Updated from 2:05 p.m. EDT

Shares of

Euro Tech Holdings

(CLWT) - Get Report

vaulted to the top of the technology leader board Tuesday after the Hong Kong-based company reported fiscal 2003 earnings.

The company earned 12 cents a share on sales of $27.4 million, vs. year-ago earnings of 11 cents a share on sales of $23.5 million. Euro Tech said that diversifying into engineering and manufacturing led to the company's year-over-year gains.

Euro Tech also declared a stock dividend: Shareholders will receive 5 shares of stock for every 10 shares they hold as of July 19. Shares of Euro Tech Holdings traded up $4.74, or 154.8%, to $7.80.

Flextronics International

( NT) jumped after it agreed to purchase most of

Nortel's

( NT) manufacturing operations.

Flextronics will buy Nortel's manufacturing operations in Canada and Brazil and anticipates acquiring operations in France and Northern Ireland. Nortel expects estimated cash proceeds of $675 million to $725 million.

In addition to the purchase, the two companies also agreed to an outsourcing agreement, with Flextronics managing about $2.5 billion of Nortel's cost of sales. Shares of Flextronics International traded up 61 cents, or 4%, to $15.98.

Shares of

Novell

( NOVL) rose modestly after software company announced the sale of $500 million in convertible senior debentures. Novell also granted purchasers a 30-day option to purchase an additional $100 million of debentures. The debentures will be convertible into shares of Novell at a conversion rate of 86.79 shares per $1,000 principal amount of debentures, which translates into about $11.52 a share. Shares of Novell traded up 10 cents, or 1.2%, to $8.32.

Manugistics

(MANU) - Get Report

rose after it was selected by

Sears

(S) - Get Report

to provide demand planning and replenishment planning solutions for Sears' core merchant processes. Manugistics' products will enable Sears to improve its forecast accuracy at its 870 full-line stores. Shares of Manugistics traded up 15 cents, or 4.7%, to $3.27.

Shares of

Wireless Facilities

( WFII) rose after Credit Suisse First Boston initiated coverage on the stock with an outperform rating. CSFB slapped an $11 price target on the company and said that it expects earnings per share growth of about 16% over the next three to five years. Shares of Wireless Facilities traded up 60 cents, or 6.4%, to $9.96.

Technology volume leaders included

Microsoft

(MSFT) - Get Report

, up 22 cents to $28.50;

Intel

(INTC) - Get Report

, up 22 cents to $27.60;

Cisco

(CSCO) - Get Report

, up 41 cents to $23.71;

Sirius Satellite Radio

(SIRI) - Get Report

, up 1 cent to $3.08;

Oracle

(ORCL) - Get Report

, up 14 cents to $11.77;

Applied Materials

(AMAT) - Get Report

, up 78 cents to $19.63;

JDS Uniphase

(JDSU)

, up 2 cents to $3.83;

Taser International

(TASR)

, down $3.18 to $39.76;

Nortel Networks

( NT), up 25 cents to $4.99; and

Lucent

( LU), up 4 cents to $3.79.