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ZDNet: IBM returns
Amid a revenue warning from voice and data services provider WorldCom and worse-than-expected earnings from telecom equipment maker Lucent, CNET's Tech index fell 41.11 points, or 3.2 percent, to 1,286.45. The tech-packed Nasdaq composite index shed 2.1 percent to close at 1,758.64.
With Dow Jones average components AT&T and SBC Communications falling, the blue chip index dropped 1.2 percent to 10,136.43. The S&P 500 slid 1.5 percent to 1,107.82.
HP integration carries on in merger limbo The fate of the merger between Hewlett-Packard and Compaq Computer will be in the hands of a Delaware court this week, but the massive job of integrating the two companies continues unabated. HP had hoped the merger would close by April 1 and had planned to have all its integration plans ready by that point. Instead, three weeks later, the company is set to go to court and defend itself against a lawsuit from dissident director Walter Hewlett, who is asking the Delaware Chancery Court to overturn the vote by HP shareholders to approve the deal. HEWLETT-PACKARD 18.27 -2.25%
Lucent posts 8th straight qtly loss, sees more cuts MURRAY HILL, N.J. - Lucent Technologies Inc. on Monday posted its eighth consecutive quarterly net loss, and said it would cut more jobs and possibly take more charges in its efforts to return to profitability amid the spending slowdown in the global telecom industry. Lucent, the world's largest telecommunications equipment maker, which launched its massive restructuring in January 2001, said it will reduce its work force to close to 50,000 by the end of September from 56,000 at the end of March. The Murray Hill, New Jersey-based company repeated it will return to profitability during fiscal 2003, and said more cost cutting will be needed, but did not say whether that means more job cuts. LUCENT TECHNOLOGIES 4.49 4.66%
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