Metromedia Fiber Network
received an extension on two big financing agreements, but warned that it would file for bankruptcy if financing agreements are not completed. The company was facing a
deadline on Friday.
Earnings, Warnings & Reports
said same-store sales fell 21% in the second quarter, while total sales dropped 19% to $2.04 billion. CarMax, the company's used car subsidiary, is expected to contribute 18 cents to 19 cents a share to first half results, the company said. Same-store sales rose 27% for the quarter ended Aug. 31.
said its domestic subscriber additions and operating cash flow will be higher in the third quarter than they were in the second.
said its same-store sales fell 2% in August. Total comparable sales for franchise and dealer stores dropped to $379.1 million, from $379.8 million.
Lehman Brothers cut its 12-month price target on
to $17 from $20 and brought down its 2002 earnings estimate to 17 cents, from 25 cents. On Thursday, Motorola said its third-quarter sales would be flat with second-quarter sales, which was below its previous guidance of a 5% increase.
Mergers & Acquisitions
agreed to acquire Applied Epi, a maker of parts for semiconductors used in the telecommunications sector, for $102 million in stock and about $30 million in cash.
said Bruce Swinsky, president of its U.S. and Canada consumer imaging business, will leave the company and be succeeded by Gerald Quindlen.
would not sell its stake in the a European datacommunications company, because KPN needs the approval of its joint-venture partner
, which it will not get, according to published reports.
After Thursday's Close
filed to sell $1 billion in common stock periodically. The company said it would use the proceeds for general corporate purposes.
said it expects third-quarter revenue to be in the lower half of the $6.2 billion to $6.8 billion range it gave in July.
announced its officers and corporate vice presidents will forego 10% of their salaries to help the company regain profitability. The rest of the company's U.S. employees will take a 5% salary cut at the start of next year.
said it earned 33 cents in the third quarter, matching the consensus estimate, but warned of a slight shortfall for the full year. The company said it expects to make between $1.50 and $1.55 for the year, just shy of the $1.56 analysts are expecting.