I was a bit gutted to loose a job the other day to an under cutting C/C in my area.... But on 4 occassions I have been told by the custy that my quote is a fair bit "more" than his... But I've stuck to my guns and secured 3 of the jobs.
Then I thought about it... If I was being told I was a fair bit "cheaper", alarm bells would start ringing, I'd be even more gutted.
Stick to your guns, think about the long term goals, if you get through this economic nose dive, you'll get through anything!
As Derek said before, "Chin up fella!"