Sierra Wireless Signs Supply Deals With Verizon, Compaq

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Sierra Wireless

(SWIR) - Get Report

signed new supply agreements with

Verizon Wireless

and

Compaq Computer

(CPQ)

, and said it expects revenue for fiscal 2001 to grow "substantially."

Sierra, which is based in Vancouver, British Columbia, expects earnings of $4.2 million and revenue of $120 million in 2001. Four analysts polled by

First Call/Thomson Financial

expect 2001 revenue of $112.4 million.

The wireless data communications provider also projected fourth-quarter earnings of $270,000, on revenue of $18 million, in line with the two-analyst estimate provided by First Call. First-quarter net income in 2001 is expected to be $660,000, while revenue is expected to be $22 million. Analysts on average expect first-quarter revenue of $22.3 million.

Sierra said Verizon agreed to purchase $30 million worth of its AirCard 555 dual-band wireless cards to give mobile users high-speed Internet access. The order will be filled over the next year. Compaq signed a one-year exclusive agreement to buy Sierra's AirCard 300 wireless communications cards for its iPAQ pocket personal computers. The company didn't disclose any financial terms of the deal.