Updated from 3:05 p.m. EDT

Washington Mutual

(WM) - Get Report

confirmed it would pay about $1.5 billion to buy

Bank United

(BNKU) - Get Report

. The deal calls for each Bank United share to convert to 1.3 Washington Mutual shares. According to the companies, the acquisition's price is 11.6 times Bank United's 12-month earnings and 1.67 times its book value as of June 30. The purchase, which would create about $87 million in pretax savings in 2002, should add to EPS in 2002.

TheStreet.com/NYTimes.com

joint newsroom wrote about the merger in an

earlier story.

Mergers, acquisitions and joint ventures

BOK Financial

(BOKF) - Get Report

said it would buy

CNBT Bancshares

(CNBT)

, parent of

Citizens National Bank of Texas

, for $91.5 million in cash. BOK will pay about $18.22 per CNBT share, a 10% premium over the stock's 16 1/2 Friday closing price.

Engineering company

Kvaerner

said it would build a $350 million ship in Helsinki for the Italian joint venture of

Carnival

(CCL) - Get Report

and

Airtours

, called

Costa Crociere

.

Liberty Digital

(LDIG)

agreed to make a $275 million investment in

Sony's

(SNE) - Get Report

Game Show Network

. The investment would give Liberty a 50% stake in the network.

Motorola

(MOT)

said it was awarded China's approval to invest $1.9 billion in telecom equipment and semiconductor facilities in Tianjin. According to spokesman Michael Ning, the latest funding makes Motorola China's biggest foreign investor, with investments totaling $3.5 billion.

Packard BioScience

(PBSC)

will buy the life-sciences business of

GSI Lumonics

(GSLI)

for a combination of cash and stock worth about $120 million.

SafetyTips.com

has offered to buy online news service

APB.com

, which filed for bankruptcy in July, for $950,000, according to an internal electronic mail distributed to the crime Web site's employees. The internal email said SafetyTips.com, which is backed by

Rare Medium Group

(RRRR)

and

Apollo Management

agreed to lend APB.com debtor-in-possession financing that would allow it to continue operating through the sale.

The management of

Seagram's

(VO) - Get Report

liquor and wine division will probably launch an offer for the unit when it is auctioned off by Seagram's acquirer,

Vivendi

, reported

The Wall Street Journal

.

Transocean Sedco

(RIG) - Get Report

entered a $8.8 billion deal to purchase

R&B Falcon

(FLC) - Get Report

. According to the terms, R&B Falcon stockholders would get 0.5 shares of Transocean for each share of R&B they own. Transocean will also assume $3 billion of R&B's debt.

TheStreet.com/NYTimes.com

joint newsroom wrote about the

deal in an earlier story.

Whitman

(WH) - Get Report

said it agreed to buy

PepsiAmericas

(PAS)

. The terms call for Whitman to pay $3.80 in cash for each share of PepsiAmericas, while taking on about $330 million of debt.

After Friday's Close

Avis

(AVI)

announced that its board of directors has formed a committee to consider a proposal from

Cendant

(CD)

. Business-services provider Cendant last Tuesday offered to buy the outstanding shares of the car rental company it does not currently own for $29 a share in cash, or about $750 million.

Last week, Avis stock jumped more than 21%.

General Electric's

(GE) - Get Report

financial services arm,

GE Capital

, is close to buying

Chartered Trust

, the consumer finance business of U.K.-based banking group

Standard Chartered

, according to the

Sunday Telegraph

. The paper said

Associates First Capital

, the leasing business spun off by

Ford

(F) - Get Report

, and

General Motors'

(GM) - Get Report

leasing business,

GMAC

, are also believed to have put in bids for Chartered Trust.

Swissair

is trying to put a crimp in the merger talks between

British Airways

(BAB) - Get Report

and

KLM Royal Dutch Airlines

(KLM)

by offering itself as a partner to British Airways, according to the U.K.'s

Financial Mail

.

A Swissair spokesman declined to comment on the rumors, according to

Reuters

-- except to say that whenever there are merger talks in the airline business, "Swissair's name automatically always comes up."

Wal-Mart

(WMT) - Get Report

is considering a

6 billion ($9 billion) bid for

Boots

, the British health products retailer, the

The Independent

reported Sunday.

Despite its acquisition of supermarket chain

Asda

last year, Wal-Mart has so far been stymied in its push to develop a large U.K. presence. The acquisition would mark a departure from the usual for Wal-Mart, however, as the Boots chain is somewhat high-end.

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Analyst actions

Lehman Brothers

added

Vodafone AirTouch

(VOD) - Get Report

to its recommended global portfolio. The firm also said that it upped its telecom weighting to 8% from 6%.

Meanwhile,

Morgan Stanley Dean Witter

rolled out coverage of the telecom giant with a strong buy rating.

Upgrades

Enron

(ENE)

: price target UP to 105 from 75 at

Banc of America

; price target to 115 from 97 at

Donaldson Lufkin & Jenrette

.

Dura Pharmaceuticals

(DURA) - Get Report

: 12-month price target UP to 35 from 28 at

ING Barings

.

Highwoods Properties

(HIW) - Get Report

: UP to market outperform to market perform at

Goldman Sachs

.

Intel

(INTC) - Get Report

: fiscal 2000 EPS UP to $1.74 a share from $1.70 at Lehman Brothers; fiscal 2001 EPS UP to $1.90 from $1.85.

Tyco

(TYC)

: price target UP to 75 a share from 65 at Banc of America.

VeriSign

(VRSN) - Get Report

: UP to intermediate-term buy from accumulate at

Merrill Lynch

; calendar 2000 EPS UP to 24 cents a share from 21 cents; calendar 2001 EPS UP to 47 cents a share from 43 cents.

Downgrades

AFLAC

(AFL) - Get Report

: DOWN to neutral from outperform at Lehman Brothers.

Deutsche Bank

(DTBK)

: DOWN to intermediate-term neutral from accumulate at Merrill Lynch.

Falcon

(FLC) - Get Report

: DOWN to neutral from buy at

PaineWebber

.

PerkinElmer

(PKI) - Get Report

: DOWN to market performer from buy at Banc of America.

Initiations

Apria Healthcare

(AHG)

: NEW buy at DLJ; mid-20s price target.

Blue Martini Software

(BLUE) - Get Report

: NEW buy at

U.S. Bancorp Piper Jaffray

; added to recommended-for-purchase list at Goldman Sachs.

Coca-Cola Femsa

(KOF) - Get Report

: NEW buy at

J.P. Morgan

; price target: 27.

Gemini Genomics

(GMNI)

: NEW buy at

Chase Hambrecht & Quist

; price target of 22; NEW strong buy at

SG Cowen

.

IMS Health

(RX)

: NEW buy at

Salomon Smith Barney

; price target: 23.

KeySpan

(KSE)

: NEW outperform at Lehman Brothers; price target: 42.

Mainspring

(MSPR)

: NEW outperform at Morgan Stanley; price target: 24; NEW buy at Chase H&Q, price target: 25.

Sonus Networks

(SONS)

: NEW buy at Piper Jaffray; 12-month price target: 214.

TyCom

(TCM)

: NEW intermediate accumulate, long-term buy at Merrill Lynch; NEW buy at

UBS Warburg

with a 12-month price target of 63; and NEW buy at J.P. Morgan with a 12-month price target of 63.

Group Moves

Lehman Brothers changed ratings on three financial stocks:

  • Commerce Bancorp (CBH) - Get Report: DOWN to outperform from buy.
  • Commerce Bancshares (CBSH) - Get Report: UP to buy from outperform.
  • Cullen/Frost Bankers (CFR) - Get Report: DOWN to neutral from outperform.

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Offerings and stock actions

Internet consulting firm

Fort Point Partners

said it was withdrawing plans to launch a $69 million IPO. The company didn't give a reason for the withdrawal, though others have dropped IPOs because of "unfavorable" market conditions. The company had applied for a Nasdaq listing under the symbol "FTPT."

McClain Industries

(MCCL)

, a manufacturer of waste-disposal equipment, announced that it will repurchase up to 100,000 of its own shares.

ReplayTV's

IPO is the latest casualty of unfavorable market conditions. The company has canceled the plan to offer 8.5 million share in a price range of $13 to $15 a share. ReplayTV had applied for a Nasdaq listing under the ticker "RPTV."

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Miscellany

Ford

(F) - Get Report

said it will idle production for two weeks in three truck-assembly plants to free up about 70,000 tires for the Firestone recall efforts,

Reuters

reported. The move, which cuts Ford's third-quarter production schedule by 25,000 units, will have an impact on earnings.

The

Securities and Exchange Commission

announced that the Japanese unit of

Boston Scientific

(BSX) - Get Report

recorded more than $75 million in false sales in 1997 and 1998. According to the SEC, employees of the Japan unit "carried out a scheme to record false sales to independent distributors in order to boost Boston Scientific Japan's sales revenue." Boston Scientific, a manufacturer of medical devices, consented to an SEC order to cease and desist from committing violations without admitting or denying SEC findings.

Biotechnology company

MedImmune

(MEDI)

announced that it will speed up by several months its planned appointment of CFO David Mott as chief executive.

The

Federal Trade Commission

has called for additional information to complete its antitrust review of

Philip Morris'

(MO) - Get Report

acquisition of

Nabisco Holdings

(NA)

, according to Philip Morris. This type of request however is common for transactions this size.

Verizon

(VZ) - Get Report

, the company formed by the merger of

GTE

and

Bell Atlantic

, tentatively settled negotiations with striking workers Sunday.

About 87,000 telephone operators and technicians walked off the job 15 days ago when their contracts expired. At issue was what the representative unions said were excessive overtime hours, as well as forced relocation and job security due to the merger.

TheStreet.com/NYTimes.com

joint newsroom covered the

negotiations in an earlier story.

After Friday's Close

Bristol-Myers Squibb

(BMY) - Get Report

was getting a lift after a positive cover story in

Barron's

.

Barron's

contended that the third-largest U.S. drug-maker is undervalued. The magazine pointed out that the company has a number of drugs that are in late-stage testing or awaiting government approval. Moreover, its second-biggest seller, the ovarian-cancer treatment

Taxol

, may avoid expected competition from generic drug manufacturers for more than two years.

Compaq

(CPQ)

CEO Michael Capellas told

Reuters

on Friday that the computer industry is seeing strong demand, but that there are severe component shortages.

"I don't think there's any question there's a component shortage like we've never seen in the industry," he said in the interview. "We are absolutely facing it like everybody else." Capellas reconfirmed that the company would match analyst expectations that Compaq would earn $1.08 per share this year.

The

Federal Aviation Administration

is expected to push for the accelerated inspection of 2,500

General Electric

(GE) - Get Report

commercial aircraft engines to look for possible hazardous cracks, reported

The Wall Street Journal

.

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