Updated from 11:50 a.m. EDT
just can't get out of the spotlight.
Shares of the maker of network gear traded actively Monday after
The Wall Street Journal
, citing regulatory filings, said the company issued cash bonuses just weeks before announcing a second earnings restatement. Nortel has historically issued restricted stock to its top employees. This time around, however, it let recipients immediately sell half their grant back to the company for cash, according to the
This latest bit of news comes after Nortel's disclosure Friday that it was served with a grand jury subpoena in connection with a criminal investigation being conducted by federal prosecutors in Texas. Shares of Nortel traded down 31 cents, or 8.7%, to $3.26, on volume of 66.8 million shares.
slumped after the maker of flash-memory products was downgraded. Goldman Sachs lowered Sandisk to in line from outperform on concerns about margin pressure during the first half of 2005. More than 12 million shares traded hands. Shares of the company traded down $1.61, or 6.8%, to $22.25.
Nine current and former
employees were charged with securities fraud by the
Securities and Exchange Commission
Monday for their roles in accounting problems that occurred at the telecommunications giant during 2000.
The SEC also levied a $25 million fine against the company for failing to cooperate with SEC investigators. Shares of Lucent traded down 18 cents, or 5.5%, to $3.10, on volume of 86.2 million shares.
In addition to Nortel and Lucent,
high-volume leaders included
In addition to SanDisk,
companies on the high-volume list included
Looking at Nasdaq price movers,
rose after the Hutchinson, Minn.-based bank agreed to be acquired. Under the terms of the agreement,
, a privately held company, will acquire all of FSF's stock for $35 in cash. Shares of FSF traded up $6.10, or 21.5%, to $34.50.
rose after it announced first-quarter earnings results. The company earned $1.37 a share, or $23.4 million. It also declared a $2 cash dividend payable June 7. The company says that it intends to pay a regular quarterly dividend that is contingent upon the company's earnings, financial condition and cash requirements. Shares of Knightbridge traded up $2.54, or 13.4%, to $21.51.
Chalone Wine Group
ripened after it said Domaines Barons de Rothschild agreed to buy the remaining 54% of Chalone that it did not already own. According to the terms of the deal, Rothschild will pay Chalone shareholders $9.25 a share. After taking Chalone private, Rothschild intends to form a luxury wine group. Shares of Chalone Wine traded up $1.09, or 12.7%, to $9.67.
fell after investors digested recent stock gains. On Friday Arel leaped 34% after the company's largest shareholder said he would raise his stake in the firm. Clayton Mathile, who already owns 22.5% in Arel stock, disclosed plans to buy as much as 12% more of the company's stock.
He'll purchase 842,619 shares for $4.75 a share from Arel's co-founder, Itzhak Gross, who is retiring from the company's board. Additionally, Mathile is set to offer to purchase up to an additional 5% of Gross' stock in a tender offer. Shares of Arel traded down 31 cents, or 10.8%, to $2.55.
fell after the company announced disappointing second-quarter earnings. The company earned 7 cents a share on revenue of $80.2 million. An analyst polled by Thomson First Call was looking for the company to earn 10 cents a share. Shares of Allied traded down 69 cents, or 10.6%, to $5.80.
Over on the Big Board, shares of
New England Business Services
jumped after it agreed to be acquired for $44 a share. Under the terms of the deal,
will acquire all of New England Business' outstanding shares and debt for a total of about $600 million. Deluxe expects the acquisition to contribute about 35 cents to 45 cents a share, or $115 million to $130 million, during fiscal 2005. Shares of New England traded up $10.38, or 31.2%, to $43.69. Deluxe, for its part, traded up $1.78, or 4.4%, to $42.46.
announced that it's in discussions to acquire Stelmar.
"OMI has committed, subject to reasonable satisfaction of due diligence, to make an offer to Stelmar's Board of Directors to enter into a merger agreement with Stelmar subject to customary terms and conditions so that on a fully diluted basis the shareholders of Stelmar would receive 40.5% in the combined entity based on an all stock transaction. Each Stelmar holder would be offered OMI common stock, but is expected to have the option to receive up to 25% of the offer price in cash," OMM said in a press release. Shares of Stelmar traded up $2.56, or 10.3%, to $27.51.
rose in early action Monday after an analyst at Smith Barney raised the shares to hold from sell. Smith Barney said that it was raising shares of TPC on a valuation basis. Additionally, Triton could benefit, in the form of financial compensation, if it can resolve affiliate agreements that it has with
, the joint venture of
. Shares of Triton ended the day off 2 cents, or 0.5%, to $3.93.
Affiliated Computer Services
an outsourcing agreement with Gateway is being terminated. The seven-year agreement, awarded in September 2003, will cease during the next 90 days, according to a press release issued by ACS.
The contract produced $14 million in revenue during the quarter ended March 31. "The contract is being terminated following Gateway's March 2004 acquisition of eMachines, Inc., which has led to significant changes in the company's business strategy," according to the press release. "As announced, Gateway has since closed its 188 retail outlets, which eliminated approximately 2,500 positions, and is instituting other efficiencies that will lead to the elimination of a further 1,500 positions. This has reduced its need for finance and accounting and human resources BPO services, as well as the need for outsourced IT infrastructure. These functions will, instead, be handled internally," the release said.
The termination of the contract will have a positive effect on ACS's earnings and revenue for the rest of the year, it said. Shares of Gateway traded down 62 cents, or 13.8%, to $3.88. ACS shares traded down 38 cents, or 0.8%, to $46.65.
Worries about India's new political makeup -- after
India's national government was ousted last week -- pressured shares of several Indian firms Monday. Shares of
traded down $3.04, or 11.7%, to $22.94.
Satyam Computer Services
, meanwhile, traded down $1.59, or 8.7%, to $16.78. And shares of
traded down 72 cents, or 11.5%, to $5.54.