UPDATE 1-Diebold sees pretax loss on US voting machine biz sale

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Thu Sep 3, 2009 10:27am EDT

* Sees pretax loss of $45 mln-$55 mln for 2009

* Says FY earnings view unchanged, excl impact

Sept 3 (Reuters) - Diebold Inc (DBD.N) said it expects a pretax loss for 2009 following the sale of its U.S. voting machines business to Election Systems & Software Inc on Wednesday.

The maker of automated teller machines said the sale of this business, primarily consisting of its Texas-based subsidiary Premier Election Solutions Inc, would result in a pretax loss of $45 million to $55 million.

Excluding the impact of this divestiture, Diebold's earnings outlook for 2009 remains unchanged, it said in a statement.

The company had earlier forecast full-year earnings of $1.70 to $1.90 per share, excluding items.

Diebold sold the business for $5 million in cash plus future cash payments representing 70 percent of cash to be collected on accounts receivable for the business as of Aug. 31, it said.

The company said it had identified the U.S. elections systems business, which accounted for about 3 percent of Diebold's revenue in 2008, as non-core to its operations since 2006.

Shares of the company were up 1 percent at $30.42 Thursday morning on the New York Stock Exchange.

(Reporting by Manasi Phadke in Bangalore; Editing by Unnikrishnan Nair)

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