Digital Lightwave

(DIGL)

warned that its fourth-quarter results would be below Wall Street's expectations, saying it now expects revenue of between $5 million and $5.5 million.

Wall Street analysts were expecting fourth-quarter revenue of $6.7 million to $9 million, according to Thomson Financial/First Call.

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The fiber-optic test equipment maker also announced plans to outsource production and cut jobs in light of the weak telecommunications market.

Shares of Digital Lightwave closed at $7.89 Tuesday on the

Nasdaq

before the warning.