Openwave lowers forecasts, reveals stock probes

Yesterday wasn't a good day for Openwave Systems. The company revealed it received subpoenas from the U.S. Attorney for the Northern District of California and from the U.S. Attorney for the Southern District of New York over its stock-options practices and it drastically lowered its fourth-quarter guidance. The news sent Openwave's stock down 32 percent on Thursday. Openwave said it expects a fourth-quarter loss of $0.13 to $0.14 per share on sales of $90 million to $92 million. Wall Street expected $0.22 a share on sales of $122 million.

To read more about Openwave's bad day:
- take a look at this article from Red Herring