Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Technology Stocks : i2 Technologies -- Ignore unavailable to you. Want to Upgrade?

To: Renga who wrote (758)	10/12/1998 7:57:00 AM
From: Mohan Marette	Read Replies (1) \| Respond to of 2339

Baan Warns of Loss in Third Quarter; Shares Plunge ( Renga: Wonder whether this will have a negative impact on ERP stocks this morning and possibly SCMs! courtesy:Bloomberg Excerpts. Mon, 12 Oct 1998, 7:51am EDT Baan's Warning That It Expects Third-Quarter Loss Sends Shares Plunging Update2) Updates with analyst comment from 4th paragraph.) Barneveld, Netherlands, Oct. 12 (Bloomberg) -- Baan Co. NV, the world's No. 2 maker of business-management software for small- to medium-sized companies, said it expects to post a third-quarter loss as global economic weakness forced businesses to cut spending. Baan shares plunged as much as 41 percent. The Dutch software maker, founded in 1978 by Jan Baan, a college dropout who financed the startup with money made from buying and selling homes, said it expects to report a third- quarter loss of 13 cents a share to 16 cents a share. That compares with a profit of 9 cents a share a year earlier, revised to reflect a 2-for-1 stock split a year ago this month. The company will announce earnings on Oct. 28. The Dutch software maker's warning is likely to fuel concern that growth is slowing in the $14.4 billion market for software that helps companies track personnel, manufacturing and inventory through one network. Potential customers delayed information-technology projects in the quarter, while those that signed agreements reduced spending because of ''global economic conditions'' Baan said, adding that it expects these trends to continue until economic conditions improve. ''It's clear that something is definitely happening in the market,'' said Bert Siebrand, an analyst at SNS Securities NV. ''Manufacturing companies especially are re-thinking their business spending, and Baan is feeling the impact.'' Siebrand said Baan told analysts in a conference call that about 30 contracts, with a value of $600 million, were unexpectedly delayed in the final weeks of September. Many of the contracts were with U.S.-based manufacturers, he said......