Sprint Drops After Forecast Cut as 500,000 Mobile Users Lost
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Sprint Corp. shares tumbled after the U.S. wireless carrier lost subscribers for an 11th straight quarter and lowered its earnings forecast for this year.
In response, Sprint is cutting 2,000 jobs as it tries to reduce annual costs by $1.5 billion, according to a statement yesterday. The Overland Park, Kansas-based company reduced its adjusted profit forecast for calendar year 2014 by $1 billion to no more than $5.9 billion. The shares fell as much as 17 percent, the most since a merger with T-Mobile US Inc. fell through almost three months ago.