Re: Asia Warnings
A host did come out after the bell so I thought I would post. I'm sure you'll be hearing about these in the morning. Especially the Weyerhaeuser one.
Hope this helps,
MikeM(From Florida)
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Weyerhaeuser earnings seen in mid-$0.20 range
LOS ANGELES, June 16 (Reuters) - Weyerhaeuser Co. WY , which said earlier that it expected its second quarter earnings to be significantly below analysts' estimates, is likely to report earnings in the mid-$0.20 range, analysts said.
On a conference call with analysts, the company indicated that its earnings would be about $0.10 to $0.15 below analysts' estimates, analysts said. The consensus estimate was $0.38 a share, according to First Call.
Weyerhaeuser said its earnings were likely to be "significantly below current analyst estimates" due to the Asian economic crisis and increased competition from imports. It said the Asian economic crisis has weakened demand in Asia for its products while making imports more competitive due to the strength of the U.S. dollar.
The Asian economic crisis has caused products that were originally intended for that market to be diverted into the United States, analysts said. "The problem is not so much Asian imports flooding into the U.S. market .... it's actually product coming into the U.S. from other places in the world," McAuley said. "We also have a situation where logs headed for the Asian market were backed up into U.S. market." "Most of these things are impacts that are beyond their control," McAuley said.
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Radisys sees weak Q2, Q3 results
HILLSBORO, Ore., June 16 (Reuters) - RadiSys Corp. said Tuesday it will likely report second and third quarter results weaker than previously expected due to conditions in Asia. The embedded computer company said that the economic situation in the Pacific Rim and a slowdown in growth anticipated by the company's original equipment manufacturers has resulted in order reductions and orders being pushed back.
Radisys said it expects revenue for the second quarter to be about $24 million, and for the quarter to be slightly profitable. It said it expects similar results in the third quarter, based on indications from its customers.
"Many of our key customers are indicating now that their needs are significantly lower than they had projected just four to six weeks ago," said Chief Executive Glen Myers. "Our customers are pointing to a variety of reasons, namely decreases in demand due to direct and indirect effects of the Asian economic downturn lower growth rates, and overall nervousness." He said order rates have been particularly weak from customers in the semiconductor equipment, electronic assembly and robotics equipment, and test and measurement equipment markets.
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Raychem sees lower Q4, cites sales in Asia
MENLO PARK, Calif., June 16 (Reuters) - Raychem Corp. said that its fiscal fourth quarter earnings will be 20-25 percent below previous estimates, due to slowing sales in Asia and in the overall electronics industry. Raychem said its overall growth outlook for fiscal 1999 remains positive, at about 10 percent, with expectations that sales growth will strengthen for access network electronics products, its PolySwitch product and heat tracing products
Raychem said that sales of its PolySwitch devices will be lower than last year's fourth quarter, as a result of weakening demand in the electronics industry. Heat tracing and copper cable accessories business continues to be weak. In the access network electronics business, sales are slowing due to customer inventory adjustments and short-term delays in deployment.
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Applied Films Corporation Pre-Announces Fourth Fiscal Quarter 1998
LONGMONT, Colo., June 16 /PRNewswire/ -- Applied Films Corporation AFCO said today that fourth quarter 1998 results will be impacted by a slowdown in Asian demand for coated glass and due to costs associated with production equipment moves to its new Longmont facility. The estimated impact on the fourth quarter, which ends June 30, 1998, is expected to result in earnings per diluted share of approximately 17 cents.
"While other technology markets have been affected for some time by the Asian financial crisis, we have only recently felt the effect in our primary business of coated glass," said Tom Edman, president and chief executive officer. "Based on the information from customers we have at this time, we are preparing for a slowdown that will last into fiscal 1999."
Mr. Edman indicated that the slowdown in capital expenditures by flat panel display manufacturers will impact the Company's capital equipment business for fiscal 1999. Applied Films previously announced that some plasma display manufacturers have delayed capital investment up to a year and that overall capital spending was being widely postponed in much of Asia.
"The joint venture with Nippon Sheet Glass fits well with our long-term goals," Mr. Edman said. "We not only align ourselves with the largest name in glass substrate and have closer access to our key customer base on the coated glass side, but we also will substantially reduce manufacturing and transportation costs by filling certain orders at the China facility."
Applied Films Corporation is a leading supplier of thin film coated glass and Physical Vapor Deposition (PVD) equipment to the flat panel display industry. Flat panel displays are found in a wide variety of consumer and industrial products, including cellular telephones, calculators, pagers, video games, office products and laptop computers. FPDs have also been identified as a potential replacement for the CRT in televisions and computer monitors.
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Spectra-Physics lowers Q2 forecasts
MOUNTAIN VIEW, Calif, June 16 (Reuters) - Laser supplier Spectra-Physics said Tuesday it expects to report lower than anticipated sales of $39 million to $41 million for the second quarter ending June 30, 1998. This compares with sales of $38.4 million a year ago. It also said net income should range from $1.9 million to $2.2 million, or $0.11 to $0.13 diluted earnings per share.
Spectra-Physics attributed its lower sales expectations to the continued sharp decline of the yen against the U.S. dollar, overall economic conditions in Asia and slowing orders due to production scale-back by a major customer as well as other conditions.
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