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Smoke Clears for Iron Mountain

NEW YORK -- Iron Mountain gave financial updates and revealed new product plans at its annual investor meeting today. (See Iron Mountain Hosts Analyst Day.)

The company is still counting the cost of fires this year at its facilities in London and Ottawa, according to execs. (See Iron Mountain Feels the Heat and Archiving Goes to Blazes.)

"It was devastating to us as an organization," said CEO Richard Reese, adding that the cause of the London fire, which completely destroyed one of the firm's main U.K. facilities, is still a mystery. "We're spending a significant amount of money on professionals of all types to investigate [the cause of the fire]."

The fires will have a $7 million impact on the firm's operating income for the second half of 2006 and could shave as much as three cents off the vendor's earnings per share for the same period, according to Iron Mountain execs.

Nonetheless, Iron Mountain also raised its guidance for fiscal 2006 today, upping its revenue forecast to between $2.3 billion and $2.35 billion. Previously, the firm had anticipated revenues in the region of $2.27 and $2.32 billion.

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