILD BASIN RD
		CITY:			AUSTIN
		STATE:			TX
		ZIP:			78746
		BUSINESS PHONE:		5124372700

	MAIL ADDRESS:	
		STREET 1:		108 WILD BASIN RD
		CITY:			AUSTIN
		STATE:			TX
		ZIP:			78746

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	VTEL CORP
		DATE OF NAME CHANGE:	19960401

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	VIDEO TELECOM CORP
		DATE OF NAME CHANGE:	19960401
</SEC-HEADER>
<DOCUMENT>
<TYPE>8-K
<SEQUENCE>1
<FILENAME>forgent8k.htm
<DESCRIPTION>FORGENT NETWORKS 8-K
<TEXT>
<table cellpadding="3" border="0" cellspacing="0" width="100%">
<tr><td>
</td></tr>
</table>
<center>
<table border=0 cellpadding=3 cellspacing=0>
<tr><td align="center"><br><br>
<B>UNITED STATES</B><br>
<B>SECURITIES AND EXCHANGE COMMISSION</B><br>
Washington, D.C. 20549<p>
<hr size=1>
<p><b>FORM 8-K<p>
CURRENT REPORT
<p>
Pursuant to Section 13 or 15(d) of the<br>Securities Exchange Act of 1934.
</td>
</tr>
</table>
<p>
<b>
<table border=0 cellpadding=0 cellspacing=0>
<tr><td colspan=5 align=center>
<b>Date of Report: October   12, 2006</b><br>
(Date of earliest event reported)<br><br>
</td></tr>
<tr><td colspan=5 align=center>
<b>Forgent Networks Inc</b><br>
(Exact name of registrant as specified in its charter)
</td></tr>
<tr><td colspan=5><br></td></tr>
<tr>
<td align=center colspan=2 width="40%" valign="top">
<b>TX</b><br>
(State or other jurisdiction <br>of incorporation)
</td>
<td align=center width="20%" valign="top">
<b>0-20008</b><br>
(Commission File Number)
</td>
<td align=center colspan=2 width="40%" valign="top">
<b>74-2415696</b><br>
(IRS Employer <br>Identification Number)
</td>
</tr>
<tr><td colspan=5><br></td></tr>
<tr>
<td align="center" colspan=2>
<b>108 Wild Basin Rd</b><br>
(Address of principal executive offices)
</td>
<td>&nbsp;</td>
<td align="center" colspan=2>
<b>78746</b><br>
(Zip Code)
</td>
</tr>
<tr><td colspan=5 align=center><br>
<b>512-437-2700</b><br>(Registrant's telephone number, including area code)
</td></tr>
<tr><td colspan=5><br></td></tr>
<tr><td colspan=5 align=center>
<b>Not Applicable</b><br>(Former Name or Former Address, if changed since last report)<br>
</td></tr>
</table>
</center>
<br><br>
</b>
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:<br>
<dl>
 <dd><font face="wingdings">o</font> Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)<br>
 <dd><font face="wingdings">o</font> Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)<br>
 <dd><font face="wingdings">o</font> Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

  <br>
 <dd><font face="wingdings">o</font> Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

  <br>
</dl>
<hr size=1>
<table width=100%>
<tr><td width="100%">
<b>Item 9.01. Financial Statements and Exhibits</b></b><br>
<br><b>(a) Financial statements:</b><br>
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;  None<br>
<b>(b) Pro forma financial information:</b><br>
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;  None<br>
<b>(c) Shell company transactions:</b><br>
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;  None<br>
<b>(d) Exhibits</b><br>
<br>

<p>
&nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp;  99.1 &nbsp; &nbsp; &nbsp; <a href="forgentnetworksinc8.htm">Press Release of Forgent Networks Inc dated October   12, 2006</a></b>
<p>
<p>
<hr size=1>
<b><center>SIGNATURE</center></b>
<p>
&nbsp; &nbsp; &nbsp; Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be
              signed on its behalf by the undersigned hereunto duly authorized.<p>
</td></tr>
</table>
<br>
<table>
<tr>
<td width="50%" valign=top>
Dated: October   12, 2006<br>
</td>
<td>
<b>FORGENT NETWORKS INC</b>
<p>
By: <u>&nbsp;/s/ Jay Peterson  &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; &nbsp; </u> <br>
&nbsp; &nbsp; &nbsp;Jay Peterson <br>
&nbsp; &nbsp; &nbsp;<i>Chief Financial Officer</i><br>
</td></tr>
</table>
<hr>
<center>
<table border=0 width="100%">
<tr><td colspan=2>
<center><b>Exhibit Index</b></center>
</td>
</tr>
<tr>
<td width=50% align=center><b><u>Exhibit No.</u></b></td>
<td width=50% align=center><b><u>Description</u></b></td>
</tr>
<tr>
<td align=center>99.1</td>
<td align=center>Press Release of Forgent Networks Inc dated October   12, 2006</td>
</tr>
</table>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-99
<SEQUENCE>2
<FILENAME>forgentnetworksinc8.htm
<DESCRIPTION>FORGENT NETWORKS PRESS RELEASE
<TEXT>

<p></p>
<b>Forgent Announces Results for the 2006 Fiscal Fourth Quarter</b>
<p>Revenue Grows by 72%, Operating Expenses Remain Flat, Cash Increases by $1.6M</p>
<p>AUSTIN, TX -- 10/12/2006 --  Forgent&#8482; Networks (NASDAQ: FORG) today
announced results for the 2006 fiscal fourth quarter ended Jul. 31, 2006.
For the quarter, the company reported total revenue of approximately $4.4
million.  Highlights, as compared to the prior quarter, include:
</p>
<p>
<pre>
- --  Increased total revenue by 72% to $4.4M
- --  Increased intellectual property revenue to $3.5M
- --  NetSimplicity software revenue increased by 34% to $0.9M
- --  Generated cash from the NetSimplicity software business
- --  Released NetSimplicity Meeting Room Manager Version 7.0
- --  Held operating expenses flat at $2.7M
- --  Grew cash and cash equivalents to approximately $16.2M
    </pre>
</p>
<p>
"We continue to evaluate all of our options with the '672 Patent in light
of an unfavorable claims construction ruling.   We see progress with
respect to the litigation of the '746 Patent and are preparing for a
Markman hearing this November.  Additionally, we are exploring alternatives
for maximizing the value of the remainder of the intellectual property
portfolio.  Finally, we are pleased with the continued growth of our
NetSimplicity software business.  The NetSimplicity business generated cash
this past quarter and we believe this business will continue to grow," said
Richard Snyder, chairman and CEO of Forgent.
</p>
<p>
Intellectual Property
</p>
<p>
The intellectual property business generated revenue of approximately $3.5
million for the fourth quarter of fiscal 2006, compared to $1.9 million for
the third quarter of 2006.  This past quarter, two new intellectual
property licenses were signed.  Over the last four years, Forgent's
intellectual property program has generated approximately $114 million in
revenue from licensing the '672 Patent to more than 60 different companies
in Asia, Europe and the United States.
</p>
<p>
U.S. Patent No. 6,285,746 (the '746 Patent)
</p>
<p>
Forgent has litigation pending against 12 companies for infringement of its
'746 Patent in the United States District Court for the Eastern District of
Texas, Tyler Division.  A claims construction hearing is scheduled for
November 9, 2006 and a jury trial for May 2007.  The '746 Patent relates to
a computer controlled video system that allows playback during recording.
</p>
<p>
U.S. Patent No. 4,698,672 (the '672 Patent)
</p>
<p>
Forgent also has litigation pending against approximately 28 companies for
infringement of its '672 Patent in the United States District Court for the
Northern District of California.  The company is presently exploring all
options to create additional value from this patent.  The '672 Patent
relates to digital image compression used in digital image devices that
compress, store, manipulate, print or transmit digital images such as
digital cameras, personal digital assistants, cellular telephones,
printers, scanners, and certain software applications.  Since the start of
litigation, 15 defendants have entered into license or settlement
agreements.
</p>
<p>
Patent Portfolio
</p>
<p>
The company's patent portfolio of more than 20 patents includes the
combined inventions of Compression Labs, Inc., VTEL Corporation, and
Forgent Networks, Inc.  Forgent believes there is significant value in
these patents.
</p>
<p>
Software
</p>
<p>
NetSimplicity software revenue increased by approximately 34% to $0.9
million for the fourth quarter of fiscal 2006, compared to $0.6 million for
the third quarter of fiscal 2006. In addition, NetSimplicity generated cash
this past quarter, a significant milestone for this business segment.
</p>
<p>
In a continued validation of its low cost, high value delivery model,
NetSimplicity added several hundred customers this past quarter and
increased its customer base to more than 1,800 customers worldwide.
NetSimplicity develops software that simplifies day-to-day office
administration tasks including the management and scheduling of rooms,
equipment, assets and resources. This past quarter NetSimplicity announced
the release of Meeting Room Manager 7.0. This release contains significant
enterprise enhancements including Outlook integration and active directory
synchronization. In addition, sales of the company's Visual Asset Manager
continue to grow.
</p>
<p>
Fiscal Fourth Quarter Results
</p>
<p>
Revenue was $4.4 million for the fiscal fourth quarter compared to $2.5
million for the 2006 fiscal third quarter.  Overall operating expenses,
approximately $2.7 million, were flat compared to prior quarter.  The
company improved its net loss results, which were $.3 million or $0.01 per
share for the fourth fiscal quarter of 2006, as compared to a net loss of
$1.4 million or $0.06 per share for the third quarter of 2006.  Cash and
cash equivalents grew to $16.2 million over prior quarter.
</p>
<p>
Outlook
</p>
<p>
Forgent expects to continue to generate IP licensing revenue in the 2007
fiscal year.  However, predicting the timing and amounts will be
complicated because of the uncertainty of licensing negotiations and due to
the ongoing litigation.  In addition, we believe NetSimplicity will
continue to be a growth business for Forgent.
</p>
<p>
Conference Call and Webcast
</p>
<p>
Forgent has scheduled a conference call with the investment community for
Thu, Oct 12, 2006, at 10:00 a.m. CT (11:00 a.m. ET) to discuss the quarter
and outlook.  To take part, dial 866.831.6267 ten minutes before the
conference call begins, ask for the Forgent event, and use a pass code of
66660471. International callers should dial 617.213.8857 and use a pass
code of 66660471. Investors, analysts, media and the general public will
also have the opportunity to listen to the conference call over the
Internet by visiting the investor relations page of Forgent's web site at
www.forgent.com.  To listen to the live call, please visit the web site at
least 15 minutes early to register, download and install any necessary
audio software.  For those who cannot listen to the live broadcast, a
replay will be available shortly after the call on the investor relations
page of our web site at www.forgent.com.
</p>
<p>
About Forgent
</p>
<p>
Forgent&#8482; Networks (NASDAQ: FORG) develops and licenses intellectual
property and provides scheduling and asset management software to a wide
variety of organizations.   Forgent's intellectual property licensing
program is related to communication technologies developed from a diverse
and growing patent portfolio.  Forgent's software division, NetSimplicity,
develops software that simplifies day-to-day office administration tasks.
The products are specifically designed for the management and scheduling of
rooms, equipment, assets and resources. For additional information please
visit www.forgent.com.
</p>
<p>
Safe Harbor
</p>
<p>
This release may include projections and other forward-looking statements
that involve a number of risks and uncertainties, and actual results in
future periods may differ materially from those currently expected. Some of
the factors that could cause actual results to differ materially include
changes in the general economy or in our industry; rapid changes in
technology; sales cycle and product implementations; risks associated with
transitioning to a new business model and the subsequent limited operating
history; the possibility of new entrants into our software markets; the
possibility that the market for the sale of certain software and services
may not develop as expected; or that development of these software and
services may not proceed as planned; the risks associated with the
company's license program, and including risks of litigation involving
intellectual property, patents and trademarks.  Additional discussion of
these and other risk factors affecting the company's business and prospects
is contained in the company's periodic filings with the SEC.
</p>
<p>
<br>
<pre>
                   FORGENT NETWORKS, INC.
               CONSOLIDATED BALANCE SHEETS
        (Amounts in thousands, except per share data)


                                                             JULY 31,
                                                      --------------------
                                                        2005       2006
                                                      ---------  ---------
ASSETS
Current assets:
  Cash and equivalents, including restricted cash
   of $650 and $543 at July 31, 2005 and 2006,
   respectively                                       $  15,861  $  16,206
  Short-term investments                                  1,487         --
  Accounts receivable, net of allowance for
   doubtful accounts of $1 and $13 at July 31, 2005
   and 2006, respectively                                   471        714
  Prepaid expenses and other current assets                 266        274
                                                      ---------  ---------
    Total current assets                                 18,085     17,194

Property and equipment, net                               1,957        788
Intangible assets, net                                       33          4
Other assets                                                 27          3
                                                      ---------  ---------
                                                      $  20,102  $  17,989
                                                      =========  =========

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
  Accounts payable                                    $   1,856  $   3,631
  Accrued compensation and benefits                         590        547
  Other accrued liabilities                               1,209        907
  Notes payable, current portion                            355        313
  Deferred revenue                                          517        683
                                                      ---------  ---------
    Total current liabilities                             4,527      6,081

Long-term liabilities:
  Deferred revenue                                            4         11
  Other long-term obligations                             2,280      1,777
                                                      ---------  ---------
    Total long-term liabilities                           2,284      1,788

Stockholders' equity:
  Preferred stock, $.01 par value; 10,000 authorized;
   none issued or outstanding                                --         --
  Common stock, $.01 par value; 40,000 authorized;
   26,967 and 27,169 shares issued, 25,177 and 25,379
   shares outstanding at July 31, 2005 and 2006,
   respectively                                             269        271
  Treasury stock, 1,790 at July 31, 2005 and 2006,
   respectively                                          (4,815)    (4,815)
  Additional paid-in capital                            265,020    265,406
  Accumulated deficit                                  (247,199)  (250,754)
  Accumulated other comprehensive income                     16         12
                                                      ---------  ---------
    Total stockholders' equity                           13,291     10,120
                                                      ---------  ---------
                                                      $  20,102  $  17,989
                                                      =========  =========



                       FORGENT NETWORKS, INC.
              CONSOLIDATED STATEMENTS OF OPERATIONS
            (Amounts in thousands, except per share data)


                                  For the                  For the
                             Three Months Ended       Twelve Months Ended
                             July 31,   April 30,          July 31,
                               2006        2006        2006        2005
                           (Unaudited)  (Unaudited)

Revenues:
     Intellectual property
      licensing             $    3,493  $    1,891  $   12,105  $    7,894
     Software and services         867         647       2,791       2,012
                            ----------  ----------  ----------  ----------
       Total revenues            4,360       2,538      14,896       9,906
                            ----------  ----------  ----------  ----------

Cost of sales:
     Intellectual property
      licensing                  1,743       1,147       7,057       6,149
     Software and services         246         213         851         892
                            ----------  ----------  ----------  ----------
       Total cost of sales       1,989       1,360       7,908       7,041
                            ----------  ----------  ----------  ----------

Gross margin                     2,371       1,178       6,988       2,865

Operating expense:
     Selling, general and
      administrative             2,550       2,561      10,271      12,858
     Research and
      development                  164         153         618         318
     Amortization of
      intangible assets              6           6          28          50
                            ----------  ----------  ----------  ----------
       Total operating
       expenses                  2,720       2,720      10,917      13,226
                            ----------  ----------  ----------  ----------

Loss from operations              (349)     (1,542)     (3,929)    (10,361)
                            ----------  ----------  ----------  ----------

Other income (expense):
     Interest income               146         128         506         405
     Interest expense and
      other                        (30)        (12)        (88)        (39)
                            ----------  ----------  ----------  ----------
       Total other income
       (expense)                   116         116         418         366
                            ----------  ----------  ----------  ----------

Loss from continuing
 operations, before income
 taxes                            (233)     (1,426)     (3,511)     (9,995)
Provision for income taxes         (29)         (5)        (44)        (16)
                            ----------  ----------  ----------  ----------
Loss from continuing
 operations                       (262)     (1,431)     (3,555)    (10,011)

Loss from discontinued
 operations, net of income
 taxes                              --          --          --        (642)
Income on disposal, net of
 income taxes                       --          --          --       4,085
                            ----------  ----------  ----------  ----------
Income from discontinued
 operations, net of income
 taxes                              --          --          --       3,443
                            ----------  ----------  ----------  ----------

Net loss                    $     (262) $   (1,431) $   (3,555) $   (6,568)
                            ==========  ==========  ==========  ==========

Basic (loss) income per
 share:
Loss from continuing
 operations                 $    (0.01) $    (0.06) $    (0.14) $    (0.40)
                            ==========  ==========  ==========  ==========
Income from discontinued
 operations                 $     0.00  $     0.00  $     0.00  $     0.14
                            ==========  ==========  ==========  ==========
Net loss                    $    (0.01) $    (0.06) $    (0.14) $    (0.26)
                            ==========  ==========  ==========  ==========
Diluted (loss) income per
 share:
Loss from continuing
 operations                 $    (0.01) $    (0.06) $    (0.14) $    (0.40)
                            ==========  ==========  ==========  ==========
Income from discontinued
 operations                 $     0.00  $     0.00  $     0.00  $     0.14
                            ==========  ==========  ==========  ==========
Net loss                    $    (0.01) $    (0.06) $    (0.14) $    (0.26)
                            ==========  ==========  ==========  ==========

Weighted average shares
 outstanding:
     Basic                      25,375      25,372      25,290      24,959
     Diluted                    25,375      25,372      25,290      24,959
</pre>

</p>
<pre>
Investor contact:
Jay Peterson
512.437.2476
jay_peterson@forgent.com</a>

Media contact:
Lauren Peters
512.794.8600
lauren@petersgrouppr.com</a>


</pre>
</TEXT>
</DOCUMENT>
</SEC-DOCUMENT>
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