Compaq Reports Loss, Sees 8,000 Jobs Cut in Big Restructuring

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reported a second-quarter loss of 10 cents a share, a penny narrower than the 30-analyst

First Call

estimate. The company lost $2.33 a share in the year-ago period, including charges for its acquisition of

Digital Equipment

; First Call reports a year-ago operating profit of 2 cents a share. Compaq set plans for a major restructuring, including the elimination of 8,000 jobs. The struggling PC giant will take a third-quarter charge of $700 million to $900 million for the revamping.


said Compaq shares were unchanged after hours, having closed at 25 15/16.

In other postclose news (earnings estimates from First Call; earnings reported on a diluted basis unless otherwise specified):

Earnings/revenue reports and previews

AHL Services


posted second-quarter earnings of 30 cents a share. Before goodwill amortization associated with acquisitions, the company said it made 36 cents. The seven-analyst forecast called for operating earnings of 28 cents vs. the year-ago 18 cents.

American Italian Pasta


reported third-quarter earnings of 35 cents a share, in line with the four-analyst outlook and up from the year-ago 27 cents. The company said it expects fourth-quarter revenue growth to exceed third-quarter levels.



reported a break-even operating result for its third quarter, missing the five-analyst estimate by 3 cents and matching the year-ago result. But Energen said it expects its fiscal 1999 earnings to exceed the fiscal 1999 estimate of $1.27 a share, citing its hedge position and the strength of its utility operations.

Oak Technology


reported a fourth-quarter loss of 39 cents a share vs. the year-ago loss of 12 cents, both on items. The company provided no per-share operating results and there were no estimates. Oak also approved a buyback of up to 4 million shares over the next year.

Varian Medical Systems

(VAR) - Get Report

reported third-quarter earnings of 36 cents a share, a penny short of the three-analyst expectation but up from the year-ago 29 cents. The company said it expects fiscal 1999 revenue growth to be in the high single digits, citing increased sales of its cancer therapy systems and X-ray tubes.


(WH) - Get Report

, a distributor of


(PEP) - Get Report

products, said it expects to take a variety of second-quarter charges and gains, netting out to an after-tax charge of $59.5 million.

In other earnings news:

Mergers, acquisitions and joint ventures


(AAPL) - Get Report

agreed to invest $100 million in a

Samsung Electronics

unit, looking to ensure a supply of flat-panel displays for Apple's new notebook computers.


(BBT) - Get Report

agreed to buy

Premier Bancshares


in a stock deal valued at $624.1 million.

Offerings and stock actions

Neuberger Berman

said its principals voted to take the money-management firm public, releasing no other details as yet. The firm, with $56 billion in assets under management, intended to go public last year but canceled the plans in October amid market turmoil. Back then it planned to offer 15% of the firm to raise up to $300 million.



set a 2-for-1 stock split for shareholders of record Aug. 9. The company also named Gary Monetti CEO and selected Kimon Anemogiannis, vice president-operations, to replace him as president and COO. Monetti replaces company founder Steven Miller, who will remain chairman.



set a 2-for-1 stock split, effective Sept. 15 for shareholders of record Aug. 31.


Carnival Cruise Lines

(CCL) - Get Report

raised to 108 from 62 the number of sexual assaults committed on its ships, saying the new count includes 22 charges of rape made by passengers or crew.


International Monetary Fund

approved a new $4.5 billion loan for Russia.

News Corp.'s

(NWS) - Get Report

HarperCollins Publishers

unit said it would close the distribution center in Dresden, Tenn., and the back-office operations in Fairfield, N.J., that it acquired in buying

William Morrow


Avon Books

. The closings, affecting about 100 employees, are to occur by Dec. 31.