Apple Cuts Orders For iPhone 5 Components On Weak Demand; Shares Fall
CUPERTINO (CBS/AP) – Apple shares were down 4 percent in morning trading, putting them below the $500 mark for the first time since February.
The drop came after The Wall Street Journal reported that the company has cut its orders for iPhone 5 components due to weaker-than-expected demand.
The newspaper said that two people it did not identify by name told it that Apple’s first quarter orders for iPhone 5 screens have dropped to about half of what the company had previously planned to order.
It said one of the people told the newspaper that the Cupertino company has also cut orders for components other than screens.
Apple shares dipped as low as $498.51 early in the session before climbing back to $505.14 later in the morning.
(Copyright 2012 by CBS San Francisco. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)