Ahead Of The Bell: Barnes Group

HARTFORD, Conn. (AP) — An analyst cut her 2009 earnings estimates Wednesday for Barnes Group Inc., a day after the aerospace and industrial-components manufacturer withdrew its guidance for the year because of the recession and uncertainty in transportation markets.

Analyst Yvonne M. Varano of Jefferies & Co. cut her estimate to 80 cents per share from $1.24 per share.

Analysts surveyed by Thomson Reuters expect Barnes Group to earn $1.19 per share this year.

Varano said the largest factor in Barnes' decision to withdraw its guidance is uncertainty surrounding the automotive market due to bankruptcy protection filings by General Motors Corp. and Chrysler LLC.

"We believe that anticipated summer plant closures could now be longer than originally anticipated," she said in a note to investors. "The lack of clarity in regard to production schedules is likely to negatively impact demand."

The result will likely be weaker than expected revenue in the second and third quarters, Varano said.

Barnes said in May it expected to make $1.20 to $1.35 per share for the year. It did not update its estimate as it announced Tuesday its withdrawal of the guidance.