American Home Products





buying its

Cyanamid Agricultural Products

business for $3.8 billion in cash.



posted third-quarter earnings of 27 cents a share, ahead of the

First Call/Thomson Financial

24-analyst estimate of 25 cents and the year-ago 24 cents, which includes items. 3Com announced plans to exit the high-end networking business and to sell its dial-up modem and PC card businesses, as part of a series of moves intended to reignite growth. The company said it will narrow its focus on high-speed Internet access for the consumer market with DSL and cable modems.

3Com said the moves complete a reorganization that began with the sale of a 4% stake in its



unit. The company also announced plans to buy closely held

Call Technologies

for $90 million.

For more on this

story, check out coverage from

joint newsroom.

Mergers, acquisitions and joint ventures



is acquiring privately held


for up to $1.43 billion in Nortel stock on a fully diluted basis, a portion of which is contingent upon CoreTek achieving certain targets. The transaction, which Nortel expects to close in the second quarter, is projected to be marginally dilutive to Nortel earnings in calendar year 2000 and accretive in calendar year 2001, excluding acquisition-related charges. Nortel, however, said the buyout won't impact its previously announced financial guidance.

A unit of

Infinity Broadcasting

(INF) - Get Report



, has bought European advertising company


for $400 million.

Six energy and telecom companies announced the birth of

America's Fiber Network

, a new high-speed fiber-optics concern with a network of more than 7,000 route miles, or 140,000 fiber miles, connecting major markets in the eastern U.S. to secondary markets. AFN is being formed by

AEP Communications

, a unit of

American Electric Power

(AEP) - Get Report


GPU Telcom

, a unit of




Allegheny Communications Connect

, a subsidiary of

Allegheny Energy



FirstEnergy Telecom

, a unit of


(FE) - Get Report


CFW Communications


; and

R&B Communications

. AEP, GPU Telcom and Allegheny Communications are majority owners in AFN, owning 90% of the new company.



and Palm set a pact whereby registered Yahoo! users will have access to Yahoo! Mail, Yahoo! Messenger and customized preferences from My Yahoo! pages from their Palm handheld computers.

Earnings/revenue reports and previews

(Earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified.)

Goldman Sachs

(GS) - Get Report

posted first-quarter earnings of $1.76 a share, better than the 11-analyst estimate of $1.48 and the year-ago pro forma earnings of $1.12. Meanwhile, Goldman's board approved a share repurchase program authorizing the repurchase of up to 15 million shares of the firm's stock.

National Discount Brokers


posted third-quarter earnings of $1.10 a share, which includes a charge of 6 cents, but still far surpasses the two-analyst estimate of $1.00 and stands well above the year-ago 55 cents.

Analyst actions

This morning,

Donaldson Lufkin & Jenrette

initiated coverage on

Micron Technology

(MU) - Get Report

with a buy rating. The company is scheduled to report its fiscal second-quarter earnings after the close today. The stock soared 6 3/4 yesterday to close at 135 5/8.

Breakaway Solutions

(BWAY) - Get Report

: coverage INITIATED with a strong buy rating and a 150 price target at

W.R. Hambrecht


Cambridge Technology Partners


: coverage INITIATED with a neutral rating and a 20 price target at W.R. Hambrecht.


(CLS) - Get Report

: coverage INITIATED with a neutral rating at

Lehman Brothers




: price target UP to 120 from 60.

Cooper Cameron

TheStreet Recommends


: rating UP to buy from market perform at DLJ.



: coverage INITIATED with a strong buy rating at

Credit Suisse First Boston



(FLEX) - Get Report

: 12-month price target UP to 90 from 70 at Lehman Brothers.


(HAL) - Get Report

: rating UP to buy from market perform at DLJ.


(IDX) - Get Report

: rating UP to buy from outperform at Lehman Brothers.



: coverage INITIATED at

Warburg Dillon Read

with a buy rating.

Neose Technologies

(NTEC) - Get Report

: coverage INITIATED at Warburg Dillon Read with a buy rating.



: coverage INITIATED with a buy rating and a 12-month price target of 125 at Lehman Brothers.

Qwest Communications


: price target raised to 70 from 60 at

Thomas Weisel Partners


R&B Falcon

(FLC) - Get Report

: rating UP to buy from market perform at DLJ.


(SANM) - Get Report

: coverage INITIATED with an outperform rating at Lehman Brothers.


(SLB) - Get Report

: rating UP to buy from market perform at DLJ.

SCI Systems

(SCI) - Get Report

: 12-month price target UP to 60 from 50 at Lehman Brothers.



: 12-month price target UP to 65 from 55 at Lehman Brothers.


(STM) - Get Report

: price target UP to 240 from 195 at CSFB.

Offerings and stock actions

Robertson Stephens

priced 5 million shares of



at $14 each, above the estimated $10-to-$12 range. The company develops software based on the Linux operating system.

Lycos Europe

, a joint venture between Germany's


and U.S. portal



, set an issue price of 24 euros for shares in Lycos Europe's IPO. Lycos Europe will be valued at 5.5 billion euros or $5.35 billion when it begins trading on Frankfurt's

Neuer Markt




board authorized a 2-for-1 stock split. Separately, Teligent plans to sell 4 million shares of Class A stock in a public offering under its effective shelf registration statement.

Telcom Ventures

, a Teligent shareholder, also plans to sell 2 million shares of Teligent stock in the same offering. Teligent also said it will concurrently launch an offering of $250 million of convertible preferred stock, also under the effective shelf registration statement. The preferred shares will be convertible into shares of Teligent Class A stock and will accrue dividends at a rate which has yet to be determined.


, the Swiss financial services titan, said it plans in the first half of 2000 to list its shares on the

New York Stock Exchange

, to boost its "flexibility to benefit from potential expansion opportunities in the U.S." UBS said the listing would be in the form of Global Registered Shares, not American depositary receipts, thus creating one global stock quoted in Zurich, New York and Tokyo.


A California state jury found

Philip Morris

(MO) - Get Report


R.J. Reynolds Tobacco


misrepresented the health dangers of cigarettes and ordered it to pay $1.7 million in compensatory damages to an ex-smoker who is dying of lung cancer and to her husband,

The Wall Street Journal


The Heard on the Street column in the


takes a look at how banks report gains from their venture capital units. In one case, some analysts and investors note that a big portion of the equity gains



reported from its venture capital arm,

Chase Capital Partners

, in 1999 were unrealized, meaning that shares rose in the market after Chase's investment but weren't sold, the column reported. Conversely,

FleetBoston Financial

, which also has a big venture capital business, reports a profit on its investments only when it has the cash on hand, meaning it only reports a realized gain, the article said. The


notes that both methods are proper under accounting rules as long as the companies remain consistent over time, which is the case for both Chase and FleetBoston.

For analysis of the market's preopen tone and trends, see the Wake-Up Call, published separately.

As originally published, this story contained an error. Please see

Corrections and Clarifications.