Michigan Companies Face Financial Difficulties.

Byline: Jeff Bennett

Aug. 6--Talk about the dog days of summer. Shareholders in most of Michigan's publicly traded high-tech companies have been left sweating this season while their investments stagnate on Wall Street.

Nine of Michigan's 14 largest software, Internet and computer component companies have seen their stocks plummet this year, according to a Free Press analysis.

Only two of the 14 companies -- Genomic Solutions Inc., and Interface Systems Inc. -- have stock prices that are above $10.

There are some bright spots. X-Rite Inc., Comshare Inc., Data Systems Network Inc. and Mechanical Dynamics have seen their stock prices increase since Jan. 1. Genomic, which began trading May 5, has doubled to $16.38. Yet most are trading below their all-time highs.

Industry analysts say most Michigan companies are experiencing financial difficulties as they reorganize their workforce to better compete and to negotiate how to pay off big loans. The companies also are part of the technology sector, which has been hammered in the last three months as investors turn to more traditional, Old Economy stocks.

"Technology had been the leading sector in the Nasdaq (Composite Index) for the past two years, but since March 27 it has dropped …