UPDATE 1-Aastra earnings hit by strong C$

* Q2 EPS C$0.37 vs pvs C$0.40

* Revenue falls 13 pct to C$171.2 mln

VANCOUVER, British Columbia, July 20 (Reuters) - Aastra Technologies Ltd (AAH.TO) posted a 4 percent drop in quarterly earnings on Tuesday in part as revenue earned offshore was reduced by a stronger Canadian dollar.

The telecom equipment maker said second-quarter earnings fell to C$5.3 million, or 37 Canadian cents a share, from C$5.5 million, or 40 Canadian cents a share, a year ago.

Revenue dipped 13 percent to C$171.2 million.

Analysts, on average, had expected Aastra to report earnings of 48 Canadian cents a share on revenue of C$169 million.

Aastra sells Internet protocol-based and traditional communications networking products and systems, such as telephone terminals and servers. Its customers are mostly small and mid-sized businesses around the world, though Germany is its biggest market.

($1=$1.04 Canadian) (Reporting by Nicole Mordant; editing by Rob Wilson)