Network Associates Plummets in Preopen Following Warning - TheStreet

Network Associates

(NETA)

was down 69% in preopen

Island

trading this morning. After the close Tuesday, the computer security software company

warned that it would post a fourth-quarter loss of between $130 million to $140 million, excluding certain items, due to reduced orders and a slowing economy. The Street had been expecting a profit of 31 cents per share.

The company also said it plans to replace chairman and CEO Bill Larson, president and COO Peter Watkins and CFO Prabhat Goyal.

Robertson Stephens

slashed its 2000 earnings estimate to 9 cents per share from $1.01 but raised its 2001 outlook to $1.27 from $1.22.

Shares of Network Associates closed Tuesday at $11.75. They were trading recently on

Island

at $3.62.