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Avaya cuts Q3 outlook, blames slow capital spending

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CIOL Bureau
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SAN FRANCISCO: Communications equipment maker Avaya Inc. on Monday cut its

third-quarter revenue outlook, noting customers are holding back their capital

spending.

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Avaya, a provider of voice and data networks, said it expected that

third-quarter revenues would be flat to moderately down from the second quarter

because customers concerned with corporate profits are hesitant to invest in

capital equipment and information technology.

The company repeated it saw a "modest increase" in fiscal

third-quarter earnings from the second quarter. Basking Ridge, New Jersey-based

Avaya, a former unit of Lucent Technologies Inc., said the increase in the

earnings per share would be subject to the final mix in revenues in the third

quarter.

(C) Reuters Limited.

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