The company said that Brian Pedlar's resignation is effective Aug. 18. Robert White, Merge's other chief executive, will continue to serve as interim CEO, the company said. White and Pedlar were named co-CEOs in July after several of Merge's top executives resigned amid a probe into allegations of financial impropriety. Merge said it is looking for a full-time replacement for Pedlar. Shares were down 90 cents to $6.78.
Shares of Qiao Xing Universal Telephone (XING) rose 3% after the telecom-products company issued its second-quarter guidance. The company estimates that its second-quarter sales rose 36% to $96.4 million. The company said its gross profit climbed 90% to $17.8 million. Expenses, meanwhile, are expected to show an increase of 25% to $4.9 million. "We are pleased to bring you these estimates of key financial data for the second quarter of 2006," the company said. "They are highly satisfactory and indicate that the fundamentals of Xing's operations are sound."
Xing continues to see full-year earnings growth of 35%, with a 30% sales rise. Shares recently were trading up 32 cents to $11.44.Shares of Photon Dynamics (PHTN) rose 9% after the maker of flat-panel production equipment said it would repurchase up to 1.1 million shares. The company has about 17 million shares outstanding. "This decision reflects our confidence in our company's financial position, as well as in our market position and strategy for future growth," Photon Dynamics said. The buyback announcement comes just five days after the company announced the resignation of its chief financial officer. Shares were trading up $1.10 to $12.81.