cut fiscal 2006 earnings guidance, citing a slower than expected recovery in its medical segment .
The Limerick, Pa., engineered products company expects second-quarter earnings from continuing operations to be up modestly on a sequential basis, but substantially lower than the year ago quarter.
Teleflex forecasts full-year earnings from continuing operations, excluding special charges and gain on sale of assets and including options expense, of $3.65 to $3.80 a share. That's down from its earlier forecast of $3.91 to $4.12 a share.
Analysts surveyed by Thomson First Call were expecting earnings of $3.96 a share.
Teleflex said it is undertaking additional restructuring initiatives designed to improve future operating performance by expanding the consolidation of operations in several of its businesses. It expects to record $12 million to $15 million of related cost by the end of 2006. It will also take a special charge of about $3.8 million related to the carrying value of a minority held investment.
In addition, it will also record corporate expenses in connection with legal and accounting costs of about $2 million related to a cancelled acquisition.
The company's shares were trading at $54.04, down $4, or 6.9% Wednesday.
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