Stock Watch: ICG Down on Revised Revenue Forecast

ICG Communications Inc. (Nasdaq: ICGX) fell 2 1/4 to 1 21/32 Monday after the company said it will cut expenses, resulting in slower expansion and “significantly reduced” revenue and earnings forecasts for this year and next.

Network outages, equipment failures and other technical difficulties have plagued the company’s Internet Remote Access Service (IRAS) business, leading some customers to threaten to end their contracts.

ICG said the IRAS business accounts for a “significant portion” of its business. The company also said it will need additional funding and is hiring bankers to “explore all strategic options.”

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