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To: Dealer who wrote (25018)	12/14/2000 1:21:37 PM
From: Dealer	Respond to of 65232

NT/CSCO--Nortel, Corning upbeat for 2001 December 14, 2000 09:35 AM PT by Rex Crum RELATED STORIES •Cisco's Chambers bullish on future growth -------------------------------------------------------------------------------- Officials with Nortel Networks (NT) and Corning (GLW) today sought to deliver some Christmas cheer to investors jittery about the future of networking and fiber optics growth. John Roth, Nortel's chief executive officer, said he was "very confident" the company would meet revenue and earnings expectations for its 2000 fourth quarter and through 2001. Roth said Nortel's revenue should be between $8.5 billion and $8.8 billion, with earnings of 26 cents a share for the quarter that ends in two weeks. It was the third time Nortel has issued a statement and tried to solidify confidence in the company's market position since October. Nortel's stock has been on a slide for the past two months, since the company reported third-quarter results that fell shy of analysts' estimates. Roth today said Nortel, which is the world's top supplier of fiber-optic network equipment, said the company would stand by its growth forecasts for the coming year. Roth said Nortel will bring in revenue between $8.1 billion and $8.3 billion and earn 16 cents a share for its 2001 first quarter. For the year, the company should grow faster than the overall fiber-optic equipment market. "Given our strong market position... we continue to expect growth in revenue and earnings per share from operations in the 30 to 35 percent range," Roth said in a statement. Slowdown concerns There have been concerns among investors and industry analysts that the networking and fiber optics markets were headed for a slowdown following Nortel's less than stellar third-quarter numbers. Nortel, Corning, Cisco Systems (CSCO) and nearly every other company in the networking space saw its market value crumble after the announcement. Nortel stock, for example, has lost more than half its share price since hitting a 52-week high of $89 on July 25. Shares were trading up $1.88, to $38.31, just after midday. Corning, the world's largest fiber-optic cable maker, also came out bullish regarding its near-term future. John Loose, who will become Corning's CEO on Jan. 1, told the company's annual investors' conference that Corning's fourth-quarter and 2000 earnings will be at the high end of analysts' estimates. Currently, Corning is expected to earn between 26 cents and 28 cents a share for the fourth quarter and $1.15 to $1.17 a share for all of 2000. Loose said growing worldwide demand for Internet bandwidth is likely to continue and result in a greater need for Corning's products. "Corning is a high-tech company with a clear vision and sharp focus," Loose said. "We have the platform, the capabilities and the momentum for superior growth." Loose added that Corning would stand by its guidance for 2001. The company expects revenue between $9.1 billion and $9.2 billion, almost 30 percent over this year. Pro forma earnings per share should hit between $1.40 and $1.43. Analysts surveyed by First Call/Thomson Financial have pegged Corning's 2001 earnings at $1.43 a share. Corning's stock gained close to 2 percent, or $1.25, to $73.69 in midafternoon trading.