Digital TV set-top box maker Pace has endured a horrid year following the collapse of ITV Digital and distribution problems in the US. But news that Rupert Murdoch's BSkyB has waded in to renegotiate its supply agreements has led the firm to reduce its pre-tax profit expectations for the year just passed by £1.7m, and by £8m for 2002-3. This looks like a hammer blow to a firm that has issued several profit warnings. The market certainly took it that way, sending the shares crashing 45% on the day to yet another all-time low. Embarrassingly, the latest warning comes less than a week before its results for the year to 1 June are due to be released. These are now expected to show about £15m pre-tax profits, before increased goodwill write-offs, after a loss of around £7m in the second half. Wiith its shares so bombed-out, Pace could attract predators. Very high risk.