TW Telecom: Slowdown Spreads, Merriman Downgrades
TW Telecom (TWTC), provider of managed telecom services, indicated in an 8-K filing with the SEC late Monday that weakness in its business appears to be spreading.
The company said it is seeing “strong sales, which have increased for the first eight months of the year over the same period last year.” TWTC also said it “continues to pursue and win” larger and more complex customers with longer sales and installation cycles.
However, TW also said that, as it has previously indicated, it has “experienced pressure on its revenue growth in the first half of the year from disconnects by customers in the mortgage industry and from very small customers, as well as economy-related pressure in its Midwest region.” TW said in the new filing that “these pressures continue.”
