) agrees to acquire MBNA (KRB
) in a deal valued at $35 billion, or $27.50 per share. Terms of the agreement give MBNA shareholders get 0.5009 Bank of America share and $4.125 cash per share. Bank of America sees annual cost savings of $850 million and a restructuring charge of $1.25 billion.
) says Robert Morrison has been named interim chairman and CEO, effective immediately, replacing W. James McNerney, Jr. Mr. McNerney has accepted top job at Boeing (BA
Morgan Stanley's (MWD
) board is expected to meet to elect John Mack as CEO, according to the Wall Street Journal.
Research In Motion (RIMM
) posted 67 cents, vs. 28 cents first-quarter earnings per share (GAAP) on a 68% revenue rise. The company sees 57 cents to 63 cents second-quarter earnings per share (GAAP) on revenue of $465 million to $490 million, and 62 cents to 68 cents third-quarter earnings per share on revenue of $525 million to $550 million.
Merck & Co. (MRK
) says the FDA has accepted for a review of its Biologics License Applications for two investigational vaccines, Rotateq (rotavirus vaccine, live, oral, and pentavalent) and Zostavax (herpes zoster vaccine, live).
Constellation Brands (STZ
) posted 32 cents, vs. 22 cents first-quarter earnings per share (reported) on an 18% revenue rise. The company sees 35 cents to 37 cents second-quarter earnings per share and $1.46 to $1.52 fiscal 2006 earnings per share.
Conagra Foods (CAG
) posted 20 cents, vs. 32 cents fourth-quarter earnings per share on a 3.6% sales decline.
BMC Software (BMC
) posted 7 cents, vs. 16 cents fourth-quarter earnings per share on a 16% license revenue decline and a slight total revenue decline. The company sees fiscal 2006 non-GAAP earnings per share of 86 cents to 92 cents on revenue of $1.48 billion to $1.5 billion.
Merix Corp. (MERX
) posted a 9-cent fourth-quarter loss (GAAP), vs. an 8-cent loss as higher operating costs offset a 16% sales rise. The company sets a restructuring plan, including workforce reduction. It sees a 5-cent to 6-cent first-quarter loss (non-GAAP) on $51 million to $52 million in sales.
) posted $1.15 fourth-quarter earnings per share (GAAP), vs. a 23-cent loss as extraordinary gains offset a 2.3% revenue decline. The company posted a 4-cent non-GAAP loss. It sees a first-quarter GAAP loss of 23 cents to 26 cents on revenue of $14.3 million to $14.8 million.
) says same-store sales for the eight weeks ended June 25 declined 11% and total sales fell 6.5%. It now expects a 20-cents to 22-cent second-quarter loss on 10% to 11% same-store sales decline. It plans to sell Gardeners Eden operations.
Musculoskeletal medical products maker Biomet (BMET
) posted 41 cents, vs. 31 cents fourth-quarter earnings per share on a 13% sales rise. The company remains comfortable with a range of analysts' first-quarter earnings per share estimate of 39 cents to 41 cents.
American Greetings (AM
) posted 35 cents, vs. 4 cents first-quarter earnings per share on a 2.2% sales rise and lower selling, general, and administrative costs. The company raises $1.46 to $1.51 fiscal 2006 earnings per share estimate to $1.52 to $1.57.
) posted a 15-cent fourth-quarter loss, vs. a 5-cent loss on a 4% revenue decline. The company sees first-quarter revenue of $170 million to $175 million.
Digital systems maker Harmonic (HLIT
) sees lower-than-expected $56 million to $60 million second-quarter sales due to a result of slower orders of digital headend systems in May and June from domestic cable operators. It expects to incur a second-quarter loss on both GAAP and non-GAAP basis.