Arcelor Mittal, (NYSE:
MT -
News) said Wednesday it's buying Mexico's Sicartsa from Grupo Villacero for $1.44 billion. It's also entered into a 50-50 joint venture with Villacero to distribute Arcelor Mittal's long products in Mexico and the southwestern U.S.
BCE Inc. (NYSE:
BCE -
News) was upgraded to buy from neutral by Merrill Lynch, which said said the Canadian telecommunications company is pushing its price leadership strategy further and faster than it had expected. The broker told clients this should help offset continuing strong cable phone inroads. Merrill added that while it sees substantial risk that Industry Canada will set aside wireless spectrum for new entrants, it sees offsetting upside, not widely acknowledged, if BCE and Telus Corp. were to integrate their wireless networks in the future.
Bowne & Co. (NYSE:
BNE -
News) said it's agreed to buy St Ives Financial, a financial printing company, from St Ives . Though Bowne didn't reveal terms, St Ives in its own statement said it will receive $8 million in cash for the business that lost 1.5 million pounds ($2.9 million) in the year ending July 28.
BRE Properties Inc., (NYSE:
BRE -
News) a real estate investment trust focusing on apartment communities, sees 2007 per-share profit of $1.05 to $1.20 and funds from operations of $2.55 to $2.70.
CarMax Inc. (NYSE:
KMX -
News) said third-quarter net income rose to $45.4 million, or 42 cents a share, from $22.9 million, or 22 cents a share. Earnings for the third quarter of both years included share-based compensation costs of 3 cents a share, and earnings for the prior year's third quarter included a benefit of 3 cents a share from favorable auto finance items. Net sales rose to $1.77 billion from $1.42 billion. Same-store used unit sales rose 13% in the quarter. Analysts, on average, expected it to earn 25 cents a share on revenue of $1.63 billion, according to Thomson First Call. For the fiscal year ending February 28, 2007, CarMax now expects same-store used unit sales performance in the range of 8% to 9% and raised its earnings per share to a range of $1.75 to $1.85 from $1.55 to $1.65 a share. Analysts polled by Thomson First Call expect it to earn $1.64 a share for the year, on average.
Christopher & Banks Corp. (NYSE:
CBK -
News) reported third-quarter net income of 24 cents a share, matching both the year-earlier result and analysts' expectations.
Cooper Tire & Rubber Co. (NYSE:
CTB -
News) named Roy Armes president, chief executive and a director. Armes succeeds Byron Pond, who has served as interim CEO since August.
Darden Restaurants' (NYSE:
DRI -
News) fiscal second-quarter profit rose 12%, buoyed by restaurant openings and lower expenses at its Olive Garden chain.
Ferro Corp. (NYSE:
FOE -
News) filed its third-quarter report and became current on its Securities and Exchange Commission filings. Profit for the period fell to $5.5 million, or 12 cents a share, from $6.9 million, or 15 cents, in the year-earlier period.
Ford Motor (NYSE:
F -
News) was upgraded by KeyBanc to hold from sell, the automaker's second analyst upgrade in as many days. Analyst Brett Hoselton said that while fundamentals aren't expected to show any meaningful improvement in 2007, the earnings deterioration should begin to taper off. Hoselton thinks the implementation of cost cuts, capacity rationalization actions and production cuts will help reduce excessive inventory levels resulting from slowing demand. Meanwhile, he believes Ford's new financing plan will raise borrowing costs and hurt results at its financial services business. As a result, Hoselton increased his 2006 loss estimate to $1.26 a share from 99 cents, and raised his 2007 loss forecast to $1.29 a share from 60 cents.
FPL Group Inc.'s (NYSE:
FPL -
News) FPL Energy will purchase the Point Beach Nuclear plant in Two Rivers, Wis., its fuel and associated inventories for around $1 billion from Wisconsin Energy Corp.'s (NYSE:
WEC -
News) Wisconsin Electric Power Co. unit. The companies also entered a long-term agreement under which FPL Energy will sell 100% of the output of Point Beach to Wisconsin Electric Power.
Harrah's Entertainment Inc. (NYSE:
HET -
News) agreed to be bought by a pair of private equity groups for $90 a share in cash plus assumption of $10.7 billion in debt.
Honeywell (NYSE:
HON -
News) was upgraded to buy from above average by Caris & Co, which said the company's operating plan through 2008 reflects strong trends for air travel, safety, security, and energy needs. The driving force for demand in Honeywell's aerospace and automation and controls units "will remain well in place in 2008 (and beyond), as commercial aircraft and [business jet] builds continue to advance, flying hours continue to grow, US residential construction revives and non-residential growth extends."
Hydril Co. (NASDAQ:
HYDL -
News) the maker of oil and gas drilling products, sees fourth-quarter per-share earnings of about $1.05 or higher, above its prior view.
Innovo Group Inc. (NASDAQ:
INNO -
News) said it has closed around $3.6 million of new equity financing through a private placement. The company said it sold 6.8 million shares at 53 cents a share in the placement, along with warrants to purchase an additional 2.1 million shares at an exercise price of 58 cents a share.
Jack in the Box, (NYSE:
JBX -
News) expects to accept for purchase 2.3 million, or 6.5%, of its common shares at $61 each under a Dutch-auction tender offer. The company will lay out $142.5 million for the shares.
John H. Harland Company (NYSE:
JH -
News) agreed to be acquired by M&F Worldwide Corp. (NYSE:
MFW -
News) for $1.7 billion, or $52.75 a share in cash. The merger is expected to close in the second half of 2007. M&F Worldwide is 38% owned by MacAndrews & Forbes, a company controlled by financier Ron Perelman. M&F Worldwide owns two operating companies, Mafco Worldwide, a maker of licorice products, and Clarke American, a provider of checks, check-related products and direct marketing. Decatur, Ga.-based John H. Harland is a sells printed products and software and related services to the financial institution market, including banks, credit unions, thrifts, brokerage houses and financial software companies.
Kosan Biosciences Inc. (NASDAQ:
KOSN -
News) announced a license agreement with pharmaceutical giant Pfizer Inc. (NYSE:
PFE -
News) for its motilin agonist program.
Maxim Integrated Products Inc. (NASDAQ:
MXIM -
News) said John Gifford, founder and chief executive, will retire for health reasons. Gifford will remain part-time as an adviser.
National City Corp. (NYSE:
NCC -
News) will buy back as many as 30 million common shares, subject to a limit of $1.2 billion.
NexCen Brands Inc., (NASDAQ:
NEXC -
News) the New York brand-acquisition and -management company, definitively agreed to acquire the designer-apparel company Bill Blass Holding Co. for $54.6 million plus as much as $16.2 million additional based on the company meeting business targets.
Nordson Corp. (NASDAQ:
NDSN -
News) fourth-quarter net income was about flat with the year-earlier period. Profit per share rose to 82 cents from 80 cents as shares outstanding fell 2.6%.
Redback Networks (NASDAQ:
RBAK -
News) agreed to be acquired by Ericsson (NASDAQ:
ERIC -
News) for $2.1 billion in cash.
Smart Modular Technologies Inc. (NASDAQ:
SMOD -
News) first-quarter net income rose to 3 cents a share from 17 cents in the year-earlier period. Analysts had expected 21 cents.
Systemax Inc. (NYSE:
SYX -
News) third-quarter net income tripled from the year-earlier period, to 33 cents a share.
Telus (NYSE:
TU -
News) was upgraded to buy from neutral by Merrill Lynch, which said concerns over heavy wireline spending and wireless competition are now more than reflected in the share price. The broker told clients that management has trimmed wireless subscriber guidance for 2006, acknowledging increased pressure from discount brands. "We suspect this situation will lead Telus to respond with sharper pricing or promotions but we see no long-term value impairment," Merrill concluded.
Tupperware Brands Corp. (NYSE:
TUP -
News) named Simon Hemus president and chief operating officer.
WebMethods (NASDAQ:
WEBM -
News) named Ken Sexton as its chief financial officer, effective Jan. 2. Sexton replaces Mark Wabschall, who announced his plans to retire in September.
-Marketwatch
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