Adobe Warns of Slow Sales

Adobe Systems Inc., the No. 1 maker of graphic-design software, said sales of all product lines are slowing in the U.S. because of weaker economic growth, sending its shares down as much as 20%. The slowing economy may cause Adobe to miss its forecast for sales growth of 25% in the fiscal first quarter, which ends March 2, the company said. Adobe, known for its Photoshop editing suite and Web publishing products such as Acrobat, said it’s “spending cautiously” in order to meet profit forecasts. Many software and computer-related companies have said sales are slowing because of weak demand. Adobe’s shares dropped as low as $42 after the statement was released. The shares closed off $1.25 at $52.75 in regular Nasdaq trading. The shares have climbed 83% this year.