Drug Wars Intensify as Pfizer Sharpens Its Lawsuit Against Warner-Lambert/American Home Merger

Quintas' IPO also priced by DLJ after Monday's closing bell
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Pfizer (PFE) - Get Report stepped up its efforts to throw a wrench into the proposed merger of Warner-Lambert (WLA) and American Home Products (AHP) .

Today, Pfizer sharpened its legal tools by filing an amendment to its Nov. 4 lawsuit against Warner-Lambert and American, to request that their proposed merger be blocked by a Delaware court until Warner considers Pfizer's competing offer. Pfizer also wants the court to grant it the right to wage a proxy fight to unseat the current Warner board, reduce the size of the board to seven directors and elect an independent slate.

The amendment comes ahead of Pfizer scheduled meeting with analysts tomorrow to discuss pipeline drugs and projected earnings growth.

The initial public offering of communications software developer



was priced at $18 a share, above the expected $15 to $17 estimated range. Lead underwriter

Donaldson Lufkin & Jenrette

said the number of shares was raised to 4.5 million from 4 million.

After-Hours Trading





after releasing its first-quarter earnings.


joint newsroom has the

story .

Due to technical difficulties,

Island ECN's

list of most active stocks was not available this evening.

MarketXT, formerly Eclipse Trading, offers after-hours trading to retail clients of Morgan Stanley Dean Witter's (MWD) Morgan Stanley Dean Witter Online and Mellon Bank's (MEL) Dreyfus Brokerage Services. Clients can trade 200 of the most actively traded New York Stock Exchange and Nasdaq Stock Market issues, 4:30 p.m. to 8 p.m. EST Monday through Thursday.



explains how the rules change when the sun goes down in Investing Basics: Night Owl, a section devoted to after-hours trading.


Eric Gillin

In other post-close news (earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified):

Earnings/revenue reports and previews


(CR) - Get Report

said it sees fourth-quarter operating net between 15% and 20% lower than last year. The company said its expectations exclude restructuring charges.


(DCI) - Get Report

posted first-quarter earnings of 36 cents a share, beating the four-analyst estimate of 34 cents and the year-ago 28 cents.

Gibson Greetings


posted a third-quarter loss of 63 cents a share, worse than the single-analyst estimate of break-even results and the year-ago loss of 6 cents.

Hot Topic


posted third-quarter earnings of 87 cents a share, blowing past the four-analyst estimate of 74 cents and the year-ago 36 cents. The company said same-store sales were up 26.1% in the latest quarter.



reported first-quarter pro forma earnings of 1 cent a share, in line with the 18-analyst estimate and up from a year-ago loss of 3 cents a share. The company told analysts that acquisitions will remain an important part of its growth in the coming months. For a closer look at the

results, check out the story from


joint newsroom.

MMC Networks


said it expects to report revenues of $11 million to $13 million in the fourth quarter and a possible slight loss per share. The company said its results for the quarter will be significantly below current expectations because of lower sales to its largest customer

Cisco Systems

(CSCO) - Get Report

. The current 13-analyst estimate for MMC calls for earnings of 10 cents a share in the fourth quarter.


(REV) - Get Report

posted a third-quarter loss of $3.12 a share, slightly narrower than the seven-analyst expected loss of $3.15 a share, but down sharply from year-ago earnings of 11 cents a share. Revlon also said it expects 1999 losses to be worse than the earlier estimates of between $70 million and $80 million, but did not say by how much.

Roper Industries

(ROP) - Get Report

said it expects fourth-quarter earnings to range between 46 and 48 cents a diluted share. The current nine-analyst estimate calls for earnings of 47 cents a share.


(TOO) - Get Report

posted third-quarter earnings of 15 cents a share, beating the six-analyst estimate of 12 cents a share, and the year-ago 11 cents a share. The company said third-quarter same-store sales rose 7%, and said year-ago results reflect interest expense on the company's current capital structure.

Mergers, acquisitions and joint ventures

American Airlines'





British Airways

(BAB) - Get Report

said they asked the

U.S. Department of Transportation

for permission to code-share on some routes. The two airlines said they intend to share flights to about 75 destinations including Europe, the U.S. and Africa.

Forest Laboratories


said it was negotiating for an early end to a co-promotion deal with Warner-Lambert involving a top-selling antidepressant, Celexa. Forest said it wants to phase Warner out of the co-promotion so that it can use more of its own sales force to promote the drug. The agreement was originally expected to end in 2001.


(PKI) - Get Report

said the

Federal Trade Commission

approved its announced $62.5 million acquisition of

Vivid Technologies




(QCOM) - Get Report

said it will invest $200 million in

Korea Telecom Freetel