AOL Outlook Reduced on Soft Ad Market
Citing continued weakness in the online ad market, AOL Time Warner yesterday reduced its outlook for its America Online unit but reaffirmed its previously announced forecast for the overall company.The company predicted its online ad and e-commerce revenue for 2002 will be $1.7 billion, but could slip an additional 5 percent. Earnings before interest, taxes, depreciation and amortization are expected to be $1.7 billion to $1.8 billion. Previously, the company said that EBITDA for the unit would be $1.8 billion to $2.2 billion.
The company's stock opened yesterday at $12.95 but dropped to a low of $12.52 before rebounding to $13.49 at the close of trading.
