Cable & Wireless Worldwide (CWW) has become the first major company to warn on profits because of the cuts announced in the government’s emergency budget last month.

Shares in the company, which provides communication services to large corporations as well as local authorities and government bodies, plunged 17% after the warning. This wiped more than £370m off its value, just four months after the firm was created in a demerger that led to higher salaries for its top executives.

To read this report in The Guardian in full, see:
www.guardian.co.uk/business/2010/jul/20/cable-wireless-profits-warning