Evening Update: PepsiCo Expects Earnings Boost From Frito-Lay Sales

PepsiCo

(PEP) - Get Report

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

(SEG)

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

Silver Lake Partners

, that includes its management in a complex deal that would sell its 33% stake in

Veritas Software

(VRTS) - Get Report

back to that company.

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 Seagate's acquisition, check out a

story written this evening by

TheStreet.com-NYTimes.com

joint newsroom.

Separately,

Standard & Poor's

said that Veritas would replace

Pep Boys

(PBY) - Get Report

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

S&P 500

. S&P added that

Edwards Lifesciences

(EW) - Get Report

will fill Veritas' former spot in the

S&P MidCap 400

and Pep Boys would take over 911 services provider

Rural/Metro

(RURL)

in the

S&P SmallCap 600

.

In other postclose news (earnings estimates from

First Call/Thomson Financial

; earnings reported on a diluted basis unless otherwise specified):

Mergers, acquisitions and joint ventures

Telco AAPT

and

America Online

(AOL)

said they have entered a joint pact to run the AOL Australia unit. Both parties would hold a 50% interest in the venture, which would set up a Web portal using AOL wireless technologies to the domestic wireless consumer market. The financial terms of the deal not released.

Earnings/revenue reports

Cabletron

(CS) - Get Report

, a computer networking manufacturer, posted fourth-quarter pro forma earnings of 15 cents a share, a penny better than the 13-analyst estimate and up from the year-ago 2-cent profit.

Chairman and CEO Piyush Patel said the Cabletron is ready to covert itself into a holding company and four separate units which would concentrate on Internet infrastructure. Cabletron said it would spin off these four companies to shareholders.

4Front

(FFTI) - Get Report

, a information technology provider, reported fourth-quarter earnings of 11 cents a share, a penny better than the three-analyst estimate but down from the year-ago 16-cent profit. The company said it would assume a $15 million reorganization charge in the first half of fiscal 2001 to boost its e-business and consolidate operating expenses.

Finish Line

(FINL)

, a sportswear retailer, reported fourth-quarter earnings of 26 cents a share, beating the six-analyst estimate of 20 cents a share but down from the year-ago 27-cent profit.

Offerings and stock actions

Micron Technology

(MU) - Get Report

set a 2-for-1 stock split.

For a look into this evening's after-hours trading action, please check out

TheStreet.com's

The Night Watch.