BOSTON—Motorcycle manufacturer Harley-Davidson Inc () said on Friday that 2007 earnings would come in 4 percent to 6 percent lower than last year because of tough times for U.S. consumers, sending its shares down 7 percent.

The company said it expected 2008 earnings to rise by 4 percent to 7 percent and withdrew its 2009 outlook. In July, it had forecast growth of 11 percent to 17 percent for the two-year period.

“Our U.S. dealers’ retail sales have fallen sharply during August,” said Chief Executive Jim Ziemer. “Against the current economic background, we no longer expect worldwide dealer retail sales to increase during the second half of 2007.”

Harley and other leisure product companies, including recreational vehicle and pleasure boat manufacturers, have dealt with such headwinds as higher interest rates and gasoline prices, as well as the downturn in the U.S. housing market. All those factors have weighed on consumer confidence and put a crimp on discretionary spending.

The Milwaukee-based company said it expected to ship 86,000 to 88,000 Harley-Davidson motorcycles in the third quarter, after originally planning for 91,000 to 95,000.

Harley-Davidson forecast 2007 earnings of $3.69 to $3.77 per share, compared with $3.93 in 2006, and said revenue would decline modestly. As recently as July, the company had said it expected earnings per share to rise by 4 percent to 6 percent this year.

Ziemer said initial reports about the 2008 model year motorcycles from its dealers “have been excellent, but this is a difficult time for the U.S. consumer.”

For 2008, Harley said it expected moderate revenue growth and lower operating margins as it sees continued challenges in the U.S. retail motorcycle market.

In trading before the market opened, Harley shares had fallen to $50.15 Д their lowest level in more than a year Д from their New York Stock Exchange close of $54.09.

At Thursday’s close, the stock was already down about 25 percent for the year, while the broad Standard & Poor’s 500 index had gained 4 percent.

The fast bowler Shoaib Akhtar has been ordered to leave Pakistan’s World Twenty20 squad following a row with team-mate Mohammad Asif. The pair are reported to have argued during the team’s nets session in Johannesburg yesterday, culminating in Shoaib allegedly striking Asif on the thigh with his bat.

“During the initial inquiry [of the tour management] it came up that [Shoaib] not only hit Asif on the thigh with the bat, but he also used abusive language,” said Shafqat Naghmi, the Pakistan Cricket Board’s chief operating officer. “A decision has been taken to call back Shoaib on the basis of an initial inquiry by the touring team management in South Africa.

“Shoaib has also admitted to hitting Asif. Thankfully Asif didn’t suffer any major injury but a bruise on his left thigh and he will be OK.”

Team management in Johannesburg are expected to make a formal announcement this afternoon, although former Pakistan players have already backed the PCB’s stance, claiming Shoaib has let the country down.

“Harsh punishments have to be given to Shoaib,” admitted Waqar Younis. “Anyone behaving like this should not be in the team. His act has brought shame to the team and the nation.” Rameez Raja, now a cricket commentator, added: “Both the players are the temperamental type. But this behaviour is not acceptable. I don’t see him playing in the immediate future for Pakistan. I don’t think he will get much support from the fans as well - people seem to be tired of his tantrums.”

Former media manager PJ Mir also believes the PCB has done the right thing. “The captain and coach should be responsible for maintaining discipline,” he said. “It is a good decision taken by the PCB. I think it will now be difficult for him to make a comeback.”

May 10, 2007 — $7.25 million

Going price for the most expensive of One Brooklyn Bridge Park’s 26 penthouse units, making it Brooklyn’s all-time priciest condo

$3.8 million

The borough’s previous record, paid this past January for a penthouse in Williamsburg’s Aurora building

45

Stories slated for Donald Trump’s planned condo-hotel in SoHo

12

Months it took for The Donald’s controversial project to finally get approval

$1,550

Rent for a one-bedroom loft in Bushwick advertised - without apparent irony - as “punk rock heaven”

$1

Amount residents at the former punk squat C-Spot paid to purchase their East Village building five years ago

40,000

Square feet in Brownsville and East New York set aside by the city to be used as community farms

33 1/3

Minimum number of years drug dealer Alejandro Lopez-Guevara was sentenced to serve in prison following his 1988 conviction

$1.775 million

Sum of the real-estate deals Lopez-Guevara has pulled off from behind bars

7 1/2

Percentage a rent-stabilized apartment could increase on a two-year lease

$1.2 billion

Entire 2006 gross domestic product of Belize

$2.4 billion

Value of residential listings held by Prudential Douglas Elliman, according to a survey by The Real Deal

$940 million

Price that Urban American Management and the City Investment Fund paid for nearly 4,000 units in former Mitchell-Lama buildings in Harlem, making it the second-biggest real-estate deal in NYC history

34

Percentage of Mitchell-Lama’s original 105,000 apartments that were moved out of the program between 1990 and 2005

750

Number of calculators Halstead Property is donating to Harlem public schools