Clearwire quarterly loss widens, shares tumble

By Sinead Carew

NEW YORK (Reuters) - Wireless broadband provider Clearwire Corp (CLWR.O: Quote, Profile, Research) posted a wider quarterly operating loss on Tuesday as marketing expenses rose amid moves to expand its service and add new subscribers.

While many of its numbers tallied with analyst estimates, Clearwire shares fell as much as 11 percent as investors were disappointed it did not reveal a network-sharing deal with Sprint Nextel Corp (S.N: Quote, Profile, Research) or new funding for the company.

Clearwire Chief Executive Ben Wolff said on a conference call with analysts the company was in active talks with Sprint and hoped to make an announcement soon.

The stock price retreat eased after that comment but, Roe Equity Research analyst Kevin Roe said Wolff's lack of details did not reassure investors or analysts.

"The Street continues to nervously wait on any agreement with Sprint or another partner," he said.

Roe had said before the call that "what everybody's waiting for is a new relationship with Sprint, or a white knight investor to bring in the cash Clearwire needs long term."

The shares of Clearwire, which was started by wireless pioneer Craig McCaw, have lost about a quarter of their value since early November after Sprint Nextel said it scrapped a network-sharing pact signed in the summer.

Clearwire has said it is in talks about new funding but has not given details. Its options may include a merger of Sprint's and Clearwire's WiMax assets or funding from tech heavyweights such as existing investor Intel Corp (INTC.O: Quote, Profile, Research) or Google Inc (GOOG.O: Quote, Profile, Research), according to reports.