) shares lost more than one-third of their value Monday following news that Hughes Electronics (GMH
) reached a settlement with the National Rural Telecom Cooperative (NRTC) dismissing claims against each other. The settlement does not resolve pending litigation between Hughes' DirecTV and Pegasus. Deutsche Bank reportedly downgraded its rating on Pegasus.
) extended its tender offer for PeopleSoft (PSFT
) to midnight EDT on Sept. 19, 2003. Merrill upgraded Oracle to buy from neutral.
) says its RealOne services will be offered on Sprint PCS Vision wireless phones. S&P says this is "a nice win" for RealNetworks, but material revenues from this and other wireless relationships are perhaps years away; S&P reiterated its sell opinion on the shares.
Troy Financial ( TRYF
) agrees to be acquired by First Niagra Financial in a $357 million deal. Terms: $35.50 for each TRYF share.
Hospitality Properties (HPT
) shares fell after AG Edwards downgrades to sell from hold.
Tom Golub resigned as executive vice president and board member of Hilb, Rogal & Hamilton (HRH
). The company says the $1.4 million after-tax cost ($0.04 per share) of Golub's contractual termination benefit will be included as integration expense in the third quarter.
International Multifoods (IMC
) says that due to continued softness in the U.S. and Canada, it now expects second-quarter earnings per share before unusual items in the range of 20 cents to 23 cents.
USB Piper reportedly upgraded Adobe Systems (ADBE
) to strong buy from outperform.
According to a New York Times report, profits at InterActive's (IACI
) two big Internet travel sites -- Expedia and Hotels.com -- may be inflated: the two sites may be paying less in hotel occupancy taxes than is owed. The shares were lower Monday.
A.G. Edwards downgraded Williams Energy (WEG
) and AmeriGas Partners (APU
) to sell from hold.
Genome Therapeutics (GENE
) received payment from Amgen (AMGN
) for completion of a milestone under their agreement aimed at utilizing genetic information to discover and commercialize new therapeutics for bone disease.
Lehman reportedly upgraded Seagate Technology (STX
) to overweight from equal-weight.
) posted 3 cents vs. 25 cents second quarter EPS (on a GAAP basis) despite a 16% total revenue rise. The company will not achieve 2003 EPS and revenue targets at its unit that handles Sovereign Bank's item and check processing services as the business transition has taken longer than anticipated.
Martha Stewart Living (MSO
) posted 2 cents vs. 16 cents second quarter EPS from continuing operations on a 16% revenue drop. The company sees a 15-cent third quarter loss per share, and a loss of 18 cents to 20 cents for 2003.
The Securities and Exchange Commission issued a formal order of private investigation as to matters relating to restatement of prior period financial results for Transaction Systems (TSAI
Sysco Corp. (SYY
) posted 37 cents vs. 31 cents fourth quarter EPS on a 10% sales rise.
Warnaco Group (WRNC
) posted a 19-cent second quarter loss per share vs. a 60-cent loss despite a 12% net revenue decline.
First Niagara (FNFG
) will acquire Troy Financial (TRYF
) for $35.50 per Troy share. First Niagra expects the transaction to add 14% to 2004 EPS.
Citadel Broadcasting (CDL
) posted a 20-cent second quarter loss per share vs. a 19-cent loss despite a 4.3% net revenue rise. Citadel sees a 4% revenue rise and a 10% EBITDA increase in the 2003 second half.