General Cable will substantially reduce communications cable output in response to very weak demand--and reduces earning estimates

摘要

Looking back at past recessionary periods, we have never seen reductions of this magnitude at the local exchange carriers. The demand drop over the last several quarters has been unprecedented. While the currently weak telecommunications market has negatively affected our short-term earnings outlook, we expect future market improvement as capacity is absorbed, capital reformed and telco investment in local network assets is preserved through regulation and/or court decisions.