While I wouldn’t call a ‘bottom’ to the market right now, there are signs that the market is moving toward stability, which is a necessary first step to recovery, CEO Patricia Russo told the company’s annual meeting.
While Russo said she does not expect the rapid growth the industry enjoyed in the 1990s, she said she does anticipate annual growth of about 5% to 7% in the telecommunications sector.
She said the company expects to have more than $2bn in cash by the end of current fiscal year, at which time we anticipate returning to profitability.
Lucent directors got approval from shareholders for a reverse stock split, to avoid the humiliation of its shares being de-listed from the New York stock exchange. Though the current price is $1.79, the stock has been as low as $0.55 at which level it ran the risk of breaching exchange rules that companies must maintain a 30-day average closing stock price of at least $1. Lucent plans a reverse stock split to lift its stock price to between $15 and $25.
Source: Computerwire
