Markets & Finance

EU Blocks GE's Purchase of Honeywell


The European Union blocked General Electric's (GE) proposed acquisition of Honeywell (HON).

DuPont (DD) sees $0.34-$0.45 Q2 EPS from operations vs. a year ago's $0.90, citing the global expansion of an economic slowdown. Salomon SB downgraded to neutral.

Internet Security (ISSX) sees a $0.02 Q2 loss to breakeven (pro forma) results on $50M-$52M revenue vs. previous guidance of $0.15-$0.16 EPS on $64M-$67M revenue. Goldman downgraded and Lehman cut estimates and target.

Qualcomm (QCOM) and Nokia expanded the terms of their existing CDMA terminal cross-license.

Regus PLC (REGS) sees 2001 operating results of around breakeven on revenue rise of about 30%, and notes a marked slowdown in several key markets.

ICN Pharmaceutical (ICN) plans to make a private offering of $250M aggregate principal amount of convertible subordinated notes.

CIBC World downgraded Ariba Inc. (ARBA) to hold from buy on price.

Bell Microproductor (BELM) sees a $0.10 Q2 loss from operations on sales of about $450M, citing disappointing demand for commodity semiconductors, disk drives and peripherals. Tucker Anthony cuts estimates.

Rational Software (RATL) sees $0.07-$0.08 Q1 EPS on lower than expected revenue of $172M-$176M and reduced the fiscal 2002 revenue guidance to $825M-$900M. JP Morgan downgraded.

Extensity Inc. (EXTN) expects Q2 revenue of about $9.1M, lower than

previously forecast. DB Alex Brown downgraded to market perform from buy.

Multex.com (MLTX) sees a $1M Q2 net loss on gross revenue of $24M and expects Q3 and Q4 revenue to be sequentially flat to slightly positive. JP Morgan downgraded.

PC Connection (PCCC) sees $0.05-$0.07 Q2 EPS on sales of $296M and notes lower gross margins, which resulted from intense competitive pricing and lower overall demand levels.

Interface (IFSIA) sees lower than expected $0.03-$0.05 Q2 EPS on revenue of $285M-$295M and currently sees $0.25-$0.35 2001 EPS.

MIPS Technologies (MIPS) sees breakeven Q4 on lower than expected revenue of $14M-$15M.

Chemed Corp. (CHE) sees lower than expected $0.32-$0.33 Q2 EPS from continuing operations before capital gains vs. a year ago's $0.50.

Stoneridge Inc. (SRI) cut the Q2 EPS guidance to $0.05-$0.10, and cut the 2001 EPS estimate to $0.30-$0.40.

Roadway (ROAD) posted better than expected $0.22 vs. $0.52 Q2 EPS on a 9.2% revenue drop, and says it appears that after 3

consecutive quarters of decline, business levels have stabilized.

The FDA completed its review of Orphan Medical's (ORPH) NDA for Xyrem oral

solution, and determined it is approvable for the indication of

cataplexy related to narcolepsy.

Solectron (SLR) filed for a $3B universal shelf offering.

Axsys Technology (AXYS) cut Q2 guidance to a $0.16-$0.18 loss from operations on $23M in revenue, citing weakness in irsDistributed Products Group. Axsys set a cost reduction program.

Check Point (CHKP) sees $0.32 Q2 EPS on revenue of $140M-$142M vs. a year ago's $0.17 EPS on revenue of $90.7M.

Broadvision (BVSN) sees $0.17-$0.20 Q2 loss from operations (basic, pro forma) on $52M-$58M revenue, citing adverse effects from uncertainties on the current IT spending environment.

i2 Technologies (ITWO) sees a $0.12 Q2 loss from operations (pro forma) on $235M-$240M revenue. I2 will take a $25M-$27M charge for bad debt expense and says market conditions were much more

difficult than anticipated.

WD-40 Company (WDFC) posted $0.24 vs. $0.32 Q3 EPS as higher advertising, sales promotion expenses and other costs offset an 11% sales rise.

E.Piphany (EPNY) sees a $0.29-$0.30 Q2 loss from operations on about $31M in revenue, citing weakness in international business.

Amkor Technology (AMKR) sees $350M Q2 total revenues vs. Q1's $481M and expects Q2 assembly and test revenues to be about 30% below Q1 levels. S&P maintains hold.

Ikos Systems ( IKOS) agreed to be acquired by Synopsys (SNPS) for a price that will range between $6-$20 per share (determined by Ikos' financial performance in the 12-months ending June 2). Separately, Ikos sees a $0.45-$0.50 Q3 loss.

Informatica (INFA) sees a $0.01 Q2 loss (pro forma) on revenue of about $47M.

Electroglas (EGLS) cut the Q2 revenue guidance to $22M-$24M from previously anticipated $26M-$30M. S&P maintains avoid.

Polycom (PLCM) sees lower than expected $0.12-$0.13 Q2 EPS (pro forma) on revenues of $83M-$85M. S&P maintains hold.

National Instruments (NATI) says Q2 results will be about $0.18 EPS on revenue of $98M, citing declining revenues from mature instrument control hardware products as well as the strong US$.

Sybase (SY) says Q2 revenues will be softer than expected in the midst of weak market conditions. However, Sybase confirmed that Q2 and 2001

EPS should be in line with analysts' estimates. S&P maintains sell.

U.S. Vision (USVI) agreed to be acquired by group led by owners of 25% of U.S. Vision common for $4.25 per share cash.

Resources Connection (RECN) posted $0.23 vs. $0.15 Q4 EPS on a 44% revenue rise. The company believes current Q1 estimates are "reasonable."

RSA Security (RSAS ) will be added to the S&P SmallCap 400 after close of trading on July 6, replacing Houghton Mifflin, which is being acquired.


Coke's Big Fat Problem
LIMITED-TIME OFFER SUBSCRIBE NOW

(enter your email)
(enter up to 5 email addresses, separated by commas)

Max 250 characters

Sponsored Financial Commentaries

Sponsored Links

Buy a link now!

 
blog comments powered by Disqus