CNT Sees Weak Fourth Quarter, Plans Convertible Offering

CNT

(CMNT)

said it expects weaker fourth-quarter earnings in spite of a 29% jump in revenue.

The storage area network switch maker now sees operating income of about $950,000, or 3 cents a share, down from $5.8 million, or 17 cents a share, in the year-ago period. The forecast is in line with analyst expectations, according to Thomson Financial/First Call.

Revenue for the quarter is expected to be $60.7 million.

The company also announced plans to offer a private sale of five-year subordinate notes convertible into company stock. The sale is expected to raise $125 million.