Tech Stocks in Motion

Silicon Image hammered on director resignations.
Publish date:

Updated from 12:35 p.m. EDT

Shares of

Silicon Image


were among technology's losers Monday, falling 17.3% after the chipmaker said that four of its directors abruptly resigned.

As a result of the departures, which occurred on Sunday, the company is now out of compliance with


rules regarding the number of independent directors.

Christopher Paisley, chairman and a member of the audit committee, and David Courtney, chairman of the audit committee, resigned because of a disagreement over whether David Lee should be renominated to the company's board. Keith McAuliffe, chairman of the compensation committee, left because of the events surrounding the question of whether Lee should be renominated. Finally, Richard Sanquini resigned without offering an explanation.

The exodus leaves the company with just three board members, meaning that a majority of its directors are not independent. Silicon Image said that it would move as quickly as possible to bring itself back into Nasdaq compliance. Shares traded down $1.99 to $9.50.

Dolby Laboratories

(DLB) - Get Report

rose 5.7% after the company said that a district court ruled that Dolby did not infringe on two of

Lucent Technologies'


patents. A district court for the Northern District of California granted summary judgment to Dolby, saying -- according to Dolby -- that Lucent did not present evidence from which a reasonable fact-finder could find that Dolby AC-3 technology infringed on either patent. The remaining issues surrounding the patent dispute will be heard at trial beginning in early September. Shares of Dolby traded up $1.08 to $19.98.

Shares of



fell 5.3% after the company agreed to be acquired by private equity group Hellman & Friedman for about $1.1 billion, or $8.50 a share in cash. The $8.50-a-share price tag represents a slight discount to Friday's closing price of $8.57, but shares of DoubleClick had risen steadily on buyout rumors over the past week. The deal, which is subject to customary closing conditions, is expected to close during the third quarter of 2005. Shares traded down 45 cents to $8.12.


(KOPN) - Get Report

rose 8.3% after the company previewed first-quarter earnings that topped expectations. The maker of digital imaging and telecom technologies expects to post a profit of 1 cent to 3 cents a share on sales of $18.6 million to $19.6 million. Analysts polled by Thomson First Call were expecting a loss of 3 cents a share on sales of $19 million. The company said that a reimbursement from a joint venture, strength from higher margin business and the sale of previously written-off inventory led to the better-than-expected results. Kopin plans to post first-quarter results on April 28. Shares traded up 24 cents to $3.15.

Shares of

SBC Communications


rose modestly after the company posted first-quarter earnings that beat expectations by a penny. Excluding items, the phone company earned $1.1 billion, or 34 cents a share, on sales of $10.2 billion. Analysts were expecting earnings of 33 cents a share. A year ago, the company earned $1.94 billion, or 58 cents a share, on sales of $10.1 billion. During the most recent quarter, SBC said that it added 504,000 broadband customers, bringing the total to 5.6 million. It added 1.1 million long-distance lines during the quarter, bringing the total number of long-distance lines to 22 million. Shares traded up 12 cents to $23.32.

Other technology movers included


(MSFT) - Get Report

, up 1 cent to $24.99;


(INTC) - Get Report

, up 17 cents to $23.41;


(CSCO) - Get Report

, up 5 cents to $17.48;


(ORCL) - Get Report

, up 15 cents to $12.07;


(EBAY) - Get Report

, up 4 cents to $31.55;

Apple Computer

(AAPL) - Get Report

, up $1.48 to $36.98;

Lucent Technologies


, up 2 cents to $2.54; and



, up 62 cents to $35.49.