News Americas, LONDON, England, Mon. Feb. 21, 2011: Cable & Wireless Communications stock fell sharply Monday, with the company experiencing the biggest drop since late last year.
The stock declined as much as 4.3 percent to 47.15 pence, the biggest intraday drop since Dec. 30th. Chief Executive Officer Tony Rice told Bloomberg News the drop was largely due to its struggling Caribbean business.
“The one region that remains very difficult is the Caribbean,” Rice was quoted as saying. The region continues to be “challenging with tourist spend and hence consumer and business disposable income significantly below historic levels.”
The news comes as C&W signed an agreement to buy 51 percent of Bahamas Telecommunications Company for $210 million. Cable & Wireless Communications provides mobile and fixed-line services in Panama and the Caribbean.