CALIFORNIA MICROWAVE <CMIC> TAKES 3RD QTR CHARGE
California Microwave Inc said
it will take non-recurring charges of 9.7 mln dlrs to pre-tax
earnings in the third quarter ended March 31.
    The company said earnings from operations in the second
half, ending June 30, 1987, excluding the charges, are expected
to be in the break-even range.
    In the second half of 1986 net earnings were 2,297,000
dlrs, or 29 cts per share.
    The company said the charges relate to its
telecommunications products area and three other areas.
    California Microwave previously estimated the write-downs
in the six to eight-mln-dlr range. It said it will add to that
a reserve for investment losses in Argo Communications Corp.
    Also to be included in the write-down are charges against
its advances to an Arizona-based communications electronics
firm the company has an option to acquire, it said.
    In addition, accruals are being made for costs associated
with the company's reduction in its Sunnyvale work force.
    California Microwave said the write-downs should have a
nominal cash impact, as the company already has paid for the
assets being written down.
 Reuter
