projected annual sales growth of about 15% for 2002 with "continuing good profitability." The company also forecast sales growth of 25% to 35% by the fourth quarter of 2002 at the latest. The mobile handset maker estimated that 420 million to 440 million cell phones will be sold globally in 2002, but the company now sees 380 million phones being sold in 2001. The company continues to expect 1 billion mobile phone subscribers during the first half of next year and projected a total of 1.5 billion subscribers by 2005.
Earnings Reports and Warnings
posted a third-quarter loss of 25 cents a share, excluding items. Analysts were looking for a loss of 27 cents. Sales fell 2.2% to $8.02 billion. Same-store sales fell 1.5% in the quarter. "We are committed to our long-term strategy to be the authority for Mom focusing on her two most emotional purchases by providing her value pricing on her everyday needs and a quality selection for her home and children's needs," the company said in a press release. "We are focused on eliminating Kmart's liabilities and building a bridge of trust with Mom so that she can rely on us day in and day out."
reported third-quarter earnings of 10 cents a share, matching estimates, but the retailer warned that fourth-quarter income may come in at 35 cents to 45 cents a share, well short of the consensus expectation of 70 cents. "Based on our initial results from the beginning of the peak retail holiday selling season in the fourth quarter, we believe that our business for the balance of the year will be softer than originally expected," the company said in a press release. Men's Wearhouse also lowered its guidance for the full year.
Mergers, Acquisitions & Joint Ventures
a nonexclusive license to research, develop and commercialize small molecule therapeutics against a broad spectrum of hepatitis C virus drug targets contained in the HCV genome. Financial terms of expanded license agreement weren't disclosed.
Legend QDI selected
as the major supplier of power control and conversion products for QDI motherboards for personal computers using
Pentium 4 processors. Legend QDI is the largest computer motherboard manufacturer in China.
Level 3 Communications
signed a services deal with AmericaOnline, a division of
AOL Time Warner
. America Online will purchase Level 3's (3)Link Global Wavelength and (3)Center Colocation services in North America. The Internet service provider will also purchase (3)Link Private Line services connecting North America to several cities in Europe. Financial terms of the deal weren't disclosed, but Level 3 described the arrangement as a multiyear pact.
agreed to merge in a stock swap that will create the second-biggest geophysical service provider in the world. Under the terms of the agreement, valued at more than $770 million, both companies will become wholly owned subsidiaries of an as yet unnamed holding company. Petroleum would end up with control of about 60% of the combined company, with Veritas owning the rest. Petroleum shareholders will get 0.47 shares in the combined company for each share they own, giving them a $7.54 a share value and placing a 38% premium on the stock's Monday closing price of $5.46. Pending approval, the companies expect to complete the merger by next spring.
, the Linux operating system distributor, agreed to provide open source software, services and support for the entire
eServer product line.
named two former Dupont Pharmaceuticals executives to top posts. The marketer of genetic databases named Paul Friedman chief executive, replacing Roy Whitfield, who was appointed Incyte's chairman. Friedman was previously president of Dupont Pharmaceuticals Research Laboratories. The company also named Robert Stein president and chief scientific officer. Stein was Dupont Pharmaceuticals executive vice president of research and preclinical development. Dupont Pharmaceuticals has been sold by
said a patent infringement case with
took another turn against the chip technology designer. A Virginia court handed down an injunction to prevent Rambus from enforcing certain patents against some Infineon products. Rambus said the order was "largely as expected." The company plans to appeal the ruling.