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William, of course they don't have to get into specific numbers; there's no need. They may not even know exactly what damage will be. But for instance, a year ago Eric B. from 3Com told analysts privately that "sales are well below expectations." (or words to that effect). He went on to say that he thought the whole networking industry was experiencing a slowdown. Needless to say, analysts rushed to the phones to notify the home office to begin downgrading, selling, warning, etc.
The results on the stock were immediately devastating. Pull up a one year chart for COMS, and see what happened. Looks like COMS will be down today on huge volume again. Unfortunately, I own COMS, and am selling at the open. 3Com management sold large blocks throughout the entire Summer and into the Autumn, so now the 3Com mgmt feels its time to address the fundamental problems at 3Com. And yes, Eric B. did drop hints to analysts that there were problems, but only in the last month or two. Since then it's been the death of a thousand cuts, and now the big knives will be pulled out to finish the job.
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