IBM Corp shed US$2.37 to US$98.47, and was the leading decliner on the Dow. Business Week reported US$10.9 billion in its pretax 2001 income reflects 20 percent of non-operational earnings, from such items as pension fund gains and asset sales.
Cisco, the biggest maker of networking equipment, dropped US$0.48 to US$16.39, and Intel, the largest semiconductor maker, declined US$0.28 to US$30.31.
McData plunged US$3.08 to US$9.47. The maker of computer-storage network switches had a wider-than-expected first-quarter loss as its largest customer cut orders. That forecast raised doubts about EMC, which dropped US$0.55 to US$11.16. The world's largest storage-equipment maker declined comment on implications for its results. Veritas Software Corp, a smaller rival to EMC, slid US$2.17 to US$35.12.
Nortel Networks Corp fell for a fourth day, dropping US$0.41 to US$3.83. The second-biggest maker of telecommunications equipment yesterday had its credit rating cut to junk by Moody's Investors Service, triggering a provision in the company's bank lines that gives creditors title to its assets in the event of a bankruptcy.
Enterasys Networks Inc tumbled US$2.66, or 64 percent, to US$1.48. The computer-networking-equipment maker that's being investigated by US regulators said Chairman and CEO Enrique Fiallo, Vice Chairman James Riddle and Chief Operating Officer Jerry Shanahan all resigned.
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