April 30, 2008 - 10:46 a.m.

SOUTH JORDAN, Utah (AP) - Headwaters Inc. said Tuesday it swung to a fiscal second-quarter loss as the expiration of an alternative energy tax credit resulted in a double-digit revenue send down.

The company also cut its fiscal year guidance and its shares tumbled $3.06, or 21.5 percent, to $11.10 in morning trading.

For the quarter ended March 31, Headwaters posted a loss of $9.2 million, or 22 cents per share, compared with a profit of $27.2 million, or 59 cents per share, in the year-ago period.

Excluding a restructuring charge of $3.8 million and $2.6 million of foreign currency losses, the company said it posted each adjusted loss of 11 cents through share for the recent quarter.

Revenue tumbled 37 percent to $172 million from $274.1 million in the year-ago period.

Analysts polled by Thomson Financial expected a loss of 4 cents per share on $185.1 million in revenue.

Headwaters provides products and services to the construction, coal-combustion and alternative energy markets. Its Section 45K excise credit, which was intended as an economic incentive to develop alternative fuels, expired on Dec. 31.

Excluding the Section 45K business, revenue barbarous 8 percent to $164.1 million from $178.3 million in the 2007 period.

Headwaters said poor winter weather and a substantial downturn in residential construction also contributed to the recent quarter's loss.