Article: Ciena's lost deal hits share value, shot at merger.(Business)

Ciena Corp. said it lost a major sale yesterday, news that sent the Linthicum, Md., high-tech company's shares plummeting 44 percent yesterday and put its merger with Tellabs Inc. in danger.

Ciena said yesterday that AT&T Corp. had decided not to buy any Ciena telecommunications equipment in the near future, sending Ciena's shares down $25.53 to $31.25. The stock drop could threaten Tellab's $6.8 billion purchase of Ciena or at least force a renegotiation of terms, analysts said.

"Obviously, the market was surprised," said Tom Burnett, director of Merger Insight, a research firm. "We're hopeful the companies could still negotiate some sort of ...

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