Verizon Communications Inc. has cut its outlook for 2002, citing the ongoing economic downturn. In its revised guidance, the company said it expects revenue to be flat or down 1 percent compared to last year, as opposed to flat or up 1 percent. Verizon has pared its capital expenditures from as much as $15 billion, to as little as $13 billion.
Although the DSL access equipment market will continue to suffer this year, the market may be offered some reprieve next year, according to one industry analysis. DSL access equipment sales are expected to dip to $4.1 billion, a 26 percent drop from the numbers posted in 2001, according to industry researcher Dell'Oro Group.
Comdisco Inc.'s reorganization plan has been given the green light by the U.S. Bankruptcy Court for the Northern District of Illinois. The company expects to emerge from Chapter 11 in August. The plan calls for Comdisco to spend up to three years to wind down the company's remaining assets. The sell-off is expected to bring roughly 90 percent recovery to its creditors.
Copyright 2002 Knight Ridder/Tribune Business News Copyright 2002 The Dallas Morning News The Dallas Morning News…07/31/2002 From LexisNexis The nation's top telecommunications regulator defended his market-based policies before a U.S. Senate panel Tuesday and said the beleaguered industry needed consolidation, new services and regulatory changes to recover.
Copyright 2002 Gannett Company, Inc. USA TODAY…07/31/2002 From LexisNexis In an effort to jump-start the languid rollout of digital TV, federal regulators next week are expected to require all new TV sets to include digital receivers by 2006, say people familiar with the matter. TV makers say the mandate would boost the price of a TV by about $200, dampening sales.
Despite fierce competition in the broadband space, EarthLink Inc. surpassed its quarterly subscriber estimates for its high-speed Internet service, adding 72,000 customers during the second quarter. The uptick in broadband subscribers help offset a 6 percent year-over-year dip in dial-up customers. The company's second-quarter net loss shrank from $98.
After weighing all its options, Birch Telecom has opted to seek creditor protection under the shroud of a Chapter 11 bankruptcy filing, while it works to trim its debt to $100 million. The CLEC had first raised the possibility of a bankruptcy filing back in December. At that time, the company said it was "actively engaged in discussions with its senior lenders regarding a possible restructuring...
Less than a week after a class action lawsuit was filed against metro networker Riverstone Networks Inc., the company is being sued again. The class action lawsuit claims the company and certain senior officers deceived investors by falsely representing Riverstone's financial condition and prospects in public statements.
The hits just keep on coming at WorldCom Inc. The latest: the company's securities have been delisted from the Nasdaq. The Nasdaq Listing Qualification Panel has decided that in light of WorldCom's recently bankruptcy filing and the pending restatement of financial results for 2001 and the first quarter 2002 the company's securities would be delisted today.
Copyright 2002 The Deal L.L.C. The Daily Deal…07/30/2002 From LexisNexis Germany's Deutsche Telekom AG said Monday it is in talks with five international groups interested in buying its six remaining regional cable operators. The Bonn-based company said it selected the five from nine nonbinding offers that were submitted last week.
"Won't you tell me how to get, how to get to Sesame Street?" Now parents can plop their kids down in front of the television any time of day, and find something educational for them to watch. Big Bird, Elmo and the rest of the gang are skipping into the digital age through a video-on-demand deal with Intertainer.
After abandoning Sprint ION, Sprint is looking to double its potential market coverage for business-class DSL, and is turning to Covad Communications to make it happen. The duo has inked a third-party wholesale agreement in which Sprint will purchase wholesale DSL services from Covad for sale to its business-class customers in select markets.
Shares of Qwest Communications International Inc. were taking a beating today, following news that the company plans to restate earnings for 1999, 2000 and 2001. Qwest said it improperly accounted for about $1.1 billion in optical capacity sales from 1999 through 2001. The company is in the midst of examining its accounting practices and procedures and may have to restate all optical capacity s...
Marking the third loss for Gemstar-TV Guide International in about a month, a U.S. District Court judge in North Carolina has ruled that EchoStar Communications Corp. did not infringe on any of the Gemstar patents involved in this particular case. Judge Lacy Thornburg dismissed the case and awarded court costs to EchoStar.
Williams Communications Group Inc. inched closed to emerging from Chapter 11 with a multi-million dollar investment from Leucadia National Corp. The deal calls for Leucadia to make a $150 million investment to help Williams repay mounting bank debt. Leucadia also will fork over $180 million for Williams' former parent Williams Companies' rights in Williams Communications Group.