Franklin Resources Inc., parent company of Canada’s Franklin Templeton Investments, has said it would miss analysts’ forecasts for the current quarter.

Analysts from both Deutsche Banc Alex. Brown and Merrill Lynch have cut earnings estimates for the firm in response. The firm blamed the impact of the September 11 attacks. At last count, the firm was missing 85 employees and had two confirmed dead at its subsidiary Fiduciary Trust Co. International.

“No monetary cost can compare to the human toll brought by the devastation to the World Trade Center, former headquarters of Fiduciary Trust,” said Charles Johnson, chairman and CEO of Franklin Resources. “Our primary concern continues to be for the employees and families who have been affected by this tragedy. I also want to commend the efforts of all our employees, whose dedication and hard work have enabled our company to continue to operate effectively in the past weeks. Thanks to their efforts, all of Fiduciary’s critical systems were fully operational when the market resumed trading.”

The company says it believes that it has adequate insurance coverage for the loss of property, as well as any significant business interruptions caused by the events on September 11. However, certain employee-related costs resulting from these events are not insured and may have a negative impact on fiscal fourth quarter earnings. A definitive calculation of all costs is still underway.

Although Franklin Resources does not, as a general policy, provide advance earnings guidance. The company said the unusual circumstances arising from the attack on the World Trade Center have caused an exception to that policy.

In light of the recent decline in assets under management, a decrease in shareholder servicing fees, higher advertising and promotional expenses supporting the company investment product’s strong relative performance, and employee related expenses associated with Fiduciary Trust, Franklin Resources will not meet the current quarter’s First Call consensus earnings estimate of 45¢ per share.

The company said it will provide more detailed information regarding the financial impact of recent events in its quarter-end earnings announcement and in its public filings.