Earning Plays

[3xBuBu]

Monday, Feb. 23
Nordstrom fourth-quarter profit slides to 31 cents a share(4:13 pm ET)
SAN FRANCISCO (MarketWatch) -- Nordstrom Inc. (JWN: news, chart, profile) late Monday reported its fourth-quarter net income fell to $68 million, or 31 cents a share, from $212 million, or 92 cents a share in the same quarter last year. Revenue decreased to $2.3 billion from $2.51 billion a year earlier, the upscale Seattle-based department store said. In 2009, Nordstrom expects earnings of $1.10 to $1.40 a share and sees same-store sales falling 10% to 15%.
AIG evaluating 'potential new alternatives' with NY Fed(3:33 pm ET)
SAN FRANCISCO (MarketWatch) -- American International Group (AIG: news, chart, profile) said Monday that it's evaluating "potential new alternatives" with the Federal Reserve Bank of New York to tackle the giant insurer's problems. "We continue to work with the Federal Reserve Bank of New York to evaluate potential new alternatives for addressing AIG's financial challenges," AIG spokesman Joseph Norton said. "We will provide a complete update when we report financial results in the near future." The comments came after CNBC reported that AIG will soon report a $60 billion loss and ask the government for more support.
AIG to report $60 bln loss, seek more government help - CNBC(3:12 pm ET)
SAN FRANCISCO (MarketWatch) -- American International Group (AIG: news, chart, profile) will likely report a $60 billion loss soon, forcing the troubled insurance giant to ask the U.S. government for more support, CNBC reported Monday. The losses may trigger more ratings downgrades, which would leave AIG needing to raise more collateral, CNBC's David Faber said. The results may be reported next Monday, March 2, he added. A spokesman for AIG declined to comment. AIG shares fell 8.9% to 49 cents during afternoon trading.
Citigroup economist cuts S&P 500 profit view (12:10 pm ET)
SAN FRANCISCO (MarketWatch) -- Citigroup economists on Monday cut their estimate for earnings from S&P 500 [.$spx] companies this year and next, saying "external economic conditions are increasingly and exceedingly hostile to large firm profits." Economists led by Steven Wieting now expect profits of companies in the benchmark index to fall 23% this year. They cut their operating earnings-per-share level estimate to $51 from $62 in 2009 and to $54 from $65 in 2010. Credit markets have held gains of the past four months, Wieting wrote in a report, and "some of the drivers of the domestic recession could be poised to burn out." But more pain is likely in store for nonfinancial companies he said. Asset write-downs "are headed to records for non-financials, regardless of business activity," he said.
Sen. Harry Reid eyes power line legislation launch this week(9:10 am ET)
NEW YORK (MarketWatch) -- Senate Majority Leader Harry Reid, D-Nev., plans to introduce legislation this week to enhance federal powers to site power transmission lines, according to a report from Dow Jones Newswires. Separately, Sen. Reid said in an interview on CNBC-TV that he hopes to introduce limits on carbon dioxide emissions some time this year.
Developers Diversified swings to loss after charges(8:53 am ET)
BOSTON (MarketWatch) -- Real estate investment trust Developers Diversified Realty Corp. (DDR: news, chart, profile) on Monday said its fourth-quarter net loss applicable to common shareholders was $190.2 million, or $1.57 a share, compared with net income of $32.2 million, or 27 cents a share, in the year-ago period. The company said the latest quarter's results included net charges of $216.3 million, or $1.78 a share. The board of directors has approved the payment of Developers Diversified's first-quarter dividend in a combination of cash and common stock. "While our financial results were lowered by significant impairment charges and certain other non-recurring charges, our core operating results were in line with expectations and continue to display relative stability as we weather these unprecedented economic challenges," said Chief Executive Scott Wolstein. "We made progress in the fourth quarter, but are extremely focused on further improving our liquidity and lowering leverage."
Campbell Soup net income falls 15%(8:43 am ET)
NEW YORK (MarketWatch) -- Campbell Soup Co. (CPB: news, chart, profile) said Monday its second-quarter net income fell 15% to $233 million, or 64 cents a share, from $274 million, or 71 cents a share in the year-ago period. Adjusted earnings for fell to 65 cents a share from 69 cents a share. Revenue dropped 4% to $2.12 billion. Wall Street analysts expected earnings of 65 cents a share on revenue of $2.21 billion, according to a survey by FactSet Research. The Camden, N.J. food maker expects 2009 earnings per share growth at the high end of the 5% to 7% range excluding currency effects over the adjusted 2008 base of $2.09 a share. "Overall, we are pleased with our performance in the quarter, especially considering that currency negatively impacted results and major retailers significantly reduced inventory levels," the company said.
CNOOC announces 'major' natural gas find in offshore China(7:42 am ET)
NEW YORK (MarketWatch) -- CNOOC Limited (CEO: news, chart, profile) said Monday its first appraisal well under a partnership with Husky Oil China Limited, a subsidiary of Husky Energy Inc., produced fossil fuels. The well, Liwan 3-1-2, is located about 350 kilometers south east of Hong Kong. The drilling activities commenced in November 2008. Test results of the well showed flow at equipment restricted rate of up to 53 million cubic feet of gas per day, "providing further evidence of Liwan 3-1 as a major gas discovery deep water offshore China," the company said. CNOOC expects production of 150 million cubic feet per day.
Humana examining 2010 Medicare rates, reaffirms '09 guidance(6:17 am ET)
LONDON (MarketWatch) -- Health benefits company Humana Inc. (HUM: news, chart, profile) said Monday that the preliminary Medicare Advantage payment rates for 2010 announced on Friday by the Centers for Medicare and Medicaid Services (CMS) would have a "significant adverse impact" on 2010 premiums for Medicare Advantage members. The firm said it is closely analyzing the rates, which have been put out for public comment, because it believes certain assumptions made by CMS are unusual and inconsistent with past practices. Among the assumptions being examined is the assumed rate of change in medical cost trends and the assumptions about the impact of the economy on medical spending. Humana also reaffirmed its guidance for 2009 earnings of $5.90 to $6.10 a share.
Garmin profit nearly halves; doesn't offer guidance(6:07 am ET)
LONDON (MarketWatch) -- Garmin Ltd. (GRMN: news, chart, profile) , the digital mapping device maker, said its fourth-quarter profit nearly halved, falling to $157.8 million, or 78 cents a share, from $307 million, or $1.39 a share, with revenue dropping 14% to $1.05 billion, with revenue dropping in Europe, Asia and North America. Excluding foreign exchange impact, the Cayman Islands firm would have earned 93 cents a share. Analysts polled by FactSet had expected earnings of 96 cents a share. The rival of TomTom (NL:TOM2: news, chart, profile) said its internal estimates show it grew market share in the fourth quarter. It didn't offer 2009 gudiance, citing uncertainties.
Bunzl profit up 9%, raises dividend(2:37 am ET)
LONDON (MarketWatch) -- U.K. packaging and distribution company Bunzl (UK:BNZL: news, chart, profile) said Monday that its 2008 net profit rose 9% to 142.2 million pounds ($206.6 million) as revenue for the year grew 17% to 4.18 billion pounds due to a mix of organic growth, acquisitions and foreign exchange movements. Analysts polled by FactSet had been expecting a net profit of 135.5 million pounds. The group said its funding position is strong and it expects to remain comfortably within its banking covenants, adding that it will increase its final dividend by 10% to 14.15 pence a share. Bunzl said 2009 be challenging in the U.K. and Ireland as the economic slowdown limits the potential for growth, while in the U.S. new customer wins could help increase the level of organic growth, though at the expense of lower margins.
Sunday, Feb. 22
Rio Tinto to allow big investors to match Chinalco offer (11:31 pm ET)
HONG KONG (MarketWatch) -- Rio Tinto (RTP: news, chart, profile) (AU:RIO: news, chart, profile) is planning to offer institutional shareholders an opportunity purchase its bonds on the same or similar terms being offered to Beijing-controlled Chinalco, according to a report Monday in the Sydney Morning Herald. The report, which didn't cite sources, described the offer as a "put up or shut up" proposal in response to criticism from powerful shareholders, many of whom were critical of the earlier offer, saying the Chinese aluminum maker received preferential treatment. The Chinalco deal, valued at $19.5 billion, would see the Chinese company lift its stake in Rio to 18%, give it direct ownership of some mining assets, and board representation. Rio shares were down 6.8% in Sydney mid-afternoon trade.
Friday, Feb. 20
Pinnacle West swings to loss after SunCor charges(8:21 am ET)
BOSTON (MarketWatch) -- Pinnacle West Capital Corp. (PNW: news, chart, profile) on Friday said it swung to quarterly net loss of $38.9 million, or 39 cents a share, from net income of $2.9 million, or 3 cents a share, in the year-ago period. The company blamed the loss on impairment charges of $32.5 million at its real estate unit, SunCor. Arizona Public Service, the company's principal subsidiary, swung to a fourth-quarter net loss of $16.4 million.