Updated from 2:14 p.m. EDT with new stock prices

Small-cap stocks took a tumble Friday along with the broader market as an earnings miss from market bellwether General Electric ( GE) kicked off widepread selling. The Russell 2000 slipped 2.7% to 688.16, and the S&P SmallCap 600 fell 2.5% to 363.99.

Frontier Airlines ( FRNT) led the downward charge. Shares sank into a free fall, dropping 69.4% to 48 cents after the Denver company filed for bankruptcy.

Despite in-line earnings, Dallas-based provider of converged voice and data solutions for networks and enterprise Intervoice ( INTV) shares plummeted 15.6% to $6.81. Yesterday after the close, the company announced fourth-quarter income of $2.1 million, or 5 cents a share, in line with analysts' view. A year ago, Intervoice lost $2.8 million, or 7 cents a share. CEO Bob Ritchey predicted first-quarter revenue between $51 million and $55 million. Analysts are looking for revenue of $54.25 million.

Ixia ( XXIA), a provider of Internet protocol-based infrastructure and services, lost 17.6% to $6.34. Last night, the Calabasas, Calif., firm cut its first-quarter revenue forecast to between $41 million and $42 million from a previous view of $42 million to $46 million. The company also guided for non-GAAP EPS between 3 and 4 cents, down from a previous outlook of 4 cents to 7 cents. The Street is looking for revenue of $44.6 million and EPS of 6 cents. JPMorgan Securities downgraded the stock to market outperform from strong buy, and Ferris Baker Watts replaced its buy rating with neutral.

In other Wall Street downgraded, shares of Denver's Zoran ( ZRAN) gave up 11.3% to $12.81, after Jeffries & Co. downgraded the maker of integrated circuits for video to underperform from buy. And shares of Cheniere Energy ( LNG) dropped 15.6% to $15.66, after a Lehman downgrade from overweight to equal-weight.

Several stocks managed to rise in the down market. The Pantry ( PTRY), a convenience store chain based in Sanford, N.C., had been featured Wendesday and Thursday as a small-cap loser. Today, shares recovered somewhat from the drubbing, rising 12.3% to $12.74.

Also rising, Trizetto Group ( TZIX), a maker of software for the health care industry, saw shares rise 15.4% to $20.39. The Newport Beach, Calif., company announced it has agreed to be taken private by private equity firm Apax Partners for $22 a share in cash.