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Technology Stocks : Ciena (CIEN)

CIEN 201.51

+2.9%

4:00 PM EST

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From: FJB	9/8/2010 4:10:00 PM
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I’ll close our prepared remarks today by talking to guidance for the fiscal fourth quarter of 2010. We currently expect a sequential increase in our Q4 revenue of up to 5%. On gross margin, because Q3 gross margin benefited from both a favorable product mix and a favorable customer mix, we believe overall gross margin for the combined company will be lower going forward. We believe that our as-adjusted gross margin in Q4 will be in the low 40%. This includes an expected gross margin on services in the mid-to-high 30s as a result of the better mix of advanced services in the combined business going forward. seekingalpha.com

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