Lucent backtracks on recovery predictions

NEWS Long-suffering telecoms equipment maker Lucent has backtracked on its recovery predictions and said it will not hit profitability for the year. Revenue for its second quarter is now only projected to grow by one per cent on the previous quarter and not by the 10 to 15 per cent it originally forecast. The reduction in sales means Lucent will not hit targets set by the lending banks. As a consequence, the company will have to delay the spin-off of its semiconductor company, Agere Systems.