EMC Restructures, Lowers Guidance

EMC has lowered its fourth-quarter and full year guidance ahead of a $100 million restructuring charge.
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HOPKINTON, Mass. (

TheStreet

--

EMC

(EMC)

has lowered its fourth-quarter and full-year guidance ahead of a $100 million restructuring charge.

EMC, which competes with

Hewlett-Packard

(HPQ) - Get Report

and

NetApp

(NTAP) - Get Report

, revealed the change in an

Securities and Exchange Commission

filing on Tuesday.

EMC

is revising its fourth-quarter GAAP earnings outlook from 21 cents a share to 16 cents and its full-year projection from 55 cents a share to 50 cents.

The charge will be incurred as part of a reorganization in EMC's international business. Specifically, this involves transferring certain assets from the firm's

Data Domain

and

RSA

acquisitions into a single EMC international holding company. EMC expects the restructuring to be completed in 2010.

Excluding items EMC reaffirmed its previous guidance, predicting fourth-quarter earnings of 30 cents a share and full-year earnings of 87 cents.

Analysts surveyed by Thomson Reuters have forecast fourth-quarter earnings of 30 cents a share and 88 cents for the fiscal year.

EMC

beat analysts' estimates in its recent

third-quarter

results, buoyed by cost-cutting efforts and an a more confident IT

spending climate

.

EMC shares dipped 15 cents, or 0.89%, to $16.79 in extended trading.

-- Reported by James Rogers in New York