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Fresh profit warning from Compaq

Ben Rosen delivers bad news

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Compaq has failed to produce a CEO and this morning chairman Ben Rosen delivered a further profits warning to Wall Street. Rosen said revenues and profits will be flat compared to Q1, a move that is bound to send shivers down shareholders' backs. He blamed competitive pressures in the marketplace for the future shortfall. But, as revealed here earlier today, Compaq will split its business into three groups -- PCs, consumer and enterprise solutions. Each will have its own profit and loss accounts. ®

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