Gateway Trims Loss Forecast for Quarter

Gateway Inc. said its second-quarter loss would be narrower than forecast as the personal-computer maker reaps the benefits of its March purchase of EMachines Inc. and job cuts. Its shares rose 23%.

Its operating loss will be 13 cents to 14 cents a share, compared with a previous estimate of 15 cents, Poway, Calif.-based Gateway said. Its net loss will be 80 cents to 94 cents a share, Gateway said.

Sales will be $860 million to $880 million, compared with a previous forecast of $798 million.

Shares of Gateway rose 83 cents to $4.50 on the New York Stock Exchange.