Earning Plays

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Monday, Sept. 29
Citi CFO sees drop in Q3 net income, versus previous quarter(11:38 am ET)
SAN FRANCISCO (MarketWatch) -- Citigroup Inc. (C: news, chart, profile) Chief Financial Officer Gary Crittenden said on Monday that third-quarter net income will likely be lower than the profit the giant bank generated during the second quarter. The continued deterioration in consumer credit will have a "significant" impact on third-quarter results, Crittenden explained during a conference call with analysts. Still, third-quarter net income will be higher than during the first quarter of 2008, he noted. Total credit costs will be about $9.8 billion in the third quarter, up from the second quarter. Write-downs on exposures including mortgages and leveraged loans will probably be $1.5 billion, down from previous quarters. Write-downs on SIV assets will be higher at roughly $1.7 billion, Crittenden forecast. There will also be about $2 billion in losses related to credit card securitization, he added. Expenses will have fallen by about $1 billion during the third quarter, with the reduction of roughly 10,000 staff, the CFO said.
RGGI auction draws $38 mln in revenue (11:12 am ET)
NEW YORK (MarketWatch) -- The first carbon emissions auction under the Regional Greenhouse Gas Initiative (RGGI Inc.) generated $39 million in proceeds. RGGI Inc. reported Monday that 59 participants from the energy, financial and environmental sectors took part in the first-in-the-nation auction. A total of 51.76 million allowances were demanded, about four times available supply. Auction proceeds will be distributed to Connecticut, Maine, Maryland, Massachusetts, Rhode Island and Vermont, the six RGGI states that offered allowances for sale during the first auction. The states are investing those funds in energy efficiency and renewable energy technologies and programs.
Energy stocks move lower with broad market(9:39 am ET)
NEW YORK (MarketWatch) -- Energy stocks fell with the broad market on Monday, moving lower with crude oil prices. The Amex Oil Index (XOI: news, chart, profile) fell 4% to 1,189. The Amex Natural Gas Index (XNG: news, chart, profile) subtracted 5.4% to 510.
Covidien sets restructuring plan(7:18 am ET)
NEW YORK (MarketWatch) -- Covidien Ltd. (COV: news, chart, profile) said Monday that it plans to implement a restructuring plan in fiscal 2009, resulting in pretax charges of about $200 million, starting in the first quarter. The health-care products maker said it expects to save about $50 million to $75 million on an annualized basis once the restructuring program is finished.
Pilgrim's Pride gets waiver from creditors, warns of loss(7:15 am ET)
NEW YORK (MarketWatch) -- Pilgrim's Pride Corp. (PPC: news, chart, profile) said Monday it has obtained agreement with its creditors for temporarily relief through Oct. 28, via a waiver of the lenders' fixed-charge coverage ratio covenant. The poultry producer said its lenders also agreed to continue to provide liquidity under these credit facilities during this same 30-day period. Pilgrim's Pride said the waiver was granted after it told the lenders it expects to report "a significant loss" in the fourth quarter, ended Saturday, due to "high feed-ingredient costs, continued weak pricing and demand for breast meat, and the significant negative impact of hedged grain positions." The company also said it had hired Lazard to advise it on refinancing and recapitalization opportunities.
Cal-Maine profit slips as feed prices soar(6:38 am ET)
LONDON (MarketWatch) -- Egg producer Cal-Maine Foods Inc. (CALM: news, chart, profile) said Monday that its fiscal first-quarter net profit fell 38% to $11.1 million, or 47 cents a share, from $18 million, or 76 cents a share, a year earlier. Sales for the quarter rose 16% to $206.9 million. Sales were boosted by stronger egg prices and higher volumes. That was more than offset, however, by much higher feed costs, the company said.
Icap sees revenue up around 20%(2:36 am ET)
LONDON (MarketWatch) -- Interdealer broker Icap (UK:IAP: news, chart, profile) said Monday that revenue for the six months ended Sept. 30 is expected to be around 20% ahead of the same period a year earlier. The group said the increase in electronic broking revenue was particularly strong, especially in foreign exchange. For the financial year ending March 31, the group expects adjusted pretax profit to be ahead of the previous year and added it could be "well ahead" if market development and exchange rate moves are favorable.
Man Group sees earnings, funds under management declining(2:29 am ET)
LONDON (MarketWatch) -- Hedge fund manager Man Group (UK:EMG: news, chart, profile) said Monday that its funds under management fell around 6% in the six months to the end of September due to the turbulent markets as well as the impact of the strengthening dollar. The group said earnings per share for the period will be down around 5% from a year earlier. Net management fee income will be roughly flat from the prior year period and performance fee income will be down around 40% due to a lower contribution from its AHL fund. Sales in the period were up around 25% from a year earlier at $10 billion and net inflows were up 14% at $4.1 billion.
Friday, Sept. 26
Solar stocks fall on uncertain outlook for tax credits(2:19 pm ET)
NEW YORK (MarketWatch) -- Solar stocks fell Friday after the U.S. House of Representatives OK'd a measure to extend billions in tax credits for renewable energy, but the measure faces an uncertain future because it differs from the Senate version. The House voted 257-166 to approve legislation to extend a host of expiring tax measures, including credits for wind, solar, geothermal and other forms of renewable energy. "It's about what is going to be enacted into law, and the shelf life on this bill is very, very short," said Rep. Dave Camp, R-Mich., during House floor debate, according to a report from Dow Jones Newswires. First Solar (FSLR: news, chart, profile) fell 7% to $205.90. SunPower (SPWR: news, chart, profile) fell 9% to $86.18. SunTech Power (STP: news, chart, profile) fell 11% to $38.29.