Analysts were rushing to cut their forecasts for next year’s earnings per share, with Stephen Smith of PaineWebber the most bearish – and the most often right: he is going for just $1.75 a share for 1993; most analysts said IBM Corp is not done with its restructuring, and there will be more to come – I think basically the mainframe business and the problems they are facing are very fundamental and will likely worsen in 1993, Smith said – the mainframe business is the main source of cash flow and it will be very difficult to offset that by improvements elsewhere.
