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PepsiCo

(PEP) - Get PepsiCo Inc. Report

said it sees its first-quarter earnings in line with the

First Call/Thomson Financial

13-analyst estimate of 28 cents a share. The company attributed the solid profit to strength in its

Frito-Lay

snack food division and its juice business, but added that high prices were problematic for its North American Pepsi-Cola unit.

Chairman and CEO Roger Enrico said he also expects fiscal 2000 earnings to meet the 16-analyst estimate of $1.38 a share. Enrico said the company's share repurchasing program is being exercised faster than expected.

Seagate Technology

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, the leading maker of computer disk drives, said it would be acquired by an investor group,

Silver Lake Partners

, in a complex deal that also provides for the sale of Seagate's 33% stake in

Veritas Software

(VRTS) - Get Virtus Investment Partners Inc. Report

back to that company.

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TheStreet Recommends

The Veritas stake accounts for most of Seagate's stock market value. The companies valued the stock and cash deal at $20.2 billion.

For more on the deal, check out a

story written last night by

TheStreet.com-NYTimes.com

joint newsroom.

Mergers, acquisitions and joint ventures

BellSouth

(BLS)

and

SBC Communications

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could announce as early as next week an agreement to merge their U.S. cellular phone systems, according to

The Wall Street Journal

.

British Telecommunications

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,

AT&T's

(T) - Get AT&T Inc. Report

AT&T Wireless Services

and

Microsoft

(MSFT) - Get Microsoft Corporation Report

unveiled plans to cooperate in the wireless Internet arena. The companies said they'll get together to develop new wireless broadband applications for consumer and business markets.

Online broker

E*Trade

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set a marketing pact with hotel giant

Marriott International

(MAR) - Get Marriott International Report

.

Nationwide Mutual Insurance

, a U.S. insurer, is acquiring

Gartmore Investment Management

, an investment management concern, from

Royal Bank of Scotland Group

for $1.6 billion.

Nortel

(NT)

said it had raised its ownership in joint ventures with Germany's

DaimlerChrysler

(DCX)

and France's

Aerospatiale-Matra

to give it more leverage to expand into Europe's high-tech market.

Separately, DaimlerChrysler confirmed a report that it was in cooperation talks with South Korea's

Hyundai Motors

only days after announcing an allegiance with Japan's

Mitsubishi Motors

.

Earnings/revenue reports and previews

(

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

)

Adelphia Communications

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, a cable company based in Coudersport, Pa., posted a fourth-quarter loss of $1.05 a share, a little worse than the two-analyst estimated loss of $1.03, but narrower than the year-ago loss of $1.06.

Supervalu

(SVU)

posted fourth-quarter earnings of 52 cents a share, a penny better than the six-analyst estimate and better than the year-ago 45 cents.

Offerings and stock actions

Warburg Dillon Read

priced 4.5 million shares of

Luminex

(LMNX) - Get Luminex Corp Report

at $17 each, the lower end of the estimated $17-$19 range. The Austin, Texas-based company develops technology designed to simplify biological testing for the life sciences industry.

Aztec

(AZTC)

said it is proceeding with plans for an IPO of 20% of its e-solutions unit. The company also said it is making significant progress in divesting nonstrategic voice and data units.

Micron Technology

(MU) - Get Micron Technology Inc. Report

set a 2-for-1 stock split.

Nexell

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said it plans a 1-for-4 reverse split.

Regeneron

(REGN) - Get Regeneron Pharmaceuticals Inc. Report

said its 2.6 million share offering is priced at $29.75 a share.

Analyst actions

Warburg Dillon Read announced research changes on the following financial sector stocks:

Bank of America

(BAC) - Get Bank of America Corporation Report

UP to hold from reduce and price target lifted to 63 from 55;

First Union

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UP to buy from strong buy;

Huntington Bancshares

(HBAN) - Get Huntington Bancshares Incorporated Report

DOWN to hold from buy;

KeyCorp

(KEY) - Get KeyCorp Report

DOWN to hold from buy ;

Northern Trust

(NTRS) - Get Northern Trust Corporation Report

DOWN to hold from buy;

Wells Fargo

(WFC) - Get Wells Fargo & Company Report

UP to strong buy from buy and price target UP to 60 from 52.

Battle Mountain Gold

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: DOWN to market perform from buy at

Deutsche Banc Alex. Brown

.

DSP Group

(DSPG) - Get DSP Group, Inc. Report

: price target UP to 80-85 from 70-75 at

SG Cowen

.

Enron

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: price target UP to 90 from 80 at

PaineWebber

.

Isle of Capri Casinos

(ISLE)

: NEW buy with $14 price target at Alex. Brown.

Razorfish

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: NEW buy with a price target of 47 at

J.P. Morgan

.

Sapient

(SAPE)

: NEW buy and a price target of 130 at

W.R. Hambrecht

.

Silicon Storage Technology

(SSTI) - Get ShotSpotter Inc. Report

: NEW rating of strong buy and price target of 120 a share at

Credit Suisse First Boston

.

Sycamore Networks

(SCMR)

: rating UP to buy from neutral; price target set at 200 at

Lehman Brothers

.

U.S. Home & Garden

(USHG) - Get AGFiQ Dynamic Hedged U.S. Equity ETF Report

: rating DOWN to hold from outperform at

ABN AMRO

.

VA Linux Systems

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: NEW buy at

W.R. Hambrecht

.

Williams Communications

(WMB) - Get Williams Companies Inc. (The) Report

: rating UP to attractive from neutral at PaineWebber.

Miscellany

Standard & Poor's

said that Veritas would replace

Pep Boys

(PBY) - Get Prospect Capital Corporation 6.25 % Notes 2018-15.06.28 Report

(but what'll happen to Manny, Mo and Jack?) in the

S&P 500

. S&P added that

Edwards Lifesciences

(EW) - Get Edwards Lifesciences Corporation Report

will fill Veritas' former spot in the

S&P MidCap 400

and Pep Boys would fill in for 911 services provider

Rural/Metro

(RURL)

in the

S&P SmallCap 600

.

The Heard on the Street column in the

Journal

said Wall Street's concerns about

Globalstar Telecommunications

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have put chairman Bernard Schwartz and his team on the defensive. Amid disappointing early subscriber sign-ups, phone distribution problems and regulatory holdups, the company is slashing prices and hoping for more time to show progress to its investors.