UPDATE 2-Manitowoc withdraws outlook; says may breach covenants

lunedì 30 marzo 2009 18:20
 

* Withdraws 2009 outlook

* Sees Q1 EPS half of St est

* Says could violate covenants in H2

* Cites lower proceeds from sale of ice business

* Shares down as much as 37 percent (Recasts; adds details, background, analyst comment; updates share movement)

By A.Ananthalakshmi

March 30 (Reuters) - Diversified manufacturer Manitowoc Co (MTW.N: Quotazione) forecast first-quarter earnings sharply below Wall Street expectations, hurt by weakening demand for its cranes, and it withdrew its outlook for the year, sending its shares down as much as 37 percent.

The company also said it was heading towards a possible violation of debt covenants this year as proceeds from sale of its ice business were lower than expected.

The crane segment, which has been hurt by project cancellations, accounts for about 85 percent of Manitowoc's total business and reported a sharp drop in backlogs and sales in the last quarter.   Continua...