Powerwave Plunges Most Since 1996 on Reduced Forecast
Powerwave Technologies Inc. (PWAV), the maker of wireless communications products for Alcatel-Lucent SA, plummeted the most in almost 12 years after reducing its 2008 sales forecast.
Powerwave fell 85 cents, or 47 percent, to 95 cents at 4 p.m. New York time in Nasdaq Stock Market composite trading, the Santa Ana, California-based company's lowest price since its initial public offering in December 1996. The shares have lost 76 percent this year.
Sales will be $880 million to $920 million for the year, Chief Financial Officer Kevin Michaels said in a conference call with analysts yesterday. The company had forecast $920 million to $960 million in July.
``The global credit crisis escalated during September and October and in the last two weeks we have started to see an impact on our business,'' Michaels said. ``A few customers have started to cancel or request delays of orders for equipment.''
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