Market Update: 110324 4:30 pm : There wasn't really room for positive spin on today's headlines, but stocks still scored strong gains as market participants showed renewed interest in risk.
The tone of trade today was positive from the start. Participants initially took their cues from Europe's major bourses, which all advanced around 1% or more in the face of a decision by Moody's to downgrade about 30 banks in Spain, the likelihood for a bailout of Portugal following the failure of its Parliament to pass austerity measures, and a mixed batch of economic data.
There wasn't much to boast about at home either. Data featured a 0.9% drop in overall durable goods orders for February and a 0.6% fall in orders less less transportation. The consensus among economists polled by Briefing.com had called for increases of 1.1% and 1.8%, respectively.
The latest weekly initial jobless claims count came in at 382,000, which is on par with the 384,000 initial claims that had been broadly expected.
Consumer electronics and home office supplies retailer Best Buy (BBY 30.13, -1.72) issued cautious commentary during its quarterly conference call that overshadowed the company's upside earnings surprise. The stock dropped to a two-year low after it had opened in positive territory.
Even amid lackluster headlines stocks still attracted strong buying interest. The effort even took the S&P 500 past the 1300 zone through secondary resistance above that point to a 10-day high.
Tech stocks, which collectively represent the largest sector by market weight, were a primary source of leadership. The sector climbed 1.6%. Large-cap tech issues like Research In Motion (RIMM 64.09, +1.97), which spiked above its 50-day simple moving average ahead of its earnings report, helped the Nasdaq Composite outperform its counterparts.
Financials lagged for the second straight session. Bank of America (BAC 13.48, -0.17) deepened its one-month low in the wake of yesterday's news that the Fed refused the bank's proposal to distribute capital to shareholders in the second half of 2011. Capital One Financial (COF 51.86, +0.45) was dealt the same decision, but its shares actually staged an impressive rebound. As a group, financials advanced just 0.5%.
Energy stocks were today's weakest performers. They gained just 0.3% after oil prices failed to sustain a move above $106 per barrel to settle essentially unchanged at $105.60 per barrel.
Precious metals came under pressure after pushing higher. Gold prices closed with a 3.1% loss at $1434.90 per ounce after the continuous gold contract traded to a new all-time high at $1448.60 per ounce. May silver ended settled with a 0.6% gain at $37.37 per ounce after it hit $38.18 per ounce, which is its highest level in more than 30 years.
For the third straight session share volume was unimpressive. That should pick up in coming sessions as money managers reposition their portfolios for quarter's end.
3:30 pm : Commodities, outside of energy (-0.3%), finished higher today, led by a 2.3% rally in grains. May wheat surged 3.5% to close at $7.39 per bushel, helped by weather problems in major growing regions of the world.
April gold closed lower by 3.1% to $1434.90 per ounce. The continuous gold contract traded to a new all-time high at $1448.60 per ounce. May silver ended up 0.6% to $37.37 per ounce. It traded to a fresh ~30 yr high at $38.18. Both metals sold off sharply, however, from their respective highs heading into afternoon trade and closed well below those levels.
It was a relatively uneventful session for May crude oil, which closed just shy of unchanged at $105.60 per barrel. This morning's inventory data, which showed an in-line draw down, sent natural gas sharply lower. It closed off 1.9% to $4.33 per MMBtu. DJ30 +97.52 NASDAQ +41.35 SP500 +13.14 NASDAQ Adv/Vol/Dec 1573/1.6 bln/991 NYSE Adv/Vol/Dec 1955/595.5 mln/969
3:00 pm : The tone of trade has been positive all session. Steady buying interest has the S&P 500 sitting just off of its session high with the arrival of the final hour of the trading day.
While today's bid as been broad, participants have been particularly fond of tech stocks and consumer discretionary stocks. Both of those sectors are up 1.4%. Financials and energy issues have been less attractive to traders today; each is up just 0.3%. DJ30 +77.58 NASDAQ +35.22 SP500 +10.96 NASDAQ Adv/Vol/Dec 1584/1.44 bln/968 NYSE Adv/Vol/Dec 1997/553 mln/921
2:30 pm : The Nasdaq 100 has extended its rally to a 1.7% gain amid leadership from Research In Motion (RIMM 64.30, +2.18), which has pushed through its 50-day simple moving average to set a fresh session high ahead of its earnings report tonight. Also on the earnings calendar, Accenture (ACN 51.88, +1.21), Oracle (ORCL 32.11, +0.70), and Darden Restaurants (DRI 47.70, +0.43) are scheduled to report tonight.DJ30 +75.95 NASDAQ +34.45 SP500 +10.47 NASDAQ Adv/Vol/Dec 1563/1.33 bln/980 NYSE Adv/Vol/Dec 1914/515 mln/977
2:00 pm : Pressure against Treasuries over the past two sessions has sent the yield on the benchmark 10-year Note about 10 basis points higher, but it has yet to push past 3.40%. Still, the Note's yield stands at its highest level in more than a week.
Meanwhile, oil prices have come under increased pressure in recent trade. In turn, the energy component now trades at slightly less than $105 per barrel, which is a fresh session low, with a 0.8% loss. DJ30 +75.53 NASDAQ +32.02 SP500 +9.83 NASDAQ Adv/Vol/Dec 1481/1.24 bln/1058 NYSE Adv/Vol/Dec 1841/472 mln/1039
1:30 pm : Oil prices had been up above $106 per barrel earlier today, but they have since pulled back to to $105.25 per barrel, which makes for a 0.5% loss.
Oil's pullback has undermined the energy sector, which is now up just 0.1%. Chevron (CVX 105.36, -0.12) has been taken to a narrow loss as participants disregard news that the company received a new offshore drilling permit. Oilfield services play Halliburton (HAL 45.69, -0.70) is actually one of the worst performing energy plays this session. DJ30 +80.15 NASDAQ +32.32 SP500 +9.83 NASDAQ Adv/Vol/Dec 1524/1.14 bln/1005 NYSE Adv/Vol/Dec 1872/438 mln/989
1:00 pm : Broad-based buying has taken the stock market through near-term resistance to an impressive gain. Strong buying in Europe set the stage.
Despite speculation that Portugal may need a bailout following the failure of its Parliament to pass austerity measures and news that about 30 Spanish banks were downgraded, Europe's major bourses moved higher in the latest round of trade. Their ability to bounce in the face of those headlines suggests that the news wasn't entirely a surprise, but also reflects a willingness among participants to return to risk.
The positive mood among market participants also comes amid generally unimpressive data. After Europe posted a rather mixed batch of PMI reports, domestic data indicated that the latest initial jobless claims tally totaled 382,000, which is in stride with the 384,000 that had been broadly expected. Overall durable goods orders for February fell 0.9% while orders less transportation fell 0.6%. Increases had been expected by most economists.
Favor for stocks in the face of uninspiring headlines has helped the S&P 500 move above 1300 after it had encountered resistance there in each of the past two sessions. Technical traders now point to 1308 as a key area.
Tech stocks are up 1.2%, which makes them this session's best performers. Red Hat (RHT 46.71, +6.74) has been a standout in the space following its upside earnings surprise and strong forecast.
Broad market support has lifted the financial sector to a modest gain after it had spent most of the morning in the red. However, shares of Bank of America (BAC 13.38, -0.27) continue to come under pressure following news of the Fed's refusal to accept the bank's proposal to distribute capital to shareholders in the second half of 2011. The Fed's same unflattering distinction cut down shares of Capital One Financial (COF 51.87, +0.46), but it has since rebounded to an impressive gain.
Best Buy (BBY 30.73, -1.12) had benefited from early buying interest on the back of better-than-expected earnings, but the stock has since dropped deeply into negative territory. The downturn stems from disappointment over the company's comments during its conference call.
Strength in stocks hasn't stopped interest in traditional safe havens gold and silver. Gold prices are currently up 0.4% to about $1444 per ounce after the yellow metal set a new record high. Silver prices are up 1.7% to $37.82 per ounce after they set a 30-year high earlier. DJ30 +67.93 NASDAQ +29.26 SP500 +8.60 NASDAQ Adv/Vol/Dec 1536/1.05 bln/974 NYSE Adv/Vol/Dec 1874/400 mln/994
12:30 pm : The stock market has stretched to a fresh session high. The effort has lifted the financial sector out of the red to a solid gain of 0.4%. Bank of America (BAC 13.47, -0.18) continues to trade with a marked loss, though.
Consumer discretionary stocks currently represent this session's top performing sector. Collectively, they are up 1.5%, but Best Buy (BBY 30.56, -1.29) is no longer the leader that it was in the early going. Participants had initially reacted to news of the retailer's better-than-expected bottom line, but the sentiment in the stock completely soured with the company's conference call. DJ30 +84.69 NASDAQ +32.77 SP500 +10.38 NASDAQ Adv/Vol/Dec 1691/945 mln/811 NYSE Adv/Vol/Dec 2038/360 mln/792
12:00 pm : For two straight sessions the S&P 500 failed to push through resistance in the 1300 zone, but that point has been overtaken with relative ease today. The stock market's climb comes amid broad-based buying, which has given advancing issues a 2-to-1 advantage over declining issues on the NYSE. Advancing volume to declining volume is greater than 3-to-1 on the NYSE.
For the past few sessions share volume on the Big Board has been rather unimpressive. Part of that is owed to an absence of catalysts, which would ordinarly pull market participants off of the sidelines. However, with the approach of quarter's end, stocks could see some increased share volume as money managers juggle their holdings and rebalance portfolios. DJ30 +73.64 NASDAQ +31.01 SP500 +9.80 NASDAQ Adv/Vol/Dec 1571/820 mln/886 NYSE Adv/Vol/Dec 1907/315 mln/907
11:30 am : Tech stocks, which collectively represent the largest sector by market weight, have pushed up to a 1.2% gain. The move has come amid broad support, but Red Hat (RHT 46.71, +6.74) has been the sector's strongest performer, thanks to the company's upside earnings surprise and strong forecast. Despite their 17% surge, shares of RHT aren't quite back to the 52-week high that they set in December.
Favor for tech stocks this session has been particularly helpful to the tech-rich Nasdaq, which has run ahead of the other headline indices to trade at a new 10-day high. DJ30 +66.57 NASDAQ +28.87 SP500 +8.77 NASDAQ Adv/Vol/Dec 1513/693 mln/913 NYSE Adv/Vol/Dec 1886/273 mln/896
11:00 am : Despite news that Portugal's parliament failed to pass austerity measures and the European Union may have to implement a bailout, the dollar hasn't seen any interest as a safe haven. Instead, the Dollar Index spent most of the morning around the 75.80 area, but recently fell to a 0.4% loss at 75.50, which marks a session low.
Meanwhile, the euro dipped to $1.405 overnight, but then rallied following reports that analysts at Moody's downgraded about 30 banks in Spain. The euro was able to take news of the downgrades in stride as many had already anticipated such an announcement. Support for the euro also stems from growing expectations for a rate hike by the European Central Bank at its April meeting.
As for the British pound, it slipped back to the $1.614 area. The recent release of minutes from the latest Bank of England meeting made it seem that an interest rate hike is unlikely in the immediate future. What's more, the government there trimmed its growth forecast to 1.7% from 2.1%.
Japan's yen continues to drift along in the 80.80 (yen per dollar) area. The currency has been stuck in limbo following last week's intervention by the country's central bank to keep the yen from weakening.DJ30 +77.92 NASDAQ +28.60 SP500 +9.16 NASDAQ Adv/Vol/Dec 1336/535 mln/1040 NYSE Adv/Vol/Dec 1542/212 mln/1207
10:35 am : April natural gas spent the morning in positive territory and was modestly higher ahead of today's inventory data. Following the data, which showed a draw of 6 bcf versus consensus of a draw of 8 bcf, natural gas pulled back to the flat line and is now unchanged at $4.34 per MMBtu.
May crude oil rose into positive territory in recent trade and is currently up 0.3% at $106.11 per barrel.
April gold has been choppy this morning and is currently just above the unchanged line at $1440.80 per ounce. May silver is strong again as it's up for a fifth consecutive session. Also, this morning, it hit contract highs of $37.925 per ounce and is currently up 1.6% at $37.80 per ounce. DJ30 +29.56 NASDAQ +12.17 SP500 +3.29 NASDAQ Adv/Vol/Dec 1186/370.1 mln/1060 NYSE Adv/Vol/Dec 1265/148.2 mln/1396
10:00 am : Shares of Bank of America (BAC 13.38, -0.27) were pressured during the prior session in response to news that the firm's proposal to distribute capital to shareholders in the second half of 2011 was refused by the Fed, but renewed selling efforts have taken the stock another leg lower this morning. The stock is still up about 2% from the three-month low that it set during December.
In a similar vein, Capital One Financial (COF 50.25, -1.16) shares have come under sharp pressure following news that the financial outfit had its proposal to distribute additional capital to shareholders refused. In turn, the firm announced that it will keep its dividend at $0.05 per share.
Overall weakness among financial stocks has the sector stuck in the red with a 0.3% loss.DJ30 +33.64 NASDAQ +8.52 SP500 +2.15 NASDAQ Adv/Vol/Dec 1338/198 mln/798 NYSE Adv/Vol/Dec 1616/85 mln/955
09:45 am : A broad bid in the early going has helped the S&P 500 move a couple of points past the 1300 line for the first time in over a week. The benchmark index is having difficulty extending its advance, though.
Financials are a source of weakness for the second straight session. They are collectively down 0.2% and represent the only major sector that has failed to find higher ground this morning.
As a group, consumer discretionary stocks are sporting some of the strongest gains. The sector is up an enviable 0.7% as Best Buy (BBY 32.21, +0.36) bounces following a better-than-expected earnings report. DJ30 +52.68 NASDAQ +13.41 SP500 +3.78
09:15 am : S&P futures vs fair value: +7.10. Nasdaq futures vs fair value: +14.50. Stock futures suggest that the major equity averages will open with a modest gain, but the S&P 500 could still encounter resistance in the 1300 zone, which has stymied the stock market's efforts to turn higher in each of the past two sessions. Although stocks have been helped this morning by a positive tone of trade in Europe, domestic economic data has failed to bolster buying interest. The latest doses of data featured an in-line initial jobless claims tally and a surprisingly steep drop in durable goods orders for February. Although Best Buy (BBY) posted an upside earnings surprise for the latest quarter, corporate news hasn't offered any real catalyst to the upside either.
09:00 am : S&P futures vs fair value: +6.10. Nasdaq futures vs fair value: +14.00. Futures for the S&P 500 are off of their morning highs, but continue to sport a nice lead over fair value. Strength among Europe's major bourses has helped provide a positive backdrop to trade. Europe's gains today come in the face of news that analysts at Moody's downgraded about 30 banks in Spain and word that Portugal may need a bailout following the failure of its Parliament to pass austerity measures. That failure prompted the resignation of the country's Prime Minister. Germany reported some mixed PMI readings for March. The country's Manufacturing PMI came in at 60.9, down from 62.7 in February. Its Services PMI improved to 60.1 from 58.6 in February. Germany's DAX was last quoted with a 1.6% gain. France's CAC is up 1.0%. The country's perliminary PMI Manufacturing reading came in at 56.6, which is an improvement from the 55.7 that had been posted for February. France's Business Confidence Indicator for March came in at 109, up from 106 in the prior month. Britain's FTSE is up 1.0%. Shares of retailers have been strong after a few industry players reported their latest quarterly results. That has overshadowed news that retail sales in the United Kingdom fell 0.8% in February after a downwardly revised 1.5% increase for January.
Asia's major averages moved in more mixed fashion overnight. Japan's Nikkei slipped to a 0.2% loss. Automakers were among the weakest issues, but general concerns about progress in restoring damaged nuclear facilities continue. Mainland China's Shanghai Composite settled unchanged for the day. The country's HSBC Manufacturing PMI for March came in at 52.5, which is an improvement from the 51.7 that was posted during the prior month. CNOOC (CEO) posted its latest quarterly report, which featured stronger-than-expected earnings. Shares of CEO offered leadership to Hong Kong's Hang Seng, which put together a 0.4% gain.
08:35 am : S&P futures vs fair value: +7.10. Nasdaq futures vs fair value: +14.50. Stock futures have slipped in response to the latest dose of data. Initial jobless claims for the week ended March 19 totaled 382,000, which is in stride with the 384,000 that had been broadly expected among economists polled by Briefing.com. Initial claims for the prior week were revised upward to 387,000. Continuing claims came down slightly to 3.721 million from 3.723 million. Separately, durable goods orders for February fell 0.9%, which contrasts with the Briefing.com consensus call for a 1.1% increase. Overall orders for the prior month were revised higher to reflect a 3.6% increase. Excluding transportation, durable goods orders for February fell 0.6%, which is a negative surprise considering that a 1.8% increase had been expected, on average, among economists surveyed by Briefing.com after the prior month's 3.0% drop.
08:00 am : S&P futures vs fair value: +9.40. Nasdaq futures vs fair value: +18.50. Stock futures currently sport a solid lead over fair value. Support comes amid strong gains among Europe's major bourses, which have pushed higher despite the decision by analysts at Moody's to downgrade about 30 Spanish banks, rising speculation that Portugal will need a bailout after its Parliament refused austerity measures, and relatively mixed data from the major eurozone nations. Oil prices are up above $106 per barrel in electronic trade. Gold prices are up, too; they were last quoted with a 0.3% gain at almost $1442 per ounce. Today's calendar features the latest initial jobless claims tally and durable goods orders, both of which are due at the bottom of the hour. Natural gas inventory data are due at 10:30 AM ET. Results from an auction of 10-year TIPS are due at 1:00 PM ET.
5:41PM HeartWare International receives approval from the Therapeutic Goods Administration in Australia (HTWR) 90.24 -0.41 : Co announced that the Therapeutic Goods Administration in Australia, has approved the HeartWare Ventricular Assist System for listing on the Australian Register of Therapeutic Goods.
5:33PM Walter Energy and Western Coal receive Investment Canada Act approval in connection with proposed arrangement (WLT) 122.27 +0.57 : Western Coal (TSX: WTN) and Walter Energy (WLT) ("Walter") are pleased to announce that the Minister of Industry, under the Investment Canada Act, has approved the proposed acquisition of Western by Walter upon determination that the transaction is of net benefit to Canada. Completion of the arrangement remains conditional on satisfaction of other customary conditions. Subject to the satisfaction or waiver of all conditions precedent, it is currently anticipated that the arrangement will be completed on or about April 1, 2011.
5:30PM Medtronic announces FDA approval of Consulta and Syncra cardiac resynchronization therapy-pacemaker (CRT-P) systems (MDT) 38.22 +0.54 : Medtronic (MDT) announced that the U.S. Food & Drug Administration (FDA) has approved its Consulta and Syncra cardiac resynchronization therapy-pacemaker (CRT-P) systems. Consulta is the first CRT-P that includes Medtronic's exclusive OptiVol Fluid Status Monitoring, which identifies patients at risk for worsening heart failure before symptoms develop.3-9 Additionally, both Consulta and Syncra are the first CRT-Ps that include Leadless ECG Waveform, which together with the Medtronic CareLink(R) Network device data monitoring system, offer the possibility of remote follow-up in heart failure patients implanted with these devices. Shipments of Consulta and Syncra will begin immediately.
5:12PM SYSWIN reports Q4 ADS of $0.20 vs. $0.24 in last year's quarter; revs rose 31.0% to $150.6 mln (SYSW) 6.22 +0.07 :
5:00PM MedQuist gives notice of intent to voluntarily delist from NASDAQ (MEDQ) 10.56 +0.11 :
4:57PM Viacom announces $500 mln debt offering (VIA) 51.58 +0.63 : Co announced that it has agreed to sell $500 mln in aggregate principal amount of 3.50% senior notes due 2017 at a price equal to 99.139% of the principal amount thereof. The sale of the Senior Notes is expected to close on March 31, 2011. The joint book running managers for the Senior Notes are Deutsche Bank Securities Inc., J.P. Morgan Securities LLC., and BNP Paribas Securities Corp.
4:54PM 3D Systems announces infringement ruling against Envisiontec (TDSC) 44.11 +0.41 : Co announced that the United States District Court for the Eastern District of Michigan, Southern Division, has entered a judgment of patent infringement in its favor against Envisiontec, Inc., Envisiontec GmbH and SIBCO, Inc. (collectively, "Envisiontec") in a case brought by the company. The Court ruled that Envisiontec's Perfactory systems infringe a claim of the company's U.S. Patent Number 5,630,981 and that Envisiontec's Vanquish systems (currently sold under the PerfactoryXede and PerfactoryXtreme names) infringe a claim of each of the company's U.S. Patent Numbers 5,630,981 and 5,651,934. Both of these patents relate to the company's stereolithography technology.
4:47PM Plains Exploration announced that it has priced an underwritten public offering of $600 mln of 6 5/8% Senior Notes due 2021 (PXP) 35.98 : Co announced that it has priced an underwritten public offering of $600 million of 6 5/8% Senior Notes due 2021. The notes are being sold to the public at par. PXP intends to use the net proceeds of the offering to repay indebtedness under its senior revolving credit facility and for general corporate purposes. J.P. Morgan, Barclays Capital, BNP Paribas Securities, BMO Capital Markets, Wells Fargo Securities, and Scotia Capital are acting as book-running managers of the offering.
4:44PM Finish Line reports EPS in-line, beats on revs (FINL) 18.40 : Reports Q4 (Feb) earnings of $0.65 per share, in-line with the Thomson Reuters consensus of $0.65; revenues rose 2.7% year/year to $384.6 mln vs the $376.7 mln consensus. Comparable store net sales on a month-to-date basis for the period of February 27, 2011 through March 20, 2011 increased 10.1% on top of a 15.4% increase for the same period a year ago.
4:41PM CoStar Group reports that Jones Lang LaSalle signs new enterprise agreement to expand use of CSGP comprehensive commercial property Info (CSGP) 58.98 -0.15 : CoStar Group (CSGP) announced that Jones Lang LaSalle (JLL) has signed a new enterprise-wide agreement to expand its use of CoStar Group's comprehensive commercial property, tenant and comparable sales information for the benefit of its domestic client base throughout the United States. Under the newest agreement, Jones Lang LaSalle has increased its total number of CoStar market subscriptions and provided its U.S.-based professionals with full access to all CoStar market subscription services in their local offices.
4:34PM Darden Restaurants beats by $0.03, reports revs in-line; guides FY11 EPS above consensus (DRI) 48.01 +0.74 : Reports Q3 (Feb) earnings of $1.08 per share, $0.03 better than the Thomson Reuters consensus of $1.05; revenues rose 5.7% year/year to $1.98 bln vs the $1.97 bln consensus. Co issues upside guidance for FY11, sees EPS of +19% calculates to $3.40 vs. $3.38 Thomson Reuters consensus. Co also affirmed that its earnings expectations for the fiscal year are based on blended U.S. same-restaurant sales in fiscal 2011 for Olive Garden, Red Lobster and LongHorn Steakhouse of approximately +1.5% to +2.0%; the opening of approximately 70 to 75 net new restaurants in fiscal 2011; and total sales growth of approximately +5.5% in fiscal 2011.
4:28PM Research In Motion beats by $0.02, misses on revs; guides Q1 EPS below consensus, revs below consensus; guides FY12 EPS above consensus (RIMM) 64.09 +1.96 : Reports Q4 (Feb) earnings of $1.78 per share, $0.02 better than the Thomson Reuters consensus of $1.76; revenues rose 36.2% year/year to $5.56 bln vs the $5.64 bln consensus. RIMM reports Q4 gross margins of 44.2% vs 43.5% consensus; guidance was for GM to 'be similar to Q3' which was 43.6%. Reports Q4 shipments of 14.9 mln units vs. the 14.5-15.0 mln unit guidance... Co issues downside guidance for Q1, sees EPS of $1.47-1.55 vs. $1.65 Thomson Reuters consensus; sees Q1 revs of $5.2-5.6 bln vs. $5.64 bln Thomson Reuters consensus. Gross margin percentage for the first quarter is expected to be approximately 41.5%, vs. 42.7% consensus... Co issues upside guidance for FY12, sees EPS of $7.50- vs. $6.81 Thomson Reuters consensus... This guidance range reflects a mix shift in handset towards lower ASP products in the first quarter and an increased level of investment in Research and Development and Sales and Marketing related to our tablet and platform initiatives. The guidance range is slightly wider than normal to reflect the risk of potential disruption in RIMM's supply chain as a result of the recent earthquake in Japan. "As we enter fiscal 2012, RIMM is in an excellent position to benefit from the continuing convergence of the mobile communications and mobile computing markets. We are laying a strong foundation for RIMM's expanding market opportunity through focused investments and we are extremely excited about our smartphone, tablet and platform roadmaps."
4:20PM Southern Community Finl amends lower Q4/FY10 results due to increased valuation allowance for deferred tax assets (SCMF) 1.41 : Co reports fourth quarter and full year 2010 results of net loss available to common shareholders of $11.5 million and $25.7 million, respectively. These results differ from the amounts disclosed in the January 31, 2011 earnings release (Q4 loss of $2.9 mln) due to mgmt's determination that the valuation allowance for the deferred tax assets be increased by $8.6 million.
4:17PM Quicksilver Resrcs Board of Directors disbands transaction committee (KWK) 13.90 -0.09 : Co announced that, in light of the recent announcement by an entity controlled by members of the Darden family of a decision not to pursue a take private transaction of the Company, the Board of Directors has unanimously determined that there is no longer a need for the transaction committee of independent directors that was formed to evaluate a potential transaction that may be proposed by the Darden family interests, as well as possible alternatives. Accordingly, the transaction committee has been disbanded, and going forward, the Board as a whole will again work together to evaluate and pursue strategic and growth opportunities for the Company.
4:13PM Synnex also reports Japan update; SYNNEX Infotec suffered nominal inventory and facility damage (SNX) 34.15 +0.22 : Co says SYNNEX Infotec suffered nominal inventory and facility damage, and the co expects that the demand environment in Japan will be somewhat affected in the coming months. "We believe that demand will remain solid in our base distribution and GBS business segments and we will continue to outperform the market."
4:12PM Acacia Research quickly drops 6% to $31.55 following news it will issue a 5 mln share common stock offering (see 16:10 comment) (ACTG) 33.53 -0.58 :
4:10PM Acacia Research announces public equity offering of 5 mln shares of its stock (ACTG) 33.53 -0.58 : Co announced that it has filed a preliminary prospectus supplement with the Securities and Exchange Commission for a proposed public offering of 5 mln shares of its common stock. Barclays Capital is acting as the sole underwriter for the offering. The co also expects to grant an option to Barclays Capital to purchase up to an additional 750,000 shares of common stock. The co intends to use the net proceeds from the offering for its operations and for other general corporate purposes, including, but not limited to, working capital, strategic acquisitions and other transactions.
4:10PM Accenture beats by $0.03, beats on revs; guides Q3 revs above consensus; guides FY11 EPS above consensus, revs above consensus (ACN) 51.96 +1.29 : Reports Q2 (Feb) earnings of $0.75 per share, $0.03 better than the Thomson Reuters consensus of $0.72; revenues rose 9.3% year/year to $6.05 bln vs the $5.74 bln consensus. New bookings for the quarter were $6.98 billion, with consulting bookings of $3.80 billion and outsourcing bookings of $3.18 billion. Co issues upside guidance for Q3, sees Q3 revs of $6.3-6.5 bln vs. $6.08 bln Thomson Reuters consensus. Co issues upside guidance for FY11, sees EPS of $3.22-3.30 vs. $3.14 Thomson Reuters consensus; sees FY11 revs of $23.92-24.56 bln vs. $23.82 bln Thomson Reuters consensus. Accenture continues to expect operating margin for the full fiscal year to be in the range of 13.6 percent to 13.7 percent. The company now expects operating cash flow to be $2.8 billion to $3.0 billion; now expects property and equipment additions to be $420 million; and continues to expect free cash flow to be in the range of $2.4 billion to $2.6 billion. The company continues to expect its annual effective tax rate to be in the range of 28 percent to 29 percent. Accenture continues to target new bookings for fiscal 2011 in the range of $25 billion to $28 billion.
4:07PM Saba Software beats by $0.02, reports revs in-line; guides FY11 EPS in-line, revs in-line (SABA) 8.00 -0.14 : Reports Q3 (Feb) earnings of $0.05 per share, excluding non-recurring items, $0.02 better than the Thomson Reuters consensus of $0.03; revenues rose 13.5% year/year to $30.3 mln vs the $30.2 mln consensus. Co issues in-line guidance for FY11, sees EPS of $0.08-0.12, excluding non-recurring items, vs. $0.11 Thomson Reuters consensus; sees FY11 revs of ~$117-119 mln vs. $117.35 mln Thomson Reuters consensus.
4:06PM Body Central misses by $0.01, beats on revs; guides Q1 EPS above consensus, revs above consensus; guides FY11 EPS above consensus, revs above consensus (BODY) 19.80 +1.76 : Reports Q4 (Dec) earnings of $0.25 per share, ex-items, $0.01 worse than the Thomson Reuters consensus of $0.26; revenues rose 26.1% year/year to $67.1 mln vs the $62.2 mln consensus. Co issues upside guidance for Q1, sees EPS of $0.28-$0.30 vs. $0.18 Thomson Reuters consensus; sees Q1 revs of $71-$72 mln vs. $64.81 mln Thomson Reuters consensus. Co issues upside guidance for FY11, sees EPS of $1.08-$1.12 vs. $0.96 Thomson Reuters consensus; sees FY11 revs of $286-$292 mln vs. $284.38 mln Thomson Reuters consensus.
4:06PM Resource Capital is offering 6.0 mln shares of common stock (RSO) 7.14 +0.05 : Co announced that it is offering 6.0 million shares of its common stock in an underwritten public offering. Co intends to use the net proceeds from this offering for new investments and general corporate purposes. Deutsche Bank Securities is acting as sole book-running manager for the offering. Resource Capital Corp. is externally managed by Resource Capital Manager, an indirect wholly owned subsidiary of Resource America (REXI).
4:05PM Oracle beats by $0.04, beats on revs; raises quarterly dividend 20% to $0.06 (ORCL) 32.14 +0.73 : Reports Q3 (Feb) earnings of $0.54 per share, excluding non-recurring items, $0.04 better than the Thomson Reuters consensus of $0.50; revenues rose 36.9% year/year to $8.76 bln vs the $8.67 bln consensus. Both GAAP and non-GAAP new software license revenues were up 29% to $2.2 billion. Non-GAAP software license updates and product support revenues were up 13% to $3.8 billion. Both GAAP and non-GAAP hardware systems products revenues were $1.0 billion. Non-GAAP operating income was up 35% to $3.9 billion, and non-GAAP operating margin was 44%. "Our hardware product gross margins increased to 55% in the quarter so we are now completely confident that we will exceed the $1.5 billion profit goal we set for the overall Sun business for the current fiscal year. Q3 performance was broad based with all geographies reporting revenue growth of 30% or higher... The sequential rev growth for Exadata and Exalogic was up over 50%. And we expect to see an even higher growth rate for these two game changing technologies in Q4... In Q3 we signed several large hardware and software deals with some of the biggest names in cloud computing... For example, Salesforce.com's new multi-year contract enables them to continue building virtually all of their cloud services on top of the Oracle database and Oracle middleware." In addition, Oracle also announced that its raised its quarterly cash dividend to $0.06 per share from $0.05 per share.
4:02PM Smart Modular Tech beats by $0.01, beats on revs; guides Q3 EPS in-line, revs in-line (SMOD) 7.14 +0.47 : Reports Q2 (Feb) earnings of $0.08 per share, excluding non-recurring items, $0.01 better than the Thomson Reuters consensus of $0.07; revenues rose 6.5% year/year to $170.5 mln vs the $168 mln consensus. Co issues in-line guidance for Q3, sees EPS of $0.09-0.12, excluding non-recurring items, vs. $0.11 Thomson Reuters consensus; sees Q3 revs of $160-180 mln vs. $173.76 mln Thomson Reuters consensus.
4:01PM GeoResources provides an operations update: co drilled three Middle Bakken wells in Williams County, North Dakota and are currently drilling our fourth Middle Bakken well in eastern Montana (GEOI) 28.01 -0.28 : Co drilled three Middle Bakken wells in Williams County, North Dakota and are currently drilling our fourth Middle Bakken well in eastern Montana. Co first operated Williams County well, the Carlson #1-11H, was drilled on a 640 acre spacing unit and has been completed as a Middle Bakken producer. The well tested at a 24-hour production rate of ~685 barrels of production daily ("BOPD"), through a 41/2" frac string, on a 29/64" choke. Average production was 350 BOPD and 316 barrels of water per day over a recent five day period of continuous production. The Siirtola #1-28-33H has recently been fraced with 30 stages (18 sliding sleeve and 12 perf and plug) and was cleaning up with a 37% oil cut which should improve to 50% or more as seen in nearby wells. The well was flowing back at a rate of 840 BOPD and 480 MCFD, on a 26/64" choke through a 41/2" frac string, prior to being shut in due to severe weather and the resultant inability to transport oil and water. Co is currently in the process of fracing the Anderson #1-24-13H. To date, co acquired ~25,000 net acres in co's Williams County project, generally representing a 47.5% working interest, within an area of mutual interest being developed with a subsidiary of Resolute Energy Corporation (REN) and another industry participant.
4:00PM THQ Inc announces estimated Global Homefront sell-through of over 1 mln units, on 2.4 mln units shipped to date (THQI) 4.64 +0.08 : Co announced that Homefront has already sold-through an estimated more than one million units across North America, Europe and Asia Pacific markets, on shipments of 2.4 million units to date.
3:58PM Merck: FDA Approves Zostavax Vaccine to Prevent Shingles in Individuals 50-59 years of age (MRK) 32.69 +0.06 : The Food and Drug Administration (FDA) today approved the use of Zostavax, a live attenuated virus vaccine, for the prevention of shingles in individuals 50 to 59 years of age. Zostavax is already approved for use in individuals 60 years of age and older. Approval was based on a multicenter study conducted in the United States and four other countries in approximately 22,000 people who were 50-59 years of age.
3:58PM BP: AAR puts out press release welcoming arbitration hearing on BP-Rosneft deal (BP) 46.83 +0.83 : At 5:30 p.m. London time today, the Stockholm Arbitration Tribunal notified AAR and BP that it has ruled that BP's proposed strategic alliance with Rosneft breaches the terms of the TNK-BP shareholder agreement. According to the Tribunal, BP cannot proceed with any part of its proposed Rosneft transaction, which includes: (i) the Cooperation Agreement to explore for oil and gas in the Arctic; (ii) the Framework Agreement, which encompasses a broad strategic alliance between BP and Rosneft, and (iii) the Share Swap, which underpins both the Cooperation and Framework agreements, thus cementing a strategic partnership between the two companies. The Tribunal decision means that BP is prohibited from entering into any future share arrangement with Rosneft that has any kind of a strategic component.
3:31PM PVF Capital Corporation announces positive impact of repayment of repurchase agreement (PVFC) 2.00 +0.10 : Co announced change in liquidity position and improvement in the tier 1 core capital ratio of its banking subsidiary, Park View Federal Savings Bank as a result of the maturity of a $50 mln repurchase agreement that matured March 21, 2011. It carried an interest rate of 4.99% and was settled by using short-term cash and cash equivalents position, which totaled $131 mln at December 31, 2010. Co expects to reduce its annual borrowing costs related to the matured borrowing by ~$2.5 mln. As a result of this maturity transaction, total assets, which were $830.6 mln at December 31, 2010, are expected to decline by ~6.0%. The Bank's tier 1 core capital ratio, which totaled 8.84% at December 31, 2010, is expected to improve by ~50 basis points as a result of the smaller balance sheet.
3:29PM Gold, silver extend selloffs in electronic trade (COMDX) :
* Gold now off $11.90 to $1426.80. * Sivler down 31.3 cents to $36.85.
3:28PM Nasdaq Comp extends up near its 50 day sma at 2742 -- session high 2740 (QQQ) :
3:24PM iShares DJ Transports ETF sets new session high of 93.76 in late trade, early week/month highs are at 93.82/93.83 (IYT) 93.76 +1.37 :
3:06PM New Oriental pays outstanding NASDAQ fees and requests delisting determination be reconsidered; believes will obtain funds to restart production within few weeks (NOEC) 0.40 0.00 : Co announces that it had receives notification letter from NASDAQ indicating that co had failed to appeal the previous delisting determination and that co's common stock would be suspended effective as of March 23, 2011. Co has paid the outstanding fees to NASDAQ and requested that the delisting determination be reconsidered. Co is awaiting a response from NASDAQ on its request for reconsideration. Co has been engaged in an ongoing effort to obtain the funds necessary to resume production. The Company now believes it will obtain the necessary funds to restart production within the next few weeks. "To date we have received ~$1.5 mln of an anticipated $4.5 mln government loan which, together with other resources, will permit the restart our production of urea and our other coal-based specialty chemicals. As we previously commented, from that point forward we believe it will take up to ~1 year to return to normal conditions. We remain optimistic that our alternative energy products and solutions will ultimately achieve their potential."
2:51PM Constellation Energy and U.S. Department of State sign agreement that will spur development of solar, wind facilities (CEG) 31.20 -0.05 : Co announces it has signed a first-of-its-kind federal contract that will help the U.S. Department of State contribute to President Obama's executive order to reduce federal-wide greenhouse gas emissions 28% by 2020 and encourage the development of two new renewable energy facilities. Co plans to construct a $50 million solar project on a 40-acre site in New Jersey by mid-2012.
2:48PM CBOT Agriculture and Ethanol and ICE Exchange Sugar Closing Prices (COMDX) : May corn finished 21.5 cents higher (or +3.2%) to $7.025. May wheat gained 25.25 cents (or +3.5%) to close at $7.395, May soybeans rose 3.24 cents to close at $13.545, April ethanol closed higher by 0.027 cents at $2.51, while May world sugar futures closed up 0.87 cents to 27.45 cents.
2:38PM Nasdaq Comp +36 extends to new session high, S&P +10.9 nearing it midday high, lagging Dow +81 roughly 20 points below its peak (SPY) : Software IGV, Semi SMH have helped to underpin with relative strength in recent trade also noted in Airline FAA, Casino BJK, Silver SLV, Gold Miners GDX.
2:37PM NYMEX Energy Closing Prices (COMDX) : May crude oil settled at $105.60, off 15 cents on the day, April natural gas shed 8.2 cents to close at $4.33, April heating oil gained 0.86 cents to end at $3.0636, while April RBOB gasoline finished up 2.35 cents to $3.0448.
2:35PM IRIS Intl receives FDA 510(k) clearance for iChem VELOCITY Automated Urine Chemistry Analyzer and iRICELL Urinalysis Workstation (IRIS) 9.70 +0.68 : While pursuing U.S. regulatory clearance, IRIS received CE Mark certification and launched the iChemVELOCITY to the international marketplace in September 2008, and since that time has sold more than 300 instruments in more than 30 countries.
2:05PM Essex Rental's Coast Crane named new distributor for Tadano Rough Terrain and All Terrain Cranes (ESSX) 7.00 0.00 :
1:35PM Kohlberg Capital announces issuance of additional $5.0 mln of 8.75% convertible senior notes due 2016 (KCAP) 8.02 +0.02 :
1:34PM COMEX Metals Closing Prices (COMDX) : April gold ended lower by $2.80 to $1435.20, May silver gained 28.7 cents to close at $37.465, while May copper finished up 2 cents to $4.4305.
1:29PM China Natl Resources engages Behre Dolbear to perform independent technical analyses of coal mining properties (CHNR) 13.38 -0.22 : Co announced that it had engaged a subsidiary of Behre Dolbear Group, to perform Independent Technical Analyses of the Company's seven anthracite coal mine properties located in Guizhou Province in the People's Republic of China.
1:20PM Gold ticks to fresh lows, with 10 min left in pit trade; now down $5.00 to $1433.10 (COMDX) : Silver currently up 13.7 cents to $37.335.
1:16PM NetSpend ordering system to be integrated into Accu-Auto software for specialty auto insurance agents (NTSP) 9.58 +0.34 :
1:11PM DTE Energy initiated Request for Proposal to identify qualified solar photovoltaic panel suppliers to provide solar panels and logistics for solar energy installations (DTE) 47.81 +0.34 :
1:02PM Corinthian Colleges unit announced that it has signed a national affiliation agreement with The Pep Boys (PBY) (COCO) 4.74 +0.16 : Under the agreement, Pep Boys will promote awareness of its job placement opportunities to WyoTech automotive graduates. Pep Boys and Corinthian have plans to expand the recruiting relationship to Everest Universities.
12:59PM Stock indices slip back off midday/session highs -- Dow +66 has dipped roughly 30 points, S&P +8.2, Nasdaq Comp +29 (SPY) : Relative sector weakness on this move has been noted in Energy/Commodity (XLE, OIH, XLB, JJC, MOO, SLV, GDX, GLD) along with Housing XHB, Retail XRT, Disk Drive.
12:56PM Gold now approaching flat line; currently higher by $2 to $1440 (COMDX) :
12:46PM Crude oil testing the flat line; currently up 5 cents to $105.80 (COMDX) :
12:46PM Boeing is expanding GoldCare service to include Next-Generation 737 product line; in advanced discussions with multiple customers regarding tailoring of GoldCare solutions for 737 fleets (BA) 72.65 -0.05 :
12:45PM Hologic confirms Selenia Dimensions digital mammography system receives EUREF 'Mammographic Type Test' certification (HOLX) 21.56 -0.22 : Co announces that its Selenia Dimensions digital mammography system in two dimensional mode has been awarded "EUREF Type Test" certification by the European Reference Organization Council for Quality Assured Breast Screening and Diagnostic Services. Only three products have received EUREF approval to date, of which two are Hologic systems - namely, our Selenia digital mammography system and now Selenia Dimensions, our newest breast cancer screening and diagnosis technology.
12:43PM Gold, silver pull back (COMDX) :
* April gold now up $6 to $1444.00. * May silver up 61.2 cents to $37.81.
12:30PM Large Cap Tech - Nasdaq 100/QQQ - continues to pace the way (QQQ) : NVDA +7.6%, ADSK +5.1%, DISH +3.7%, YHOO +3.7%, SNDK +3.4%, AMZN +3.4%, CTSH +3.4%, MRVL +3.4%, CTXS +2.1%, INFY +3.1%, ERTS +3.1%, MCHP +2.9%, TEVA +2.8%, AKAM +2.8%, RIMM +2.6%, ADBE +2.5%, APOL +2.5%, KLAC +2.5%, WYNN +2.4%.
12:27PM Stock indices set minor new session highs in midday trade -- Dow +93, S&P +11, Nasdaq Comp +35 (SPY) :
12:05PM Dow +84 joins S&P +10 and Nasdaq Comp +33 at new session high (SPY) : Relative sector strength continues in Casino (BJK 11:51), Steel SLX, Rail, Copper JJC, Materials XLB, Retail XRT, Oil Service OIH, Housing XHB.
12:04PM Michael Baker awarded a five-year, up to $12 million indefinite delivery/indefinite quantity (IDIQ) surveying and mapping services contract by the U.S. Army (BKR) 27.50 -0.14 :
11:46AM Intel is back hovering modestly under its morning peak and 200 sma at 20.51/20.50 (INTC) 20.45 +0.16 :
11:34AM Minor new high for S&P +8.7 at 1307, tests second level resistance at 1307/1308 (SPY) : The Nasdaq Comp +28 has also tested its second level resistance noted in The Technical Take at 2724/2730 (session high 2729). Thus far the Dow has not been able to confirm the new highs in the other major averages.
11:31AM POZEN reports superior platelet inhibition of PA32540 regimen over a standard of care regimen in a Phase 1 study (POZN) 5.08 +0.15 : Co announced positive top-line results of a Phase 1 study of PA32540, a novel coordinated-delivery tablet of enteric-coated aspirin and immediate-release omeprazole. The data from the Co-Rx Study suggest that PA32540 given in conjunction with clopidogrel, dosed at least 10 hours apart, resulted in significantly better inhibition of ADP-induced platelet aggregation when compared to a current standard of care. Additional data from this study are expected to be presented at an upcoming scientific meeting.
11:06AM Market Vectors Coal ETF edging back toward early session high of 49.70 (KOL) 48.59 +0.18 : Its Jan/52-wk peak is at 49.80 -- ANR, ACI, CNX, JOYG, BTU, WLT, MEE
11:03AM Best Buy under pressure during conference call, attempting to stabilize near its March/52-wk close low of 30.84 -- session low 30.88 (BBY) 31.17 -0.68 : The 52-wk intraday low from March is just below at 30.72.
10:58AM Dow +64 and S&P +7.3 join Nasdaq Comp +22.7 at new session highs (SPY) : S&P has edged above its 50 sma at 1304.90.
10:56AM Priceline.com nearing its early session high of 473.88 with its 52-wk peak from early March at 474.74 (PCLN) 473.32 +7.06 :
10:50AM Reis reached an agreement with Thomson Reuters (TRI) to distribute market information (REIS) 7.59 -0.23 :
10:50AM Yongye Intl. responds website commentary (YONG) 5.82 +0.12 : Co reponds to a recent post on the Seeking Alpha website and says the author "relies on innuendo and loaded questions rather than any factual basis for his false and defamatory attacks... The Author says that his experience tells him that the sales figures must be false because sales from Hebei province for a particular quarter fluctuated over the last few years. Our sales figures are, in fact, accurate. The fluctuations that we experienced resulted from variable buying habits exhibited by our previous distributor in that province (whose customer list and related customer relationship we recently acquired). Our distributors' buying habits are their business. The bottom line is that we enjoyed strong sales in Hebei during the past several years and, other than his guess work, the Author has no basis to say otherwise... The Author says that as a result of a transaction with our largest distributor then, that distributor came to own more than 5% of our stock and should have, but did not, make the proper SEC filing, implying that the distributor was owned by a related party. Our Hebei distributor was not owned by a related party. Also, it is the responsibility of the greater-than-5% owner to make the filing. The Company discloses all of its distributors to its auditors, on a quarterly basis as part of the Company's audit and review procedures. This is a basic audit area covered by our auditors, who has signed off the financial statements. All related party transactions are properly disclosed in the Company's SEC filings and there was no significant related party transaction in 2010."
10:49AM S&P +4.1 and Dow +33 approach early highs but thus far have not confirmed the new intraday high in Nasdaq Comp +16 sets fractional new high (SPY) : An intraday rebound in Energy/Commodity (XLE, OIH, SLV, SLX, GLD, MOO, XLB) and follow through in Semi SMH helped to underpin
10:45AM Continuous gold contract trades to new all-time highs at $1448.60; now up $8.60 to $1440.60 (COMDX) :
10:39AM Sector Watch Internet FDN and Software IGV are firmer and testing their 50 day averages (TECHX) : FDN -- AMZN +3.2%, AKAM +1.8%, CHKP +0.4%, EBAY +0.7%, GOOG +0.2%, JNPR +1.9%, PCLN +0.9%, CRM +3.4%, VRSN +0.3%, YHOO +2.3%. IGV -- ORCL +0.7%, ADBE +1.1%, MSFT +0.6%, INTU +0.8%, SYMC +0.7%, CTXS +2%, CA +1.3%, RHT +17.5%
10:38AM Gold, silver tick to fresh highs (COMDX) :
* Gold now up $4.20 to $1442.20. * Silver higher by 71.7 cents to $37.915.
10:33AM Halliburton awarded several contracts for the provision of equipment and services on two offshore blocks in the South China Sea; terms not disclosed (HAL) 45.78 -0.61 :
10:31AM Ever-Glory International postpones FY10 earnings release and conference call to March 30 from Mar 25 (EVK) 1.93 0.00 :
10:30AM Following inventory data, natural gas pulls back to the flat line; now unchanged at $4.335 (UNG) :
10:30AM Natural Gas Data (COMDX) : Natural gas inventory showed a draw of 6 bcf, market was expecting a draw of 8 bcf, with ests ranging from a draw of 15 bcf to a draw of 2 bcf.
10:25AM S&P pulls back to flat line at 1297 amid intraday oversold readings and attempts to lift (SPY) :
10:16AM Sirius XM Radio commenced a tender offer to purchase for cash any and all of its 3 1/4% Convertible Notes due 2011 (SIRI) 1.67 +0.01 :
Point Losers: SCHL (-3.68), GMCR (-2.65), HOC (-2.06), NFLX (-2.48), APKT (-2.20), FFIV (-2.02), OIH (-1.94), TZOO (-1.94), SLB (-1.73), NBL (-1.62), HIT (-1.63)
10:12AM More aggressive pullback in Energy XLE and Oil Service OIH (XLE) :
10:11AM Gold, silver pulling back (COMDX) :
* April gold now up 10 to $1438.10. * May silver higher by 50.2 cents to $37.70.
10:11AM New pullback lows for Dow +12 and S&P +0.3, Nasdaq Comp +6.7 hovering just above its low (SPY) :
10:01AM First Niagara named Gregory W. Norwood to serve as the CFO of the multi-state bank's operations, effective April 4, 2011 (FNFG) 13.88 -0.11 : Co named Gregory W. Norwood to serve as the Chief Financial Officer of the multi-state bank's operations, effective April 4, 2011. Michael W. Harrington, who served as First Niagara's CFO for more than four years, has been appointed Treasurer and Chief Investment Officer.
10:01AM Onebeacon Insurance announces cash tender offer for its 5.875% senior notes due 2013 (OB) 13.02 -0.06 :
10:01AM Research In Motion: OfficeMax (OMX) to offer the new BlackBerry PlayBook in all U.S. stores (RIMM) 62.49 +0.35 :
10:00AM Baidu.com back hovering modestly above unchanged after solid opening push to a new 52-wk high of 135.00 (BIDU) 132.99 +0.41 :
9:55AM Sector relative weakness as S&P slips back modestly after testing its 50 day (TECHX) : Sectors that are underperforming the S&P include: Finance XLF, Reg Bank KRE, Bank KBE, Oil Service OIH, Housing XHB, Energy XLE, Coal KOL, Materials XLB.
9:54AM Apricus Biosciences adopts shareholder rights plan (APRI) 4.15 -0.11 : Co announced that its Board of Directors has adopted a Shareholder Rights Plan. "The purpose of the Plan is to better allow the Board to protect shareholder interests in realizing fair value in the event of an attempted takeover of the Company and to protect the Company and its shareholders against coercive takeover tactics."
9:54AM Earthstone Energy acquires an interest in another producing well in Montana for ~$38K (ESTE) 20.00 +0.95 : The well has been shut-in for over three years, but produced ~15 to 20 barrels of oil per day when it was running. Co acquires a 25% working interest in the well for ~$38,000.
9:51AM S&P +2.7 pulls back slightly after opening test of its 50 day -- Dow +39, Nasdaq Comp +8 (SPY) :
9:43AM SPDR KBW Bank lagging, notches new session low of 25.36 (KBE) 25.37 -0.15 : Its March/three month close low is at 25.30, yesterday's early intraday low is at 25.25 with the March/three month intraday low at 25.20 -- BAC, BK, BBT, C, JPM, MTB, PNC, STT, USB, WFC.
9:39AM Sector Watch: New weekly highs for Finance XLF, Energy XLE, Housing XHB and a pause (TECHX) : Semi SMH and Retail XRT set a new high as well but are extending.
9:35AM Opening push for S&P +4.5 pauses just under its 50 day sma at 1304 -- session high 1303.52 (SPY) :
9:34AM Crude testing lows; now off 15 cents to $105.60 (COMDX) :
9:34AM General Electric gaps slightly higher, pauses near its 50 ema and this week's recovery high at 19.80 -- session high 19.71 (GE) 19.61 +0.08 :
9:22AM CPEX Pharmaceuticals stockholders approve $27.25 per share merger agreement with FCB I Holdings (CPEX) 27.35 : Chairman of co states: "We look forward to completing the transaction in the next few weeks."
9:20AM Bluegreen is exploring other strategic alternatives for the co's Bluegreen Communities business segment, including a possible sale (BXG) 4.04 : Co says Bluegreen Communities do not align with co's long-term strategy of being a pure-play in the vacation ownership, resort and hospitality sectors. The Algon Group is leading an advisory team, including REH Capital Partners, LLC and Label & Co., in assisting the Company in the exploration of strategic alternatives for Bluegreen Communities.
9:08AM On The Wires (WIRES) :
* OCZ Technology Group (OCZ) announced that it has shipped its one millionth solid state drive. * LightPath Technologies (LPTH) announced that it has continued the expansion of its direct selling channels in China as part of its strategy to deliver high volumes of aspheric lenses and laser delivery systems to Asian manufacturers of optical equipment. Based on the adoption rate of aspheric lenses in multiple market segments in China, the market for aspheric lenses in Asia is expected to top $280 Million by the end of 2011. * Newmont Mining (NEM) announced that its Board of Directors approved funding for the Akyem gold project in Ghana.
9:03AM Celanese will increase emulsion prices in Americas effective April 1 (CE) 41.22 : Co states sustained price increases in raw materials, particularly in the propylene/acrylic monomer chain, as well as increased transportation costs particularly in North America are primary reasons for these increases. Co plans to increase vinyl acetate homopolymers by $.03/pound, vinyl acetate ethylene emulsions by $0.03/pound, vinyl acrylic emulsions by $0.05/pound and pure acrylic emulsions by $0.09/pound.
9:02AM Hi-Tech Pharmacal receives final approval for Lidocaine HCl Jelly, 2% (HITK) 19.77 : Co announces that the US Food and Drug Administration granted final approval for the Company's Abbreviated New Drug Application, for sterile lidocaine HCl jelly, 2%, the generic for APP Pharmaceuticals LLC's Xylocaine.
9:02AM TeleTech increased authorization of $50 mln for share repurchases (TTEC) 17.97 : Co announced that its Board of Directors has approved an additional authorization of $50 mln for share repurchases.
9:02AM Solutia to acquire selected assets of Aimcore Technology for ~$7 mln. (SOA) 23.11 : The acquisition will be an addition to co's Performance Films segment and will result in greater manufacturing capacity for the production of co's market-leading Flexvue film components, which are used in touch screens, solar applications and e-readers. The acquisition will add equipment and expand co's film manufacturing operations into Asia in support of the region's fast-growing mobile technology and energy markets. The increased manufacturing capacity is slated to be on line in the second half of 2011.
9:02AM Franklin Electric to buy 80% of the outstanding shares of Impo Motor Pompa Sanayi ve Ticaret A.S. which has ~$25 mln in annual sales (FELE) 41.60 : Co announces it has reached a definitive agreement to buy 80% of the outstanding shares of Impo Motor Pompa Sanayi ve Ticaret A.S. of Izmir, Turkey. Impo, which has ~$25 mln in annual sales, is a leader in the design, manufacture and sale of groundwater pumping systems in Turkey.
8:57AM China Shen Zhou Mining: Absaroka Capital responds to co's letter (SHZ) 4.84 : Absaroka's Letter highlights "incremental due diligence concerns, discusses the recent resignation of CFO Steven Wang, repudiates the significant number of factual errors and misleading allegations in SHZ's Letter to Shareholders dated 03/11/11, calls for the resignation of Gene Michael Bennett as Audit Committee Chairman, and reviews potential endgames for China Shen Zhou Mining & Resources. In addition, Absaroka continues to resolutely stand behind the conclusions of its 03/08/11 SHZ Initiating Coverage Report."
8:56AM Targacept announces TC-5619 did not meet the primary efficacy outcome measure (TRGT) 25.03 : Co announces top-line results from a Phase 2 proof of concept trial of TC-5619 as a treatment for adults with attention deficit/hyperactivity disorder. In the trial, conducted in non-smokers, TC-5619 did not meet the primary efficacy outcome measure, change from baseline on the Conners' Adult ADHD Rating Scale-Investigator Rated Total ADHD Symptoms score after four, eight and 12 weeks of dosing. Targacept announced positive top-line results from a separate Phase 2 trial of TC-5619 in cognitive dysfunction in schizophrenia in January. Targacept announced positive top-line results from a separate Phase 2 trial of TC-5619 in cognitive dysfunction in schizophrenia (CDS) in January. TC-5619, a highly selective alpha7 neuronal nicotinic receptor modulator, is subject to license by Targacept's strategic collaborator AstraZeneca (AZN), with a decision expected in the second quarter of 2011.
8:42AM On The Wires (WIRES) :
* Portola Pharmaceuticals and Merck (MRK) announced that Merck plans to return to Portola all rights for betrixaban, an investigational oral Factor Xa inhibitor anticoagulant being evaluated for the prevention of stroke in patients with atrial fibrillation. * Answers.com (ANSW) announced that Institutional Shareholder Services has published a report recommending that Answers.com stockholders vote for the merger agreement with AFCV Holdings. * Great Wolf Resorts (WOLF) announced that it has completed the sale of its Blue Harbor Resort in Sheboygan, Wisconsin. The 182-room resort has been sold to Claremont New Frontier Resort for $4.2 million.
8:40AM Immunomedics awarded three US Patents covering its cancer therapeutic product candidates and technologies (IMMU) 3.54 :
8:37AM Crude oil trades into negative territory; now off 11 cents to $105.64 (COMDX) :
8:37AM Plains Exploration to offer senior notes due in 2021 in an underwritten public offering (PXP) 35.56 : Net proceeds from the offering are expected to be used to repay indebtedness under co's senior revolving credit facility and for general corporate purposes. J.P. Morgan Securities, Barclays Capital, BNP Paribas Securities Corp., BMO Capital Markets, Wells Fargo Securities and Scotia Capital are acting as book-running managers of the offering.
8:36AM Gamestop reports EPS in-line, revs in-line; guides Q1 EPS, revs above consensus; guides FY12 EPS in-line, revs above consensus (GME) 21.11 : Reports Q4 (Jan) earnings of $1.56 per share, in-line with the Thomson Reuters consensus of $1.56; revenues rose 4.8% year/year to $3.69 bln vs the $3.71 bln consensus, comps +2.6%. Co issues upside guidance for Q1, sees EPS of $0.53-0.55 vs. $0.51 Thomson Reuters consensus; sees Q1 revs +6-8% to ~$2.208-2.250 bln vs. $2.18 bln Thomson Reuters consensus, with comps +4-6%. Co issues guidance for FY12, sees EPS of $2.82-2.92 vs. $2.91 Thomson Reuters consensus; sees FY12 revs +6-8% to ~$10.04-10.23 bln vs. $9.83 bln Thomson Reuters consensus, with comps +3.5-5.5%.
8:33AM Endo Pharm unit receives FDA approval for Toresmide Tablets for the Treatment of Edema (ENDP) 34.78 : Qualitest Pharmaceuticals announced that the FDA has approved Toresmide tablets (generic Demadex) in 5 mg, 10 mg, 20 mg and 100 mg strengths. Toresmide tablets are indicated for the treatment of edema associated with congestive heart failure, renal disease, or hepatic disease, and for the treatment of hypertension alone or in combination with other antihypertensive agents.
8:33AM Boston Scientific receives FDA approval of New Clik Anchor for precision plus spinal cord stimulator system (BSX) 7.00 : Co announced FDA approval and U.S. launch of the Clik Anchor for its Precision Plus Spinal Cord Stimulator System, the world's first rechargeable SCS device for chronic pain management.
8:32AM IESI-BFC prices 9.48 mln share offering by TC Carting III at $23.50/share (BIN) 23.69 :
8:32AM BG Medicine: Health Diagnostic Laboratory announces availability of Galectin-3 testing service in partnership with BG Medicine (BGMD) 8.35 : Health Diagnostic Laboratory and co announce an agreement under which HDL will offer galectin-3 testing services based on the BG Medicine Galectin-3 Test. The BG Medicine Galectin-3 Test was recently cleared by the FDA as an aid in assessing the prognosis of patients with chronic heart failure.
8:31AM Teva Pharma and Procter & Gamble (PG) announced the signing of a master agreement to create a partnership in consumer health care by bringing together both cos' existing over-the-counter medicines and complementary capabilities to accelerate growth (TEVA) 49.12 : The Procter & Gamble Company (PG) and TEVA announced the signing of a master agreement to create a partnership in consumer health care by bringing together both companies' existing over-the-counter (OTC) medicines and complementary capabilities to accelerate growth. The partnership will include a joint venture that combines the companies' OTC businesses in all markets outside of North America. By broadening its OTC product offerings, Teva will further strengthen its position with major pharmacy customers around the world. For P&G, the partnership will accelerate global expansion of its leading OTC brands such as Vicks, Metamucil and Pepto-Bismol
8:31AM Harman announces that it has exceeded its goal of $400 million in permanent cost and productivity savings under co's STEP Change program (HAR) 45.89 :
8:30AM JinkoSolar Holding issues second tranche of one-year short-term financing bonds of RMB300 mln (JKS) 25.55 : Co announces successfully issued unsecured short-term bonds with a principal amount of RMB300 mln pursuant to its plan to issue unsecured one-year short-term bonds with an aggregate principal amount of RMB600 mln with the PRC National Association of Financial Market Institutional Investors, which was previously announced on January 13, 2011. The Second Tranche Issue was issued on March 22, 2011, and will mature on March 23, 2012. The Second Tranche Issue bears a fixed annual interest rate of 5.6%, lower than the current benchmark one-year lending rate of 6.1%.
8:30AM Continuing Claims falls to 3.721 mln from 3.723 mln (ECONX) :
8:26AM Plains Exploration provides update on evaluating alternatives to seperate deepwater asset separation process (PXP) 35.56 : Co announces it continues to evaluate alternatives to separate its deepwater and onshore businesses, which include separately capitalizing its deepwater business through aJV or outside capital and then either spinning-off or divesting these assets. Co states to-date, the deepwater separation process reflects a discounted value due to the current regulatory uncertainties, permit delays, and reduced activity for Gulf of Mexico exploration and development, rather than the underlying long-term value of this oil-weighted asset, especially in this strong energy commodity market. Anadarko Petroleum (APC), recently received approval to conduct well test operations beginning late March 2011. Prior to separation, potential additional drilling could occur on the current leasehold on 50,000 acres covering 10 OCS blocks to further de-risk the Lucius-Phobos complex. Co anticipates capital exposure for these properties in 2011 of ~$50-$60 mln net to PXP with the easing of Gulf of Mexico activity curtailments.
8:20AM Tyco Connectivity awarded $400 million network connectivity contract for Australian NBN high-speed broadband rollout (TEL) 34.14 : Co announces that it has been selected as a supplier of network connectivity products for the Australian government's National Broadband Network (NBN) program that will bring high-speed broadband services to the country. NBN Co awarded a five-year, $400 million contract to co with an initial purchase commitment of $100 million.
8:18AM On The Wires (WIRES) :
* Tomy Company, Ltd. and RC2 Corporation (RCRC) announced that Tomy's wholly owned indirect subsidiary, Galaxy Dream Corporation, has commenced the previously announced tender offer for all outstanding shares of common stock of RC2 for $27.90 per share, net to the seller in cash, without interest and less any required withholding taxes. * ATK (ATK) received a $50 million follow-on contract modification for production of the Mortar Guidance Kit under the U.S. Army's Accelerated Precision Mortar Initiative program. * Trident Microsystems (TRID)announced that its HiDTV Pro-SA1 system-on-a-chip has been designed into Hisense's newest line of affordable and feature rich Connected TVs for the Japanese market. * SeraCare Life Sciences (SRLS) announced the launch of its new Worldwide HIV Performance Panel to evaluate and troubleshoot assays using highly characterized, naturally-occurring plasma samples. * West Pharmaceutical Services (WST) and CareFusion (CFN) announced they will jointly develop and market a new, needle-free vial access device. This initiative is part of a five year global distribution and supply agreement between the two cos.
8:16AM Gold drops quickly into negative territory; now off $1.20 to $1436.80 (COMDX) :
8:10AM Best Buy beats by $0.01, reports revs in-line; guides FY12 EPS below consensus, revs in-line (BBY) 31.85 : Reports Q4 (Feb) earnings of $1.86 per share, excluding $0.36 in restructuring charges and a $0.12 benfit from lower taxes, $0.01 better than the Thomson Reuters consensus of $1.85; revenues fell 1.8% year/year to $16.26 bln vs the $16.3 bln consensus. The decrease reflected a 4.6 percent decline in comparable store sales, partially offset by the impact of net new stores in the past 12 months. The co's gross profit rate for the fiscal fourth quarter was 24.3 percent of revenue (24.4 percent on an adjusted basis), an increase of 40 basis points on an adjusted basis when compared to the fourth quarter of fiscal 2010. During the fourth quarter of fiscal 2011, the company repurchased ~$70 million, or 2 million shares of its common stock at an average price of $35.66 per share. During fiscal 2011, the co repurchased ~$1.2 billion, or 33 million shares of its common stock at an average price of $36.62 per share. The co also noted that it has ~$1.3 billion remaining capacity under its existing share repurchase authorization as of the end of the fiscal fourth quarter. Co issues guidance for FY12, sees EPS of $3.30-3.55, excluding non-recurring items, vs. $3.56 Thomson Reuters consensus; sees FY12 revs of $51.0-52.5 bln (+1-4%) vs. $52.13 bln Thomson Reuters consensus, with comps flat to down 3%.
8:05AM Drugstore.com to be acquired by Walgreens (WAG) for $3.80 per share in cash, which represents an equity value of ~$429 million; WAG expects transaction to be dilutive to EPS (DSCM) 1.79 : Walgreen Co and drugstore.com announce a definitive merger agreement pursuant to which Walgreens will acquire drugstore.com in a transaction with a total enterprise value of ~$409 million. Under the terms of the merger agreement, drugstore.com stockholders will receive $3.80 in cash for each share of stock, which represents an equity value of ~$429 million. The price per share is a premium of ~102% over drugstore.com's 30-day average closing stock price, and a premium of ~113% over the closing price of drugstore.com's common stock on March 23, 2011, the last trading day prior to today's announcement. Walgreens will fund the acquisition with existing cash and anticipates the merger will close by the end of June 2011. Walgreens anticipates the transaction to be dilutive to earnings per share in the fourth quarter of fiscal 2011 by ~$0.03 due to transaction-related one-time costs. Based on Walgreens intention to reinvest in the business, the company further anticipates the transaction to be dilutive to earnings per share by $0.03-0.04 in fiscal 2012, and $0.01-0.02 in fiscal 2013. Walgreens also anticipates an ~$80 million present value cash flow benefit associated with the assumption of drugstore.com's net operating losses and other tax related benefits.
8:02AM PerkinElmer to acquire CambridgeSoft; to be accretive on non-GAAP basis for FY11 (PKI) 25.83 : Co announced that it has signed a definitive agreement to acquire CambridgeSoft Corporation, and has completed the purchase of ArtusLabs. For the full year 2011, CambridgeSoft and ArtusLabs anticipate aggregate revenues of ~$65 mln, and the initial aggregate cash purchase price for these companies is ~$220 mln, plus potential additional contingent consideration of up to $15 mln. The Company anticipates these transactions to be dilutive to 2011 GAAP earnings per share by approximately $0.13. This dilution to GAAP earnings per share is due primarily to adjustments related to purchase accounting. On a non-GAAP basis, which includes the adjustments in the attached reconciliation, the Company expects the transaction to be accretive to its adjusted earnings per share by ~$0.04 for the balance of 2011.
8:02AM Airmedia authorizes $20 mln share repurchase program (AMCN) 4.54 :
8:01AM Colonial Properties announces the purchase of the 341-unit Class A apartment community for $41.2 mln (CLP) 18.25 : Co announced the purchase of the 341-unit Class A apartment community Colonial Grand at Palm Vista located in Las Vegas, Nevada, for a total purchase price of $41.2 million.
8:01AM Pernix Therapeutics announces that they have engaged J.P. Morgan to auction the theobromine assets of the joint venture (PTX) 9.97 : Co announces that they have engaged J.P. Morgan to auction the theobromine assets of the joint venture. The auction will be for the global commercialization rights (excluding Korea) of theobromine. The decision to conduct an auction is based on the interest shown within the pharmaceutical industry for theobromine, an antitussive drug candidate in late-stage development that addresses the significant need for a non-opioid, non-codeine treatment for persistent cough.
7:39AM ConAgra beats by $0.04, beats on revs (CAG) 22.93 : Reports Q3 (Feb) earnings of $0.50 per share, $0.04 better than the Thomson Reuters consensus of $0.46; revenues rose 4.1% year/year to $3.15 bln vs the $3.12 bln consensus. Co continues to expect fiscal 2011 full-year diluted EPS, adjusted for items impacting comparability, to show a low-single-digit rate of growth over the comparable $1.74 earned in fiscal 2010. Current FY11 EPS consensus is $1.75.
7:38AM Penn Virginia commences consent solicitation relating to its 10.375% senior notes due 2016 (PVA) 15.91 : J.P. Morgan Securities LLC is serving as the solicitation agent for the Consent Solicitation.
7:37AM On The Wires (WIRES) :
* Rockwell Medical (RMTI) announced that it has commenced enrollment in its pivotal Phase III CRUISE-1 clinical study, designed to treat iron deficiency anemia in hemodialysis dependent-chronic kidney disease patients receiving erythropoietin. * Aeterna Zentaris (AEZS) announced that it has been awarded a $1.5 mln grant from the German Ministry of Education and Research to develop, up to the clinical stage, cytotoxic conjugates of the proprietary cytotoxic compound disorazol Z and peptides targeting G-protein coupled receptors, including the LHRH receptors.
7:37AM Sino Clean Energy to add 750,000-tons of CWSF capacity at existing Guangdong Facility (SCEI) 5.01 : Co has commenced construction on an additional 750,000 metric tons of annual production capacity to its existing 300,000 MT capacity plant in Dongguan, Guangdong Province. The Company expects to complete construction in August 2011. In order to meet the anticipated increase in demand from recently announced mandates and subsidies from the Dongguan government, Sino Clean Energy is building a new 750,000 MT CWSF production line at its existing production facility in Dongguan, bringing total capacity at the Dongguan facility to 1,050,000 metric tons, and a Company aggregate total of 1,900,000 metric tons. Total construction and equipment costs are expected to be approximately $13.6 million. Once construction is complete in August, the Company anticipates additional testing before ramping production in the fourth quarter of 2011. Management expects a payback period of approximately 2 years from this investment. Sino Clean Energy, Inc.
7:34AM Talbots beats by $0.04, reports revs in-line; Q1 sales currently down 4% YoY (TLB) 4.80 : Reports Q4 (Jan) loss of $0.14 per share, excluding non-recurring items, $0.04 better than the Thomson Reuters consensus of ($0.18); revenues fell 7.4% year/year to $292.6 mln vs the $294.5 mln consensus. While first quarter-to-date sales trends and customer traffic have improved sequentially from 4Q10, top line sales are currently down ~4% compared to the same period last year, despite the co's increased levels of promotional activity. The co also indicated that the shift in Easter from March to April this year has a significant impact on first quarter sales to date as key promotional events have shifted accordingly. As the co maintains a higher level of promotional activity, first quarter cost of sales, buying and occupancy as a percent of net sales is expected to increase ~600 bps from the prior year period. Selling, general and administrative expenses on a dollar basis are expected to be up slightly from the prior year first quarter, due primarily to the continuation of incremental marketing investments. For the full year, the co plans to expand its store re-image program and expects to refresh and renovate ~70 stores by fiscal year-end. In conjunction with the expanded store re-image initiative, Talbots also expects to accelerate the implementation of its previously announced long-range plan to reduce the Company's store base and square footage. The co expects to close ~90 to 100 stores and consolidate and/or downsize ~15 to 20 stores over two years, with a majority of those expected to be completed in 2011.
7:31AM Aeterna Zentaris awarded a $1.5 mln grant by German government to develop novel targeted anti-cancer compounds (AEZS) 1.77 : Co announces it was awarded a $1.5 million grant from the German Ministry of Education and Research to develop, up to the clinical stage, cytotoxic conjugates of the proprietary cytotoxic compound disorazol Z and peptides targeting G-protein coupled receptors, including the LHRH receptors. The qualified project will be performed with Morphisto GmbH and the Helmholtz Institute in Saarbrucken, Germany, which will receive additional funding of approximately $0.7 million.
7:31AM TASER receives an order of TASER X3 electronic control devices and related accessories from an unnamed international customer; announces the repurchase of 1.25 million shares of common stock pursuant to its previously announced $12.5 million stock buy-back program (TASR) 3.76 : Co announces announced an order of TASER X3 electronic control devices and related accessories from an unnamed international customer. It is anticipated that this order will ship in the First Quarter of 2011. In addition, the co announced the repurchase of 1.25 mln shares of common stock pursuant to its previously announced $12.5 mln stock buy-back program.
7:31AM James River Coal prices 6.65 mln shares of common stock at a price of $23.50 per share; prices an offering of $200 mln aggregate principal amount of 3.125% convertible senior notes due 2018 (JRCC) 24.26 :
7:16AM On The Wires (WIRES) :
* R. R. Donnelley & Sons Company (RRD) announced that it has acquired Journalism Online, LLC and its Press+ offering which enables publishers to seamlessly integrate an innovative paid content engine with their websites. * Highpower International (HPJ) announced that it has received an initial order for 60,000 Li-ion battery units from a third-party manufacturer of Nokia's Bluetooth products. The estimated order potential for this specific product could range from 500,000 to 1,000,000 units in calendar year 2011 depending on market demand. * Tandy Brands Accessories (TBAC) announced that it has entered into a multi-year license agreement with Eddie Bauer, The Original Outdoor Outfitter, to license and market products in its gift category. * Cavico (CAVO) announced that its subsidiary, Cavico Infrastructure, is negotiating for several new contracts as the co begins the second quarter of 2011. Co expects the total value of these contracts to be ~$6 mln. * The U.S. Army has awarded Cubic Applications, a mission support services subsidiary of Cubic (CUB), an $18.8 mln contract for functional and analytical support to the U.S. Army Combined Arms Support Command's Sustainment Battle Lab located at Fort Lee, Virginia. * Alon Holdings Blue Square - Israel (BSI) announced that in connection with the co's plans to enter the cellular communication market by becoming a Mobile Virtual Network Operator, Alon Cellular, a JV co in which the co holds indirectly 70.1%, signed an MOU with Partner Communications for launching cellular services in an MVNO model, which will enable Alon Cellular to offer cellular services and become a major player in Israel's communication market.
7:12AM NII Holdings intends to offer through its wholly owned subsidiary NII Capital Corp ~$500 million principal amount of Senior Notes due 2021 (NIHD) 39.33 : Co intends to use the net proceeds from the notes offering for general corporate purposes, which may include, without limitation, expansion of its existing network, either through capital expenditures for internal expansion or acquisitions of other operators; the acquisition of telecommunications spectrum licenses or other assets; the deployment of new network technologies; or the refinancing, repayment or repurchase of outstanding indebtedness. Goldman, Sachs & Co., Credit Suisse Securities (USA) LLC, Deutsche Bank Securities Inc., J.P. Morgan Securities LLC and Morgan Stanley & Co. Incorporated will act as joint book-running managers for the notes offering.
7:11AM Scholastic Corp misses by $0.46, misses on revs; guides FY11 EPS below consensus, revs in-line (SCHL) 31.24 : Reports Q3 (Feb) loss of $0.68 per share, excluding non-recurring items, $0.46 worse than the Thomson Reuters consensus of ($0.22); revenues fell 1.3% year/year to $393.7 mln vs the $402.8 mln consensus. The greater loss in the current period primarily reflected lower sales of higher margin educational technology relative to a year ago, when the Company benefited significantly from the federal stimulus program, as well as increased investment in digital initiatives. Co lowers guidance for FY11, sees EPS of $1.25-1.40 vs. $1.80-2.05 previously and the $1.93 Thomson Reuters consensus; sees FY11 revs of ~$1.90 bln vs. the $1.90-1.95 bln previously and the $1.91 bln Thomson Reuters consensus. "Company-wide revenue held solid, but continued pressure on school funding and our decision to accelerate spending on digital initiatives in Children's Books lowered third quarter profits and our fourth quarter outlook."
7:04AM Charming Shoppes appoints Anthony Romano as President and CEO (CHRS) 2.96 : Co announces the appointment of Anthony Romano as the Company's President and Chief Executive Officer and a member of the Company's Board of Directors. He has been in the position of COO of the co in October 2010.
7:03AM CNOOC Ltd reports FY10 EPS (per ordinary shares) RMB1.21 vs RMB1.18 Thomson Reuters consensus; revs of RMB183.1 bln vs RMB173.2 bln consensus (CEO) 238.44 : "CNOOC Limited is still capable of, on top of 10-year growth story, delivering further growth from the platform of such high production volume. In 2011, the Company's annual production target is 355 to 365 million BOE, and over the next five years, the production target of the compound annual growth rate is between 6% and 10%"
7:03AM Claude Resources ramps up regional exploration at Seabee; drills 13.6 Grams of Gold per Tonne over 3.0 metres at Neptune Target (CGR) 2.44 : Co reports exploration results and plans from its surface drill program at the Neptune target, 6 kilometres north of the Seabee Minesite. Co reports drillings of 13.6 Grams of Gold per Tonne Over 3.0 Metres at Neptune Target. Based on these encouraging results, co is currently in the process of completing a 15 hole drilling program on the Neptune target. The program is designed to test the 1.8 kilometre strike length of the soil anomaly to vertical depths of up to 250 metres.
7:00AM Trans1 receives AxiaLIF 1L+ 510(k) FDA clearance (TSON) 3.26 : Co announces the 510(k) clearance of the AxiaLIF 1L+ product line, an instrumentation and implant system for L5-S1 lumbar fusion. TranS1 will commence a limited market release immediately with the new implant and instrumentation and anticipates full commercial release in the second half of 2011.
6:58AM China Sunergy beats by $0.05, misses on revs (CSUN) 3.96 : Reports Q4 (Dec) earnings of $0.38 per ADS, $0.05 better than the Thomson Reuters consensus of $0.33. Blended cell ASP during the fourth quarter was $1.51 per watt. Blended module ASP during the fourth quarter was $1.93 per watt.
6:06AM On The Wires (WIRES) :
* JinkoSolar (JKS) announced that it has signed a one-year supply agreement with Lumos Solar in which co will produce 6 MW of frameless LSX modules as well as traditional Lumos-framed modules under a co-branded label "Lumos powered by Jinko" to be shipped in the second quarter of 2011. * LaBarge (LB) has been awarded contracts valued at $4.5 mln from Raytheon Missile Systems (RTN) to continue to provide complex cable harnesses for the Tactical Tomahawk cruise missile.
5:28AM On The Wires (WIRES) :
* Banco Santander Chile (SAN) informed that its Board agreed to summons a proposition to distribute a dividend of Ch$1.519231 per share, corresponding to 60% of 2010 net income attributable to shareholders. It will also be proposed that the remaining 40% be destined to retained earnings. * USEC (USU) has signed a multi-year contract with Russia's Techsnabexport for the 10-year supply of low enriched uranium beginning in 2013 that will build on co's long-term relationship with TENEX. * Garmin (GRMN) announced the availability of the GTN 650 and GTN 750 series. These panel-mount units are certified and approved for installation in hundreds of makes and models of general aviation aircraft. * NXP Semiconductors (NXPI) announced new additions to its Ultra High Frequency and FM broadcast product portfolio, including the BLF888B transistor. Configured as a Doherty power amplifier, the BLF888B achieves breakthrough 50% DVB-T efficiency, offering significant reductions in the power consumption of UHF broadcast systems.
1:54AM IMAX forms 75 theatre joint revenue sharing agreement in China with Wanda Cinema Line (IMAX) 26.60 : Co announces a 75-theatre joint revenue sharing agreement with Wanda Cinema Line Corporation. Co also announced the formation of IMAX China to oversee the expansion of the rapidly growing business in the market. This agreement with Wanda, which represents co's first full revenue-sharing agreement in China and its largest single international partnership to date, brings the total number of IMAX theatres slated to be open or in backlog in Greater China to 177 over the next few years. Co will install its latest digital theatre system technology into 25 of the exhibitor's multiplex locations this year, with the remainder to be rolled out in 2012, 2013 and 2014.
1:29AM MediciNova prices 2.75 mln units at $3.00 per unit (MNOV) 3.56 : Co announces that it has priced a firm-commitment underwritten public offering of 2.75 mln units at a price to the public of $3.00 per unit for gross proceeds of $8.25 mln. Each unit consists of one share of common stock, and a warrant to purchase one share of common stock. The warrants are exercisable immediately upon issuance, have a five-year term and an exercise price of $3.56 per share.
1:24AM Gilead Sciences prices $1 bln of 4.5% Senior Unsecured Notes due 2021 (GILD) : Co intends to use the net proceeds from this offering for general corporate purposes, which may include the repayment of certain indebtedness and the repurchase of outstanding common stock pursuant to the company's authorized share repurchase program.
1:22AM Newcastle Investment prices 15 mln shares of common stock at $6.00 per share (NCT) 6.02 : The co expects to use the net proceeds from this offering to make investments in real estate securities and/or other real estate related assets and for general corporate purposes.
1:17AM Geopetro Resources secures loan extensions with Bank of Oklahoma (GPR) 0.75 : Co announces that its wholly-owned, indirect subsidiary, Madisonville Midstream has entered into an amendment with Bank of Oklahoma whereby the maturity date on its Term Loan has been extended by 1 year, from December 31, 2011 to December 31, 2012. The Term Loan, which had an initial principal balance of ~$7.7 mln, has been paid down by MML to its current principal balance of ~$4.6 mln. In addition to the above extension with Bank of Oklahoma, the co has also successfully negotiated the extension of certain promissory notes with private parties totaling ~$1.5 mln by 1 year, with maturity dates extending into 2012 and 2013. http://finance.yahoo.com/marketupdate/inplay
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