Shares in UK-based CAD/CAM software producer Delcam Plc crashed 44.6% to 28.5 pence after the company issued a profits warning and said it was making 800,000 pound provision against possible bad debts. With customers in 42 countries, Delcam has been hard hit by the collapse of the Russian economy and difficulties in overseas markets, particularly as it operates in the recession-hit engineering industry. Delcam, which competes against EDS spin-off Unigraphics Solutions with software used by tool makers, now expects a pre-tax loss in the second half of the current year instead of the small profit it originally anticipated. Managing director Hugh Humphreys said they were hopeful about recouping much of the money they were owed.
