Market Update: 110401 4:30 pm : Stocks started the second quarter on a strong note as the Dow set a new bull market high on the back of a better-than-expected jobs report. Some late selling interest ate into gains, though.
Uncertainty ahead of the monthly payrolls report kept stocks stuck in a narrow trading range during the prior session, but the mood among traders improved markedly today. Initial buying interest was underpinned by strong gains among many of the major equity averages abroad, but the positive tone was further solidified by an encouraging payrolls report.
According to the latest data, nonfarm payrolls increased by 216,000 in March. Private payrolls increased by 230,000. The consensus call among economists polled by Briefing.com had called for respective increases of 185,000 and 203,000. The greater-than-expected increases helped the headline unemployment rate improve to 8.8% from 8.9% in the face of calls for it to remain unchanged.
The jobs report overshadowed the rest of today's data, which featured a March ISM Index reading of 61.2 and a 1.4% drop in construction spending for February. The ISM was in step with the 61.4 that had been broadly expected, but construction spending was widely anticipated to fall only 0.7%.
Participants responded to the jobs report with a steady, broad-based bid that took the S&P 500 to within a few points of its 52-week high. Meanwhile, the Dow climbed to its best level since June 2008.
However, stocks struggled to hold those levels in the face of a late flurry selling, which actually took the Nasdaq to the neutral line. The Nasdaq's late slip came as participants pressured semiconductor issues. Although renwed interest among buyers helped the tech-rich Nasdaq reclaim some of its gain, semiconductor stocks still settled with a 1.0% loss.
Financials offered leadership after they had lagged during the first part of the week. The sector's 0.8% gain was led by NYSE Euronext (NYX 39.60, +4.43) following news that Nasdaq OMX (NDAQ 28.23, +2.39) and IntercontinentalExchange (ICE 119.75, -3.79) offered to pay $42.50 per share in cash and stock to acquire the company. Deutsche Boerse already made a bid for the company, but the rival offer represents a premium of about 19% over the initial tender.
The financial sector's strength comes after it ended the first quarter with a gain of little more than 3%. That pales considerable to the 16% first quarter gain scored by the energy sector, which advanced a less impressive 0.4% this session. Energy's first quarter run was mostly helped by the rapid rise in oil prices, which actually extended their climb today by setting a new two-year high above $108 per barrel.
3:45 pm : Trade in commodities was largely based on movement in the dollar, following this morning's NFP number. The dollar index sold off throughout the session to give back gains. Commodities finished mixed on the session, but the grains (+1.4%) sector was once again the leading sector. May corn rallied for 6.1%, following yesterday's 4.5% rally, helped by strength in crude and margin concerns.
May crude oil gained 1.1% to close at $107.94 per barrel. It traded to a fresh ~2.5 yr high, at $108.05, heading into the close of pit trade. May natural gas ended lower by 0.8% to $4.35 per MMBtu.
The pullback in the dollar index helped gold and silver recoup some of their losses. Both metals did finish in negative territory despite their bounce. June gold shed 0.7% to $1428.10 per ounce, while May silver closed down 0.4% to $37.73 per ounce. DJ30 +58.16 NASDAQ +4.63 SP500 +6.17 NASDAQ Adv/Vol/Dec 1361/1.7 bln/1248 NYSE Adv/Vol/Dec 1966/610.2 mln/1024
3:00 pm : A recent bout of selling interest has knocked stocks down from afternoon highs. The Nasdaq has actually fallen to the neutral line as tech stocks take one of the harder hits dealt by sellers. Tech stocks are now down 0.1% for the session. Tech was also one of the weakest performing sectors in for the first quarter, during which they achieved only a 3% gain compared to the broad market's 5.4% advance.DJ30 +26.69 NASDAQ +2.01 SP500 +4.23 NASDAQ Adv/Vol/Dec 1322/1.56 bln/1268 NYSE Adv/Vol/Dec 2058/515 mln/945
2:30 pm : The Dollar Index has drifted to a session low of 75.85. Its downturn comes as the euro sports a 0.6% gain against the greenback. The euro was last quoted at $1.424. The British pound is up 0.6% against the greenback, too. It was last quoted at $1.612. However, the dollar has climbed 0.9% gainst the yen, which was last quoted at 84.06 yen per dollar.DJ30 +87.19 NASDAQ +17.22 SP500 +10.17 NASDAQ Adv/Vol/Dec 1526/1.28 bln/1050 NYSE Adv/Vol/Dec 2153/478 mln/815
2:00 pm : Auto sales have been released intermittently throughout the session. The results haven't done much to spur their shares higher, however.
Hyundai is among the most recent to post March results. The company experienced a 32% surge in its America force. Toyota (TM 80.61, +0.36) said that its US sales for March fell 9.2% from the prior year. Honda Motor (HMC 36.96, -0.55) reported an 18.9% increase in sales for its America division. Nissan Motor (NSANY 17.56, -0.09) had a 26.9% increase in March U.S. sales for a company record. Ford (F 15.36, +0.45) reported a 19% increase in sales for the month.DJ30 +85.79 NASDAQ +17.50 SP500 +10.11 NASDAQ Adv/Vol/Dec 1506/1.19 bln/1049 NYSE Adv/Vol/Dec 2132/445 mln/814
1:30 pm : The stock market continues to sport a strong gain. The action build's on the S&P 500's first quarter gain of 5.4%, which was its best first quarter performance since 1998. It wasn't as impressive as the 10.2% that it gained during the fouth quarter, though. For comparison, the Dow put together a first quarter gain of 6.4% after it advanced 7.3% in the fourth quarter while the Nasdaq advanced 4.8% in the first quarter following its 12.0% climb in the fourth quarter.DJ30 +75.00 NASDAQ +15.81 SP500 +9.14 NASDAQ Adv/Vol/Dec 1500/1.10 bln/1055 NYSE Adv/Vol/Dec 2118/418 mln/818
1:00 pm : A better-than-expected jobs report has encouraged another round of broad buying interest. The effort has taken the S&P 500 to within a few points of its 52-week high and the Dow to a new bull market high.
Strength among many of the major overseas markets helped propped up stocks this morning. The positive tone was further supported by news that nonfarm payrolls for March increased by 216,000 and that private payrolls climbed by 230,000. Both were better than what had been broadly expected. In turn, the headline unemployment rate eased down to 8.8% from 8.9%, which is where many economists had been expected it to remain.
Other data received less attention. The ISM Index for March came in at 61.2, which is on par with what was expected, but construction spending for February fell a steeper-than-anticipated 1.4%.
Although strength this session is broad, financials have caught one of the strongest bids after lagging for the first part of the week. The sector is up 1.1%. Financials are currently led by NYSE Euronext (NYX 39.22, +4.05), which received a takeover offer from Nasdaq OMX (NDAQ 27.50, +1.66) and IntercontinentalExchange (ICE 118.93, -4.61) to acquire the company for $42.50 per share in cash and stock. The offer represents a premium of 19% over that made by Deutsche Boerse.
Telecom has turned lower after outperforming for most of the week. The sector is down 0.2% to trade as the only major sector with a loss. DJ30 +85.30 NASDAQ +16.66 SP500 +10.02 NASDAQ Adv/Vol/Dec 1511/1.01 bln/1026 NYSE Adv/Vol/Dec 2195/385 mln/737
12:30 pm : The S&P 500 still has a few points to go before it will eclipse the 52-week high set in February. However, the Dow is now at a new bull market high. Bank of America (BAC 13.53, +0.20) and JPMorgan Chase (JPM 46.60, +0.50) have been primary drivers of the Dow's advance today. The two financial plays had lagged during most of the past week.DJ30 +90.56 NASDAQ +18.02 SP500 +10.97 NASDAQ Adv/Vol/Dec 1544/923 mln/995 NYSE Adv/Vol/Dec 2222/355 mln/697
12:00 pm : Telecom stocks have drifted deeper into negative territory. They are now down 0.4%, collectivly. Telecom remains the only major sector to trade with a loss today. It has been weighed down by integrated plays.
There's a considerable gap between telecom and the next worst performing sector, which is tech. However, tech's 0.4% gain is still relatively solid. Google (GOOG 594.93, +8.17) is a primary leader in the tech space. Its gain is also one of the strongest.
For the week, though, telecom stocks are up almost 4% while tech is up only 0.4% week to date. DJ30 +95.14 NASDAQ +19.97 SP500 +11.40 NASDAQ Adv/Vol/Dec 1556/821 mln/960 NYSE Adv/Vol/Dec 2230/318 mln/668
11:30 am : Oil prices are back up to $107.64 per barrel, which is just $0.20 shy of the two-year high that was set earlier this morning. The run up in oil prices has helped the energy sector put together a 0.8% gain.
Cabot Oil (COG 54.34, +1.37) and Pioneer Natural Resources (PXD 104.20 +2.32) are top performers in the energy space. Royal Dutch Shell (RDS.A 73.46, +0.60) isn't necessarily a leader, but the stock is still up solidly. The company announced that it has agreed to sell most of its downstream business in Chile to Quinenco for a total consideration of $614 million. DJ30 92.18 NASDAQ 19.13 SP500 11.09 NASDAQ Adv/Vol/Dec 1525/690 mln/933 NYSE Adv/Vol/Dec 2202/275 mln/671
11:00 am : Tech stocks had been stuck near the neutral line in the early going, but they have since worked their way up to a 0.3% gain. However, telecom stocks have drifted into the red so that the sector now trades with a 0.1% loss. Telecom's slip comes after the sector had outperformed in recent sessions.
During telecom's climb during recent sessions financials often lacked leadership, but financial issues have garnered support today. In turn, financials are up 1.2%, which makes them today's top performers. Financials are currently led by NYSE Euronext (NYX 39.22, +4.05), which is up almost 12% following news that the company received a rival bid for $42.50 per share in cash and stock from Nasdaq OMX (NDAQ 26.53, +0.69) and IntercontinentalExchange (ICE 119.48, -4.06). The offer represents a premium of 19% over that made by Deutsche Boerse. DJ30 +84.54 NASDAQ +15.74 SP500 +9.85 NASDAQ Adv/Vol/Dec 1520/550 mln/890 NYSE Adv/Vol/Dec 2171/230 mln/655
10:30 am : Continuous crude oil futures rose to an approx. 2.5 year high in trade today, touching $107.84/barrel. It quickly sold off on no identifiable news to fresh session lows of $106.30/barrel. Currently, the May contract (most active) is at $106.98/barrel, up 0.2%.
May natural gas has pulled back since pit trading began. About 45 minutes ago, the energy component hit fresh session lows and is now 1% lower at $4.35 per MMBtu.
In overnight trade, May corn futures rose 6% to $7.3475/bushel, extending strong gains from yesterday when corn rose the exchange limit (30 cents to $6.9325/bushel).
Precious metals sold off around the time pit trade began. April gold shed approx. $20/ounce, falling to morning lows of $1413.00/ounce and is currently 1.2% lower at $1421.30/ounce. May silver sold off with gold, falling about 1.7% to current session lows of $37.08/ounce. Silver is currently down by 1.6% at $37.27/ounce. DJ30 +85.18 NASDAQ +15.02 SP500 +9.69 NASDAQ Adv/Vol/Dec 1416/380.9 mln/891 NYSE Adv/Vol/Dec 2186/172.2 mln/605
10:05 am : Stocks have slipped a bit since opening with a solid gain. In particular, tech stocks have run into selling pressure. The sector is now mired near the neutral line after it had already lagged in the prior session.
Just posted, the ISM Index for March came in at 61.2. On average, economists polled by Briefing.com had expected the reading to remain unchanged from the 61.4 that was posted for the prior month.
Construction spending for February fell 1.4%, which is double the drop that had been expected by many economists.
09:45 am : Broad-based buying has the S&P 500 at a new one-month high. The Dow is also up nicely, but it hasn't quite returned to the prior session's high. As for the Nasdaq, it is at a three-week high.
Strength among stocks has stirred renewed selling interest among Treasuries. In turn, the yield on the benchmark 10-year Note has moved back towards its three-week high of 3.50%. DJ30 +44.28 NASDAQ +9.23 SP500 +7.07
09:15 am : S&P futures vs fair value: +8.90. Nasdaq futures vs fair value: +13.20. Stock futures point to a strong start to the second quarter. A better-than-expected monthly payrolls report has helped support the positive tone among premarket participants, as have strong gains among many of the major overseas markets. Corporate news has been less of a catalyst, although IntercontinentalExchange (ICE) and Nasdaq OMX (NDAQ) have announced a rival bid of about $11.3 billion for NYSE Euronext (NYX). Still on today's calendar are construction spending figures and the latest ISM Index -- both are due at 10:00 AM ET. Traders are also pushing oil prices higher. The energy component recently set a new two-year high of $107.84 per barrel. Meanwhile, gold and silver prices continue to come under pressure. Both are down in excess of 1%.
09:05 am : S&P futures vs fair value: +8.20. Nasdaq futures vs fair value: +13.80. Europe's major bourses are up with impressive gains this morning. The action makes for a strong start to the second quarter. Germany's DAX is up 1.5% on the heels of a 1.8% first quarter gain, which followed an 11% climb in the fourth quarter of 2010. France's CAC is up 0.9% today. It scored a 4.8% first quarter gain, which added to the 2.4% gain scored in the fourth quarter. BNP Paribas and Carrefour are currently top performers within France's CAC. GDF Suez has fallen out of favor; its 1.5% loss makes it the worst performing stock in the CAC. Britain's FTSE is up 1.2% in the latest round of action. It finished the first quarter just 0.2% after a 6.3% fourth quarter climb. Royal Dutch Shell (RDS.A) has seen a muted response to news that the company will sell most of its downstream business in Chile for a total consideration of $614 million. Several manufacturing reports were posted. Germany's final PMI reading for February was unrevised at 60.9. The United Kingdom's PMI reading for March fell to 57.1 from 61.5 in February. Broader eurozone PMI for March came in at 57.5 in the final reading, down from 57.7.
China's Manufacturing PMI for March improved to 53.4 from 52.2 in February, but that wasn't quite as strong has some economists had expected. China's Shanghai Composite climbed to a 1.3% gain after underperforming in recent sessions. Financials provided the strongest push to the advance. The strong start to the second quarter adds to the Composite's 4.3% first quarter gain, which follows a 5.7% gain in the fourth quarter. Hong Kong's Hang Seng advanced 1.2% to extend its 2.1% first quarter gain. The Hang Seng had scored a 3.0% gain in the fourth quarter. Japan's Nikkei failed to follow the other major Asian averages. Instead, it fell to a 0.5% loss. The slide extended Nikkei's 4.6% first quarter drop, which ate into the 9.2% gain that it had scored in the fourth quarter.
08:35 am : S&P futures vs fair value: +7.10. Nasdaq futures vs fair value: +13.00. Stock futures have added modestly to their morning gains with help from the latest jobs report. Nonfarm payrolls for March increased by 216,000, which is greater than the 185,000 additions that had been expected, on averages, among economists polled by Briefing.com. Private payrolls came in at 230,000, which exceeds the 203,000 that had been broadly anticipated. The headline unemployment rate eased down to 8.8% from 8.9%, which is where many economists had been expected it to remain. Despite the stronger-than-expected increases to monthly payrolls, hourly earnings were unchanged in March. The consensus among economists polled by Briefing.com had been pegged at a 0.2% increase.
08:05 am : S&P futures vs fair value: +5.70. Nasdaq futures vs fair value: +12.80. Trade was restrained in the prior session, but participants are back with a bid ahead of the official nonfarm payrolls report, which is due at the bottom of the hour. The latest ISM Index and construction spending figures are also on the agenda -- both are due 10:00 AM ET. Part of this morning's positive tone is owed to strong gains among Europe's major bourses after China and Hong Kong rallied overnight (Japan retreated to a 0.5% loss). Gains in Asia came China's latest Manufacturing PMI, which improved to 53.4 from 52.2 in the prior month. Manufacturing PMI figures out of Europe produced little surprise. Corporate news has been light this morning. However, after a few weeks of speculation, Nasdaq OMX (NDAQ) and IntercontinentalExchange (ICE) have proposed to acquire NYSE Euronext (NYX) with cash and stock for $42.50 per share, which represents a 19% premium to the takeover proposal already offered by Deutsche Boerse. Outside of equities, crude oil prices have continued to climb. The continuous contract set a new two-year high earlier this morning at $107.65 per barrel. Meanwhile, gold and silver prices are under pressure as the dollar ticks higher.
07:51 am : Nikkei...9708.39...-46.70...-0.50%. Hang Seng...23801.90...+274.40...+1.20%.
07:51 am : FTSE...5965.53...+56.80...+1.00%. DAX...7122.79...+81.50...+1.20%.
07:50 am : S&P futures vs fair value: +4.70. Nasdaq futures vs fair value: +10.20.
3:35PM Manpower announces acquisition of 74% equity stake in web development company limited to provide IT services and IT professional resourcing in India (MAN) 62.46 -0.42 : Co announces that it has successfully completed its acquisition of a 74 percent stake in Kolkata-based Web Development Company Limited, an IT services and professional resourcing company. Offering consulting, development and application support services to large clients across the Asia Pacific region, WDC has five delivery locations covering important IT hubs in India.
3:11PM CBOT Agriculture and Ethanol and ICE Exchange Sugar Closing Prices; Corn Futures +5.9% (COMDX) : May corn finished 40.75 cents higher, or +5.9% to $7.34. May wheat fell 6.25 cents to close at $7.57, May soybeans fell 15 cents to close at $13.9525, April ethanol closed higher by 0.024 cents at $2.68, while May world sugar futures closed down 0.15 cents to 27.44 cents.
3:03PM CBOE Holdings announces that March trading volume for options on the CBOE and C2 Options Exchange combined to a total of 111.5 million contracts, an average daily volume of 4.8 million contracts (CBOE) 27.41 -1.56 :
2:40PM NYMEX Energy Closing Prices (COMDX) : Crude oil settled higher by $1.22 to $107.94, natural gas shed 3.4 cents to close at $4.355, heating oil gained 2.28 cents to finish at $3.1353, while RBOB gasoline ended up 4.57 cents to $3.1534.
2:40PM Vaalco Energy provides an update on its operations following the commencement of industrial action in Gabon by the National Organisation of Oil Employees; ONEP launches the action against the Gabonese government as part of a dispute over the government's labor regulations (EGY) 7.23 -0.53 : Co provides an update on its operations following the commencement of industrial action in Gabon by the National Organisation of Oil Employees (ONEP), which began at midnight, March 31, 2011. ONEP launched the action against the Gabonese government as part of a dispute over the government's labor regulations. ONEP is requesting the publication of a decree from the government of Gabon regulating the employment of foreign labor. Reportedly, ONEP represents ~4,000 of the 5,000 workers in the industry, including ~45 VAALCO employees in Gabon.
2:30PM Select Medical and Baylor Health Care System to launch JV; joint venture will commence operations on April 1, 2011 (SEM) 8.15 +0.09 :
2:28PM Liz Claiborne priced $205.0 mln Senior Secured Notes due 2019 at an annual rate of 10.50% (LIZ) 24.47 +0.15 :
2:27PM Crude oil to fresh highs, at $107.96, with only a few mins left in pit trade; now up $1.22 to $107.94 (COMDX) :
2:27PM Index Change Reminder (INDXCH) : BlackRock (BLK) will replace Genzyme (GENZ) in the S&P 500 index after the close today.
2:11PM Vaalco Energy provides operations update following Gabon Industrial Action; in process of shutting in a portion of daily gross production in Etame Marin block offshore Gabon (EGY) 7.43 -0.31 : Co provided an update on its operations following the commencement of industrial action in Gabon by the National Organisation of Oil Employees (ONEP), who launched the action against the Gabonese government as part of a dispute over the government's labor regulations. ONEP is requesting the publication of a decree from the government of Gabon regulating the employment of foreign labor. Co is in the process of shutting in a portion of the daily gross production in the Etame Marin block offshore Gabon, which has been recently averaging ~23,500 barrels of oil per day. The impact to the daily gross production amount could be substantial in the upcoming days if the strike were to continue. The remaining production is required for power to provide for safe conditions aboard the FPSO facility. Co believes it is in compliance with all Gabon labor laws and the agreements to which the Company is a party... The subsidiary VAALCO Gabon Etame operates the Etame Marin Permit in which it holds a 28.07% net interest in the Etame Field. Other participants in the permit are Sinopec Group (SNP 31.36%) through its subsidiary, Addax Petroleum Etame, Sasol (SSL) Petroleum Etame Limited (27.75%), Sojitz Etame Limited (2.98%), PetroEnergy Resources Corp. (2.34%) and Tullow Oil Gabon SA (7.5%).
2:01PM Nissan Motor issues statement on status of Japanese earthquake and impact on Nissan Americas operations (NSANY) 17.61 -0.04 : Nissan Americas will re-calendarize its April production schedule to pull ahead previously planned non-production days from later in Q2 and Q3 to this month. This optimization of the production schedule will accommodate parts shipments still in transit from Japan and ensure minimal disruptions to planned operations... While Nissan Americas will operate an April schedule which is reduced from original plan, it will work to recover lost production throughout the balance of its fiscal year to minimize the net effect to its production volumes... The study assessing the feasibility of producing some engines in Decherd, TN and shipping to Japan is complete. From this month, the Decherd engine plant will supply certain engine components to Nissan's Japanese operations. This will be a temporary support arrangement until full production is restored in Iwaki, at which time Nissan will return to previous engine sourcing.
2:00PM Toyota Motor reports US March sales decreased 9.2% y/y to 176.222 units (TM) 80.52 +0.28 : Co reported Q1 sales increased 11% y/y to 433,924 vehicles on a DSR basis. "Our sales momentum continued in March and contributed to a strong first-quarter close. With improving purchase intentions and healthy inventory levels heading into April, we feel confident about our sales outlook for the month ahead."
1:43PM Honda Motor: American Honda reports March sales increased 18.9% y/y to 133.65K (HMC) 36.95 -0.56 : "We know there will be challenges in the coming months as we continue to deal with supply chain issues resulting from the devastating earthquake in Japan, and we continue to appreciate everyone's patience and understanding."
1:41PM OmniVision purchases ~850 image sensor-related patents and patent applications from Eastman Kodak (EK) for $65 mln (OVTI) 36.54 +1.01 : The purchased patent portfolio comprises approximately 850 U.S. and foreign patents and patent applications. The intellectual property includes numerous granted patents of key CMOS technologies covering early and fundamental CMOS image sensor work; improvements on foundational architectures, including new features and functions; and next generation performance improvements, miniaturization and cost reduction technologies. The transaction was completed on March 31, 2011.
1:37PM COMEX Metals Closing Prices (COMDX) : June gold finished lower by $10.20 to $1479.20, May silver shed 13.8 cents to finish at $37.75, while May copper closed down 5.1 cents to $4.2565.
1:32PM Team Health Holdings partners with DCH Regional Medical Center (TMH) 17.94 +0.46 : Co recently expanded its presence in Alabama through a strategic collaboration with DCH Regional Medical Center and the physicians of North River Emergency Physicians, the physician group that currently serves the emergency department of DCH Regional Medical Center in Tuscaloosa, Ala. On April 28, 2011, co will commence services for this emergency department that cares for ~70,000 patients annually.
1:26PM M/I Homes acquires the assets of TriStone Homes, a privately held homebuilder based in San Antonio, Texas, effective today, for an undisclosed purchase price paid in cash (MHO) 14.30 -0.69 : TriStone Homes delivered 119 homes in 2010, with an average selling price of $186,000. Founded by David Matlock, TriStone Homes sells new homes for first-time and move-up homebuyers throughout the San Antonio area, with homes priced from $140,000 to over $250,000, and operates with a strategy of offering homebuyers a high level of personal service and well-built homes designed to fit varying lifestyles and budgets.
1:14PM Ferro increases prices for Geode product line (FOE) 16.49 -0.10 : Co's Performance Pigments and Colors business has announced price increases for its Geode product line. The increases, necessitated by rising raw material, energy and transportation costs, are between 7 and 10 percent and are in effect as of April 1, 2011.
1:01PM Interactive Brokers reports brokerage metrics for March 2011; DARTs +26% YoY to 426K (IBKR) 16.24 +0.35 : Co also reported 168K customer accounts, 20% higher than prior year.
12:51PM Nissan Motor reports March U.S. sales of 121,141 units versus 95,468 units a year earlier, an increase of 26.9% and a record for any month in co's history (NSANY) 17.64 -0.01 : Nissan Division sales also set a new sales record, up 28.4 percent for the month at 109,854 units. Sales of Infiniti vehicles rose 13.5 percent over the prior year, to 11,287 units. Nissan North America also achieved record market share for the 2010 fiscal year, which ended March 31 with total sales of 965,699 units, up 17.3 percent from FY09's sales of 823,565 units.
12:32PM 3M acquires certain assets and builds on relationship with Zargis Medical Corp; terms not disclosed (MMM) 94.18 +0.68 :
12:29PM Allied Irish Banks confirms it completed sale of stake in Bank Zachodni WBK S.A. (AIB) 2.82 +0.42 : Co confirms that it has completed the disposal of its 70.36% stake in Bank Zachodni WBK S.A. to Banco Santander S.A. (STD) and the sale of its 50% stake in BZ WBK AIB Asset Management S.A. following the settlement of the tender offer by Santander and completion of the transaction. AIB received total sale proceeds of approximately EUR3.1 billion which has generated a benefit of c. EUR2.5bn equivalent to core tier one capital.
12:19PM LogMeIn confirms U.S. Court grants co's motion for summary judgment of non infringement in patent infringement case (LOGM) 48.57 +6.41 : The court indicated a written order will follow. The court indicated it has removed the May 2nd trial from the case calendar. (see 11:31 comment)
11:52AM AGCO Corp announces redemption of EUR200 mln 6.875% euro notes (AGCO) 55.62 +0.65 : Co will fund the redemption with a new 5 year EUR200 million senior unsecured term loan with Cooperatieve Centrale Raiffeisen-Boerenleenbank B.A., "Rabobank Nederland". The Company will pay a redemption premium of 1.146% that will negatively impact second quarter results, but the full year impact of the refinancing is expected to be earnings neutral.
11:48AM United Continental and ANA launch trans-Pacific joint venture (UAL) 23.09 +0.10 : Cos announced the launch of their trans-Pacific joint venture, through which United Airlines and Continental Airlines may coordinate sales and marketing with ANA and improve benefits offered to each airline's frequent flyers.
11:42AM Crude to fresh highs at $107.93; now higher by $1.15 to $107.87 (COMDX) :
11:36AM Capital Gold stockholders approve merger with Gammon Gold (GRS) (CGC) 6.33 -0.09 :
11:21AM Crude oil pushing back towards highs at $107.84; now up 92 cents to $107.64 (COMDX) :
11:16AM Continued pullback in dollar index helping gold, silver recoup losses (COMDX) :
* June gold now off $13.70 to $1426.30. * May silver lower by 31.8 cents to $37.57.
10:40AM Corn rises the exchange limit at the open of pit trading, which just began at 10:30am ET; positive for fertilizer stocks (POT +2.6%, MOS +2.6%, CF +1.9%, AGU +1.7% and farm equipment names (CNH +4.1, DE +2.0%, AGCO +1.3%) (JJG) 55.19 +0.57 : May corn rose the exchange limit at the open of pit trading, gaining 45 cents (or +6.5%) to $7.3825/bushel. May wheat is up 4.75 cents to $7.68 and May soybeans are down 1.25 cents to $14.09./bushel.
10:37AM Inphi prices public offering of ~3.9 mln shares of common stock at $20.90 per share (IPHI) 21.14 +0.13 :
10:26AM Hill International receives ~$3 mln contract from the University of Texas System to provide project management services during the construction of various higher education and healthcare capital projects (HIL) 5.46 +0.17 :
10:14AM Computer Sciences signs an agreement to acquire all of the outstanding equity of iSOFT Group Limited for at A$0.17 per share in cash (CSC) 49.06 +0.33 : Co signs an agreement to acquire all of the outstanding equity of iSOFT Group Limited (ASX: ISF) by way of a court-approved scheme of arrangement. The offer to iSOFT shareholders is at A$0.17 per share in cash. Adding iSOFT's 3,300 global employees including those from major research and development centers in India, Spain, UK, Australia, New Zealand and Central Europe, will expand co's capability to support existing customers, develop more innovative solutions, and add a robust set of clients in new and emerging markets.
10:12AM Corn futures rise 6% in overnight trade; bullish for ag names incl, POT +2.8%, MOS +2.7%, AGU +2.6%, CF +2.5%, IPI +0.1%, CNH +3.4%, DE +1.9%, AGCO +1.4%; pit trading begins at 10:30am EST (JJG) 54.80 +0.19 : Overnight, corn futures rose 41.5 cents (or +6.0%) to $7.3475/bushel after rising limit-up in pit trade yesterday (+30 cents, or +4.5% yesterday, to $6.9325/bu). The new temporary exchange limit in corn futures is now 45 cents. May wheat rose 0.25 cents to $7.635/bu and May soybeans fell 4.75 cents to $14.055/bu.
9:49AM New lows for crude oil, as well, at $106.30; now off 25 cents to $106.47 (COMDX) :
9:48AM Opening Point Gainers/Losers (TECHX) : Point Gainers: ALEX (+7.82), CMG (+5.16), NFLX (+4.64), WYNN (+4.35), PCLN (+3.94), NYX (+3.83), SRX (+2.89), CF (+2.60), BLK (+2.56), CBE (+2.03), GS (+2.20)
9:48AM Dollar's strength weighs on gold, silver as both metals tick to fresh lows (COMDX) :
* Gold now lower by $20.50 to $1419.40. * Silver off 67.8 cents to $37.21.
9:40AM Fuwei Films enters a contract with Lindauer Dornier GmbH, to purchase equipment for its previously disclosed thick film BOPET production line on March 30, 2011 in Weifang City, Shandong Province, China (FFHL) 4.08 0.00 : Co announces that its subsidiary, Fuwei Films (Shandong) Co., has entered into a contract with Lindauer Dornier GmbH, a German equipment supplier, to purchase equipment for its previously disclosed thick film BOPET production line on March 30, 2011 in Weifang City, Shandong Province, China. The products of the new production line, with a designed annual capacity of 23,000 metric tons and thickness ranging from 38 to 250um, will be widely used in electronic, electrical and solar energy industries, including TFT-LCD. Pursuant to the terms of the contract, the total purchase price is 16.45 million Euros with a delivery date of June 2, 2012 to July 14, 2012. The production line is expected to be put into operation by the end of 2012.
9:35AM Exide Tech and the US govreached an agreement to settle the US gov's proofs of claim filed on behalf of the EPA and the National Oceanic and Atmospheric Administration in co's 2002 bankruptcy matter (XIDE) 11.32 +0.15 : Co and the United States government have reached an agreement, contingent on federal bankruptcy court approval, to settle the U.S. government's proofs of claim filed on behalf of the Environmental Protection Agency and the National Oceanic and Atmospheric Administration in the Company's 2002 bankruptcy matter. The United States will be allowed a total general unsecured, non-priority P4-A claim of ~$67.6 million, distribution of which will be made solely in Exide stock. As general unsecured claims have been allowed in the Bankruptcy Court, the Company has distributed ~one share of common stock for every $383.00 in allowed claim amount. A reserve of common stock was set aside upon the Company's emergence from bankruptcy to resolve various bankruptcy claims, including those of the U.S. government. This will therefore cause no further dilution to the company's issued and outstanding common stock.
9:30AM Tianli Agritech begins selling its branded pork products in 32 supermarkets (OINK) 4.15 0.00 : Co announces that it entered into an agreement with An Puluo Foods which allows Tianli to manage fresh pork retail counters located in 32 supermarkets in Greater Wuhan. This exclusive agreement entails minimal upfront investment by Tianli.
9:26AM Ku6 Media announces issuance of Senior Convertible Bonds and Ordinary Shares to Shanda (SNDA) (KUTV) 3.92 : Shanda Interactive (SNDA) announces it agreed to invest US$100 mln in KUTV in the form of ordinary shares and senior convertible bonds. SNDA agreed to subscribe for $50 mln of ordinary shares of KUTV at a per share price of $0.0325 (or $3.25 per ADS) and $50 mln aggregate principal amount of 3-year senior convertible notes at face value. The bonds will bear an interest of 3% per annum, payable semi-annually. The bonds will be convertible into ordinary shares of KUTV at a price of $0.03925 per ordinary share (or US$3.925 per ADS).
9:22AM Deswell Industries appoints new CFO following resignation of Betty C.H. Lam (DSWL) 3.00 : Co announces the appointment of Herman Wong to the position of CFO of the co. Wong's appointment follows the resignation of Ms. Betty Lam. Wong, has more than 10 years of experience working for Deloitte Touche Tohmatsu, a professional accounting firm where he most recently served as senior manager.
9:21AM Lucas Energy enters into a Joint Venture agreement with Marathon Oil, a subsidiary of Marathon Oil Corporation (MRO), for the development of the Eagle Ford and Buda formations in Wilson County, Texas (LEI) 3.59 :
9:19AM Neostem provides results for 2010 and an update on recent activities (NBS) 1.72 : Co is providing unaudited results for 2010 and an update of recent activities: -- Revenues for the year ended December 31, 2010 were $69.8 million compared with $11.6 million for 2009. 2010 was the first full year that results for the Company's 51% owned subsidiary, Suzhou Erye Pharmaceutical Co. were included in the Company's results. -- For the year ended December 31, 2010, revenues increased 13% over the 2009 pro forma revenue of $61.7 million. -- For the year ended December 31, 2010, the Company invested $16.4 million in capital expenditures primarily related to the construction of a new pharmaceutical manufacturing facility at Erye. -- Net cash used in operating activities for the year ended December 31, 2010 was $8.5 million compared to $8.4 million for the year ended December 31, 2009. -- Cash and cash equivalents at December 31, 2010 were $15.6 million.
9:17AM Wipro to acquire SAIC's (SAI) Global Oil and Gas Information Technology services business (WIT) 14.65 : Co announces it has signed an agreement to acquire the Global Oil and Gas Information Technology practice of the Commercial Business Services business unit of Science Applications International (SAI), for an all cash consideration of ~$150 mln.
9:16AM LECG Corp provides update on state of the firm (XPRT) 0.20 : Co Professional services firm co announce a number of events related to its previously-announced transition of its practice groups to other firms. These transitions will not result in any proceeds to the co's common stockholders and it is not anticipated that future operations will result in any proceeds to the co's common stockholders. The firm completed the previously-announced sale of co's European forensics, economics, and tax practices to FTI Consulting(FCN). The aggregate purchase price in the transaction was ~$25 mln, which includes the assumption by FTI of ~$6 mln of LECG's existing, non-intercompany liabilities. In addition, the co closed, or expects to close, the following transactions by today: The sale of its U.K.-based business consulting practice, the second part of the previously-announced agreement with Grant Thornton; The sale of its retail securities practice in Lake Oswego, Oregon, to the management team of that practice; The sale of its insurance tax and actuarial practices to a multi-national accounting firm; The sale of its legal technology practice to Huron Consulting (HURN); Various other sales of smaller practices to other firms, expert groups or individuals.
9:11AM Crude drops into negative territory; now off 11 cents to $106.61 (COMDX) :
9:11AM Sunstone Hotel prices an underwritten public offering of 4 mln shares of its 8.0% Series D Cumulative Redeemable Preferred Stock for gross proceeds of $100.0 million (SHO) 10.19 : The joint book-running managers for this offering are J.P. Morgan, BofA Merrill Lynch and Wells Fargo Securities. The senior co-managers for this offering are Barclays Capital, Citi, Deutsche Bank Securities, and Morgan Stanley. The junior co-managers for this offering are Baird, FBR Capital Markets, KeyBanc Capital Markets, and Stifel Nicolaus Weisel.
9:09AM Rome Bancorp: Berkshire Hills (BHLB) completes acquisition of Rome Bancorp and reports final merger consideration (ROME) 11.30 : The co completed its acquisition of Rome Bancorp, Inc. and its subsidiary, The Rome Savings Bank, a $327 million bank with five banking offices serving Rome, Lee, and New Hartford, New York. Pursuant to the merger agreement, Rome Bancorp merged into Berkshire Hills Bancorp and The Rome Savings Bank merged into Berkshire Bank. (ROME is halted)
9:09AM SAIC to sell to Wipro (WIT) certain SAIC operations focused on providing specialized IT services to oil and gas companies (SAI) 16.92 : The operations being sold comprise SAIC's U.S. oil and gas IT services business along with subsidiaries located in the United Kingdom, France, India and the Middle East, all of which are predominantly focused on the oil and gas market. These operations employ ~1,450 persons.
9:08AM Ku6 Media halted, news pending (KUTV) 3.92 :
9:07AM On The Wires (WIRES) :
* Promius Pharma, an affiliate of Dr. Reddy's Laboratories (RDY), and Valeant Pharmaceuticals International (VRX) jointly announced that they have signed a collaboration agreement for Cloderm (clocortolone pivalate 0.1%) Cream. Under the agreement, Promius Pharma will make an upfront payment and pay future royalties as the consideration for the right to manufacture, distribute and market Cloderm Cream in the United States, effective immediately. The financial terms and conditions of the agreement have not been disclosed. * ACADIA Pharmaceuticals (ACAD) announced that it has extended its drug discovery and development collaboration with Allergan (AGN). The collaboration is focused on the discovery of innovative new therapeutics for glaucoma and other ophthalmic indications and was originally established in March 2003. The research term of this collaboration has now been extended by the parties for an additional year through March 2012. * Perficient (PRFT) acquired Exervio, a Charlotte-based business and management consulting firm focused on program and project management, process improvement and data/business analytics with ~$13 million in annual revenues. The transaction is expected to increase Perficient's current annualized revenues to more than $245 million - with nearly 1,450 consulting, technology, sales and support professionals. The acquisition is expected to be accretive to earnings per share immediately. * LXE, part of EMS Technologies' (ELMG) Global Resource Management business unit and Malaysia-based Powercomp Distribution Sdn. Bhd. announced a distribution partnership that will significantly extend the availability of LXE products through a new, high-growth distribution channel in Southeast Asia. * Apache (APA) announced that the co will build a compressed natural gas refueling station for the ecoparkfleet of buses that carry passengers to and from the city's economy parking lots at Houston's Bush Intercontinental Airport. The station is expected to be ready for service in 60-90 days.
9:05AM Melco Crown Entertainment appoints CFO (MPEL) 7.60 : Co announces that Geoffrey Davis, Deputy CFO and Treasurer, has been promoted to CFO.
9:04AM Emerson acquires full ownership of its Fisher Sanmar Limited joint venture from Sanmar Engineering Corporation for $135 million for the business and additional land (EMR) 58.43 : Co announces announced it has acquired full ownership of its Fisher Sanmar joint venture from Sanmar Engineering Corporation, expanding the capabilities of Emerson Process Management in India. This acquisition adds to Emerson Process Management's offering of control valves, industrial regulators and other process technologies and services through the Fisher brand. The purchase price was $135 million for the business and additional land.Sales of the joint venture in FY2010 were about $40 million.
9:00AM May crude to fresh highs at $107.84; now up $1.02 to $107.74 (COMDX) :
9:00AM HQ Sustainable Maritime Industries postpones filing of Form 10-K for the year ended December 31, 2010 (HQS) 3.06 : Co postpones the filing of its Form 10-K for the year ended December 31, 2010. The Company is postponing the filing of its Form 10-K because the audit of the Company's financial statements has not been completed due to difficuties and delays in obtaining and verifying certain information. The Company's independent auditors will continue to work toward the completion of the audit. The Company expects to complete the audit within ~30 days.
8:54AM SRA Intl to be acquired by Providence Equity Partners for $31.25 per share; to become a privately held co (SRX) 28.36 : Co announces it has entered into a definitive merger agreement under which co will be acquired by an affiliate of Providence Equity Partners in an all-cash transaction. Pursuant to terms of the agreement, shareholders will receive $31.25 in cash for each share of common stock, for a total value of ~$1.88 bln. The transaction represents a 10.2% premium based on the closing price of $28.36 on March 31, 2011. Co may solicit acquisition proposals from third parties for a 30-day "go-shop" period from the date of the merger agreement.
8:53AM Pebblebrook Hotel Trust upsizes and prices its public offering of 9.5 common shares of beneficial interest at a public offering price of $21.60 per share (PEB) 22.15 :
8:52AM St. Joe Company completes the sale of a 40,975 acre timber deed to an investment fund managed by Resource Management Service for a price of $55.9 million (JOE) 25.07 :
8:47AM On The Wires (WIRES) :
* Orbit International Corp. (ORBT) announced that its primary lender has waived the Company's non-compliance with one financial covenant of its credit agreement for the fourth quarter ended December 31, 2010. The lender also amended the credit agreement regarding the same financial covenant through the first three quarters in 2011. As reported on March 10, 2011, the Company had not been in compliance with the aforementioned financial covenant due to the 2010 fourth quarter loss and liability associated with a non-recurring expense incurred in connection with the non-renewal of the employment contract of its former President and CEO. * Diana Shipping (DSX) announced that it has entered into a time charter contract with Cargill International S.A., Geneva, for one of its Capesize dry bulk carriers, the m/v Semirio, at a gross charter rate of $17,350 per day, minus a 5% commission paid to third parties, for a period of about 22-26 months. The charter is expected to commence mid-May 2011.
8:44AM Robbins & Myers enters into a new five-year senior unsecured credit facility, replacing its previous credit facility that was scheduled to expire in December 2011 (RBN) 45.99 : The new credit facility provides for $150 million of revolving borrowing capacity and includes an expansion option of $150 million, subject to certain conditions. Borrowings under the credit facility are subject to a pricing grid, with initial borrowings priced at LIBOR plus 125 basis points. The facility was arranged by J.P. Morgan Securities LLC. The bank group was increased from six to eight banks.
8:43AM AVI BioPharma prices an underwritten public offering of 20 mln shares of its common stock at a price to the public of $1.50 per share for gross proceeds of $30.0 mln (AVII) 1.86 :
8:41AM On The Wires (WIRES) :
* Solera Holdings (SLH) announced that Hollander, Solera's operating company that provides salvage yard management systems and parts locating software to the automotive recycling industry in the U.S. and Canada, has signed an agreement to purchase assets from Inventory Technology Systems. The transaction is subject to certain conditions to closing and is expected to close in the fourth quarter of Solera's fiscal year 2011. * Noble Energy (NBL) announced that it has suspended drilling operations at the Leviathan #1 location, which was testing deeper potential in the well, offshore Israel. The Company identified wear on the wellbore casing, requiring additional material and equipment necessary to complete the drilling of the well. Noble Energy is working to secure the needed items, which are not available in Israel.
8:39AM Gold, silver drop sharply, following jobs data, as dollar surges (COMDX) :
* Gold now off $12.90 to $1426.00. * Silver lower by 50.8 cents to $37.38.
8:39AM Noah Education signs definitive agreement to sell Electronic Learning Product Business; announces appointment of CEO (NED) 2.17 : Co announces that it has entered into a definitive agreement to sell co's Electronic Learning Product business and operating assets to First Win Technologies, a company wholly owned by Benguo Tang, one of Noah's founders and the former President and COO of the co, for the U.S. dollar equivalent of RMB100 mln. The co today announced that Jerry He, the current CFO, has been elected as a member of the Board and appointed as the new CEO of the co, both effective today. Mr. He replaces the current CEO Dong Xu, who resigns from the position and will act as Chief Strategy Officer, focusing on strategic planning of the co's business development activities, both effective today. Concurrently with Jerry He's appointment as CEO, the co also appointed Ms. Dora Li, the current Vice President, Finance and Financial Controller, as the interim CFO.
8:36AM On The Wires (WIRES) :
* Pride International (PDE) announced that the company has reached agreement with Samsung Heavy Industries, Ltd. to extend Pride's option for the construction of a sixth ultra-deepwater drillship by 30 days. The extension of the option period does not impact the estimated unit construction cost or delivery schedule determined in December 2010, upon the order by Pride of a fifth ultra-deepwater drillship. The option may be exercised by the company on or before April 30, 2011, unless further extended on mutually agreed terms. * Wright Express Corporation (WXS) announced that it has acquired the assets of rapid! PayCard, a privately held provider of payroll debit cards, e-paystubs and e-W2s in an all cash deal that includes additional considerations for performance milestones. rapid! PayCard is an emerging provider of prepaid products focusing on small and medium sized businesses. * Portland General Electric Company (POR) announced that it has adopted a Dividend Reinvestment and Direct Stock Purchase Plan. The Plan enables shareholders to reinvest their cash dividends in, and purchase additional shares of, Portland General common stock directly from the Company. * Endocyte (ECYT) announced that the company has been added to the Russell 2000 Index, as part of Russell's quarterly IPO additions that took place on March 31, 2011, following the close of the market.
8:33AM Dominion Virginia Power plans to convert three coal-fired stations to renewable biomass (D) 44.70 : Co announces it is planning to convert three Virginia power stations from using coal to biomass, a renewable energy source. The conversions would provide environmental and customer benefits and generate up to $350 mln for their local economies over the next 30 years.
8:32AM Intuit and salesforce.com (CRM) announce a strategic alliance that will make it easier for millions of small businesses to manage customer information alongside their financial data (INTU) 53.11 : Intuit Inc. and salesforce.com announce a strategic alliance that will make it easier for millions of small businesses to manage customer information alongside their financial data. This collaboration will merge leading CRM and financial management to allow small businesses using QuickBooks to more efficiently manage customer relationships so they can save time and close more deals.
8:22AM Schweitzer-Mauduit authorizes the repurchase of up to $75 million in SWM common stock (SWM) 50.61 : Co announces that its Board of Directors has authorized the repurchase of up to $75 million in SWM common stock effective through December 31, 2011. This is in addition to the $30 million in share repurchases completed earlier in 2011. In order to effect this authorization, co will undertake actions, including removing current credit facility limits, necessary to initiate repurchases at the earliest possible time. Financing of the up to $75 million in share repurchases will be accomplished through co's ongoing cash generation and credit facilities.
8:07AM On The Wires (WIRES) :
* Odyssey Marine Exploration (OMEX) executed an agreement to provide marine services including mining exploration and drilling operations to client companies of Robert Fraser & Partners in a tenement area controlled by Dorado Ocean Resources. The contract provides for preliminary cash payments totaling ~$1.5 mln to co plus additional payments based upon revenue derived from the project. * Gaylord Entertainment Company (GET) announced that its 3.75% Convertible Senior Notes due October 1, 2014, remain convertible at the option of the holders through June 30, 2011, the last business day of the current fiscal quarter. * Cisco (CSCO) announced that the Boeing Co (BA) renewed its agreement with Cisco for the WebEx suite of online meetings solutions. * Teledyne Technologies Incorporated (TDY) announced that its subsidiary, Teledyne DALSA, Inc., has acquired a minority interest in the parent company of Optech Incorporated. Terms of the transaction were not disclosed.
8:07AM Sterlite Industries' Board approves change in its CEO and CFO effective immediately (SLT) 15.44 : Co's Board approved the change in its CEO and CRO. Mahendra Singh Mehta has been appointed as the CEO of Sterlite Industries (India) Limited consequent to transfer of Kishore Kumar as the CEO for Africa Operations which include the newly acquired zinc assets in Namibia, South Africa and Ireland. The Board also approved the appointment of Din Dayal Jalan as the CFO of co.
8:06AM MIPS Tech addresses certain matters regarding Android anti-fragmentation efforts in Q&A (MIPS) 10.49 : Co's Vice President of Marketing and Business Development in Q&A regarding how Google's (GOOG) anti-fragmentation initiatives for Android code impact providers of microprocessor architectures such as MIPS and INTC. Click here to read the Q&A.
8:05AM Kennedy Wilson prices $200 mln in aggregate principal amount of 8.750% senior notes due 2019 (KW) 10.86 : Co intends to use the net proceeds from the offering to repay in full outstanding borrowings under its unsecured revolving credit facility and certain unsecured loans and mortgage loans. The remaining proceeds will be used by co for general corporate purposes, including future acquisitions and co-investments.
8:03AM Netflix and Twentieth Century Fox have amended and expanded their non-exclusive digital distribution agreement, adding additional titles (NFLX) 237.78 : Co and Twentieth Century Fox announce that the companies have amended and expanded their non-exclusive digital distribution agreement, adding additional titles from Fox's television and movie library. This new multi-year agreement allows co to provide its members with instant access to a greater variety of programming, including additional television series such as the first season of the Emmy-award winning "Glee" and the first two seasons of the cult favorite "Sons of Anarchy" beginning on April 1, with additional seasons being added annually.
8:03AM Deltek acquires Washington Management Group and its FedSources and FedSources Consulting businesses for $26 million in an all cash transaction (PROJ) 7.60 : Co announces that it has acquired Washington Management Group, and its FedSources and FedSources Consulting businesses for $26 million in an all cash transaction.
8:02AM Healthsouth received permission from the state to proceed with building a comprehensive physical rehabilitation hospital in Ocala, Fla (HLS) 24.98 : Construction is expected to begin in the fourth quarter of 2011. The development of Ocala Rehabilitation Hospital of Marion County, LLC represents a $21 million investment.
8:01AM Winthrop Realty Trust prices 5 mln shares of common stock of $11.25 (FUR) 12.25 : Co intends to use the net proceeds from the offering to make additional investments and for general corporate purposes.
8:01AM Valeant Pharmaceuticals and Promius Pharma, an affiliate of Dr. Reddy's Laboratories (RDY) announce a collaboration agreement for Cloderm (VRX) 49.81 : Promius Pharma, an affiliate of Dr. Reddy's Laboratories, and Valeant Pharmaceuticals jointly announce that they have signed a collaboration agreement for Cloderm Cream. Promius Pharma will make an upfront payment and pay future royalties as the consideration for the right to manufacture, distribute and market Cloderm Cream in the US, effective immediately. The financial terms and conditions of the agreement have not been disclosed.
8:01AM EMS Tech sends letter urging shareholders to support co's directors (ELMG) 19.65 : Co says Millbrook Capital Management wants the co to sell itself or its businesses. "This would give MMI a quick return on its recent investment, but it would also force the much larger majority of shareholders to give up the benefit of substantial potential future profits and returns offered by EMS's growing businesses."
7:25AM LECG Corp FTI Consulting (FCN) has completed all of previously announced contemplated transactions with LECG (XPRT) 0.20 : Total consideration paid to LECG for these practices, which included accounts receivable and work-in-process, was cash of approximately $27 million plus the assumption of approximately $11 million in liabilities.
7:15AM Preferred Apt. Communities prices 4.5 mln share IPO at $10 (APTS) :
7:13AM On The Wires (WIRES) :
* MEDNAX (MD) announced the acquisition of three separate physician group practices based in San Antonio, TX and Miami, FL, as well as the expansion of new services in Topeka, KS. * Southern Union Company (SUG) placed the Florida Gas Transmission Company Phase VIII Expansion project in service today as scheduled. * Ruth's Chris, a Ruth Hospitality (RUTH) business, be the exclusive partner to celebrate the United States release of the 2006 Penfolds Grange, an internationally renowned wine that has maintained its status as Australia's most prestigious red wine for over five decades. * KEYW Corporation (KEYW) announced that it has acquired JKA Technologies, a privately-held provider of cyber superiority solutions to the U.S. Intelligence Community. JKA Technologies offer a broad range of mission critical cyber superiority solutions and support including network engineering, information assurance, and systems and software engineering. JKA generated $12.9 million in revenue in 2010 (unaudited), and is projected to deliver 2011 revenue in the range of $13-14 million.
7:09AM In overnight trade, May crude oil traded to a fresh ~2.5 yr high at $107.65; it is currently higher by 50 cents to $107.22 (COMDX) :
7:03AM China Wind Systems withdraws Form S-3 registration (CWS) 3.27 : Co announces that it has filed an application with the SEC to withdraw its Registration Statement on Form S-3, which became effective on May 14, 2010. The Company requested to withdraw its Registration Statement because it does not intend to pursue the sale of the securities under the current market conditions. No securities were sold pursuant to the Registration Statement.
7:02AM Sotheby's announces conversion event of $200 mln 3.125% Convertible Notes due 2013 (BID) 52.60 : Co announces that pursuant to the terms of the indenture governing its $200 mln 3.125% convertible senior notes due 2013, the Notes will be convertible at the option of the holders beginning on April 1, 2011 and ending on June 30, 2011 as a result of the closing sale price of Sotheby's common stock on the New York Stock Exchange exceeding $44.20 for 20 trading days in the 30 consecutive trading days ending on March 31, 2011.
7:01AM NYSE Euronext: NASDAQ OMX Group (NDAQ) and IntercontinentalExchange (ICE) propose 'superior' transaction to acquire NYX for $42.50/share, a 19% premium to Deutsche Boerse proposal (NYX) 35.14 : NASDAQ (NDAQ) and IntercontinentalExchange (ICE) announced that they have made a joint proposal to acquire NYX for $42.50 in cash and stock per NYX share, or approximately $11.3 billion, based on the respective NDAQ and ICE closing share prices as of March 31, 2011. Under the terms of the proposed acquisition, NYX stockholders would receive $14.24 in cash, plus 0.4069 shares of NASDAQ OMX common stock and 0.1436 shares of ICE common stock for each NYSE Euronext share. As part of the proposal:
* ICE would purchase NYSE Euronext's derivatives businesses. * NDAQ would retain NYSE Euronext's remaining businesses, including the NYSE Euronext stock exchanges in New York, Paris, Brussels, Amsterdam and Lisbon, as well as the U.S. options business.
A combined NDAQ/NYSE Euronext would provide accretion to stockholders 12-18 months following the close of the transaction and double digit accretion soon after the 12-18 month period. It would also deliver strong pro forma cash flow generation to invest in the business and service debt. ICE's acquisition would also be solidly accretive to ICE stockholders in year two and would leave ICE with substantial financial flexibility. NDAQ and ICE would finance the cash portion of the acquisition purchase price through cash on hand and a combined $3.8 bln financing commitment. Both firms have received "strong support" from a group of leading institutions, including Bank of America and Wells Fargo, which together would be prepared to arrange fully committed financing required to complete the transaction. The repayment of debt would be financed by the strong cash flows of the combined companies. NDAQ and ICE believe that the proposed combination would satisfy the required regulatory approvals in all jurisdictions.
6:56AM On The Wires (WIRES) :
* Ebix, Inc. (EBIX) announced that it has been selected to provide an enterprise wide, end-to-end system for the marketing and administrative subsidiary of a leading publicly traded health and life insurance holding Company. * Cavico (CAVO) announced that its subsidiary, Cavico Hydropower, has broken through a second tunnel that connects the water intake gate with an adit sub-tunnel at the Song Giang 2 Hydropower project. The tunnel excavated by Cavico is 3,018 feet long and 8 feet wide.
6:44AM Tata Motors reports sales of commercial and passenger vehicles in March 2011 were 83,363 vehicles, a growth of 11% over 75,129 vehicles sold in March 2010 (TTM) 27.79 : Co's tata sales of Tata commercial and passenger vehicles in March 2011 were 83,363 vehicles, a growth of 11% over 75,129 vehicles sold in March 2010. The company's domestic sales of Tata commercial and passenger vehicles for March 2011 were 77,431 nos., a 9% growth over 71,024 nos. sold in March last year. Cumulative sales (including exports) for the company for the fiscal are at 803,322 nos. a growth of 25% over 642,664 nos. sold last year.
6:30AM Ebix increases size of share repurchase plan to $45 mln from 15 mln (EBIX) 23.65 : The co also announced that it has purchased a total of 106,483 shares of its common stock over the last few days, under the previously authorized share repurchase plan of $15 mln.
6:09AM On The Wires (WIRES) :
* Affiliated Computer Services, a Xerox co (XRX), announced a $200 mln, five-year agreement with MGM Resorts International to provide managed information technology services. * Flexsteel Industries (FLXS) announced plans to construct a $12 mln, four-story, 40,000 square foot, corporate office building at the corner of Fifth and Bell streets in the Port of Dubuque. * SXC Health Solutions (SXCI) announced that its HealthCare Information Technology Group has been awarded a five-year sub-contract from HP Enterprise Services to provide PBM services to the State of Nevada's 180,000 Medicaid members. * Autoliv (ALV) announced it has started construction of a new factory building in Nanjing that will replace the co's existing plant in the city. The first construction phase of the new plant is ~50% larger than the existing Nanjing facility. The cost for the new facility, including the site of 66,000 square meters, should be about $10 mln.
6:04AM A123 Systems prices 18 mln shares of common stock at $6.00; and $125 mln subordinated notes due 2016 (AONE) 6.35 : Co intends to use the proceeds from the common stock and convertible notes offerings for general corporate purposes. Pending these uses, co intends to invest the net proceeds from the common stock and convertible notes offerings in interest-bearing investment-grade securities.
5:49AM On The Wires (WIRES) :
* InfoSpace (INSP) announced it will continue distributing Google (GOOG) search results and advertising content through the InfoSpace network of Web search properties and partner websites, extending their longstanding partnership. * SolarWinds (SWI) announced that it plans to expand its presence in India. * XL Group (XL) announced that its new Property & Casualty (non-life) subsidiary in Shanghai, China, is open for business effective today. * Global Sources (GSOL) has formed a partnership with China's Trade Development Bureau to jointly organize six China Sourcing Fairs at the Miami Beach Convention Center July 11 - 13, 2011.
5:47AM Boeing and Turkish Airlines confirm order for 15 next-generation 737s (BA) 73.93 : Co and Turkish Airlines announce the Istanbul-based carrier has exercised options for 15 Next-Generation 737s. The order, comprised of 10 737-800s and 5 737-900ERs, has an average list-price value of more than $1.2 bln.
5:04AM Panasonic reports effect of earthquake on Tohoku Region on Business Operations (PC) 12.59 : Co announces it has confirmed the safety of all employees. Some minor injuries to the employees are reported. Damage to production AVC Networks Fukushima Factory and AVC Networks Co Sendai Factory restarted partial production operations. Co is preparing to resume production at factories in the affected region. Co states announcement will be made promptly if a significant impact on co's consolidated financial outlook for fiscal 2011 is foreseen.
3:54AM Radio One secures $25 mln senior credit facility and a $386 mln term loan (ROIA) 2.08 : Co announces it has closed upon a new senior secured credit facility comprised of a $25.0 mln "super-priority" revolving credit facility and a $386.0 mln term loan. The applicable margin on the New Senior Credit Facility is between 4.50-5.50% on the revolving portion of the facility and 5.00% and 6.00% on the term portion of the facility. The revolving portion of the credit facility matures on March 31, 2015 and the term portion of the credit facility matures on March 31, 2016.
2:41AM Royal Dutch Shell agrees to sell most of its Downstream business in Chile to Quinenco for a total consideration of $614 mln (RDS.A) 72.86 :
2:19AM Toyota Motor to increas prices for 2011 on Toyota, Scion and Lexus Models (TM) 80.25 : For details, click here
1:44AM Goodrich signs agreement to acquire Microtecnica for ~462 mln; expected to be slightly accretive to earnings in 2011 (GR) 85.53 : Co announces has signed an agreement with SSCP Aero Holdings to acquire Microtecnica. Total cash consideration for the acquisition is ~EUR330 mln (~$462 mln). The acquisition is expected to be slightly accretive to earnings in 2011, including the impact of purchase accounting adjustments, and solidly accretive thereafter. Co states the acquisition complements existing flight control actuation business and strengthens co's position in the helicopter market.
1:39AM Colony Financial prices 14 mln shares of common stock at 18.50 (CLNY) 18.83 : The co is offering 13.25 mln shares of common stock and selling stockholders are offering 750K shares. The co intends to use the proceeds from the offering to acquire the co's target assets and for working capital and general corporate purposes.
1:32AM Sino Clean Energy reports FY10 results; will file extension for FY10 Form 10-K Filing (SCEI) 5.70 : Co reports FY10 adj. EPS of $1.46 vs. $0.57 last yr; rev +131% YoY to $106.3 mln (no ests). Additionally, co announces that it will file Form 12b-25 Notification of Late Filing for its Annual Report on Form 10-K for the year ended December 31, 2010. The Form 12b-25 will allow the co an additional 15 calendar days to file the Form 10-K which was otherwise due on March 31, 2011. The co fully expects to be able to file within the additional time allowed by the Form 12b-25.
1:25AM Kraton Performance Polymers prices secondary offerring of 9,988,072 shares of common stock held by certain shareholders, at $37.75 per share (KRA) 38.25 : The co will not receive any proceeds from the offering, and the total number of shares of common stock outstanding will not change as a result of this offering.
1:22AM GNC Holdings prices 22.5 mln share IPO at $16 per share, within the $15.00-17.00 expected range (GNC) :
1:18AM Ramco-Gershenson prices offering of cumulative convertible perpetual preferred shares (RPT) 12.53 : Co its underwritten public offering of $80 mln (1.6 mln shares) of newly issued 7.25% cumulative convertible perpetual preferred shares of beneficial interest. The preferred shares have a liquidation value of $50.00 per share. Co intends to use the net proceeds from the offering to retire its $30.0 million bridge loan and reduce outstanding borrowings under its secured revolving credit facility. Ramco-Gershenson may use the net proceeds to repay other outstanding indebtedness and for general corporate purposes.
1:10AM Kraton Performance Polymers announces a general price increase in Asia Pacific Region of $450/MT for all HSBC polymers and compounds; effective May 1, 2011 (KRA) 38.25 : http://finance.yahoo.com/marketupdate/inplay
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