set a multiyear pact to deliver e-business services and applications via the creation and deployment of Qwest's Internet data centers. The companies expect more than $5 billion in revenue from the agreement, which will be split almost equally between the two companies. IBM lifted 5 7/8 to 126 1/2, while Qwest Communications gained 2 13/16, or 5.9%, to 49 5/16.
in a stock swap valued at $2.5 billion. Under terms of the deal, OpenTV will acquire all of Spyglass' outstanding stock in a tax-free stock swap. Spyglass shareholders will receive 0.7236 OpenTV Series A ordinary share in exchange for each share of Spyglass stock they own. Based on OpenTV's closing price March 24, the deal values Spyglass at $122.28 a share, a whopping premium to Spyglass' closing price Friday of 69 7/8. OpenTV lost 35 7/8, or 21.2%, to 133 11/32, while Spyglass jumped 16 5/8, or 23.8%, to 86 1/2.
Mergers, acquisitions and joint ventures
, the Dutch supermarket group, said the
Federal Trade Commission
has approved its takeover of
. Ahold is buying U.S. Foodservice for $3.6 billion. Ahold fell 1 1/8 to 25 1/8, while U.S. Foodservice rose 9/16 to 25 3/4.
agreed to take a 34% stake in Japanese automaker
for $2 billion. DaimlerChrysler moved up 3/8 to 67 7/8.
has bought a controlling stake in DaimlerChrysler's IT services firm
. Deutsche Telekom dropped 13/16 to 85 5/8, while DaimlerChrysler edged up 3/8 to 67 7/8.
said it is considering strategic alternatives for its affordable housing development unit,
, including a public spinoff or a sale of all or part of Conifer. Home Properties ascended 3/16 to 27 1/4.
is in talks to buy
, the parent of
Florida Power & Light
, in a transaction valued at up to $11 billion,
The Wall Street Journal
reported, citing people familiar with the matter. FPL Group hopped 3 5/8, or 8.4%, to 46 15/16.
said it will buy a 9% stake in
for $130 million. Liberty Media rose 7/8 to 57 3/4, while IDT was up 2 11/16 to 34 5/8.
said it will sell its sweetener ingredient business to
for $440 million in cash. Monsanto lifted 3/16 to 47 7/16.
is in discussions to buy regional brokerage firm
, which is based in Nashville, the
reported, citing people familiar with the talks. The
story said PaineWebber declined to comment, while closely held J.C. Bradford said it doesn't comment on rumors. PaineWebber dropped 2 15/16, or 6.2%, to 44 1/8.
announced that Cooper will purchase Sigma's B-Line Systems business for $425 million. B-Line Systems manufactures and markets a complete line of metal products. Sigma-Aldrich stayed flat at 23 1/8, while Cooper Industries fell 3/16 to 34 15/16.
is buying privately held
Access One Communications
, a private, local telecommunications service provider to nine states in the Southeast, for $200 million in stock.
Separately, Talk.com said it reached a deal with
Soros Private Equity Partners
to invest $80 million in the company in exchange for 80,000 shares of 7% convertible preferred Talk.com stock, which is convertible into 4.5 million shares of Talk.com's common stock and warrants to acquire 200,000 shares of stock at $17.91 a share. Also, the company said a partner of Soros Private Equity Partners will join the company's board. Talk.com moved up 2 15/16, or 19.3%, to 17 3/8.
Earnings/revenue reports and previews
Earnings estimates from First Call/Thomson Financial; earnings reported on a diluted basis unless otherwise specified.
posted fourth-quarter earnings of $1.11 a share, well above the two-analyst estimate of 88 cents and the year-ago 78 cents. A.G. Edwards declined 1 1/2 to 37 3/16.
said it expects to beat 2000 earnings-per-share estimates. The current seven-analyst estimate is for $2.26 a share. Calpine lost 3 7/16 to 86 5/16.
said it will modify its earnings in response to the
Securities and Exchange Commission's
revenue policy. The company said it will take an undetermined first-quarter charge due to the accounting change. Datalink dropped 5 1/4, or 18.3%, to 23 1/2.
ESC Medical Systems
expects to report fourth-quarter sales of about $40 million and operating profit of $1 million. The company also noted that it has settled the longstanding litigation between
and ESC units
. ESC Medical Systems advanced 11/16, or 5.3%, to 13 11/16.
is taking a special charge of $80 million to bolster loss reserves and provide payment of deferred compensation and executive severance. The additional loss reserves will be used to cover write-offs in the first quarter related to a $70 million loss on a major customer of Finova's Distribution & Channel Finance unit. The remainder of the charge will be used to provide payment of deferred compensation and severance to Samuel L. Eichenfield, chairman, president and CEO, who, it was announced this morning, is taking an early retirement for health and personal reasons. Finova said that excluding the charge, the company expects to meet Wall Street's expectations for the first quarter. The company also said it's "comfortable" with meeting consensus earnings estimates for the rest of the quarters of the year. Finova fell 10 13/16, or 33.9%, to 21 1/8.
posted a fourth-quarter loss of 4 cents a share, a penny narrower than the four-analyst estimate, but wider than the year-ago loss of 3 cents a share. Red Hat fell 3 3/4, or 6.2%, to 56 3/4.
posted second-quarter earnings of 23 cents a share, a penny shy of the 17-analyst estimate, but up from the year-ago 20 cents. Walgreen declined 1 3/4, or 6.3%, to 26 1/4.
posted fourth-quarter pro forma net income of 32 cents a share, 2 cents shy of the eight-analyst estimate. Waste Management expects proceeds of $3 billion from the sale of international and nonstrategic or underperforming assets, the majority of which is expected during the second and third quarters of this year. The company plans to use $2 billion of these expected proceeds to pay down debt. Waste Management anticipates posting revenue in the range of $3 billion to $3.1 billion in the first quarter. Waste Management edged up 1/2 to 14 1/16.
Offerings and stock actions
edged up 5 /16, or 5.3%, to 6 1/8 after it said it will spin off to its shareholders the shares of its Bermuda unit and then exchange about 95% of the unit for 100% of
, an Asia-based B2B online and traditional marketplace provider.
popped 4 1/4 to 184 5/16 after it said it sold 20% of its holding in U.S. fiber-optics firm
. Philips said its first-quarter results would include a $509.7 million after-tax gain from the sale. JDS Uniphase bounced 1/2 to 133.
: NEW buy at
Deutsche Banc Alex. Brown
; 12-month price target: 70. The stock advanced 1 9/16 to 54 9/16.
: NEW buy at
Salomon Smith Barney
; 12-month price target: 80. Avenue A lost 2 13/16 to 51 7/8.
: NEW buy at
; 12-month price target: 37-38. Carbo Ceramics added 1 1/8 to 28 1/2.
: NEW buy at
; 12-month price target: 95. Cigna declined 7/16 to 75 13/16.
Donaldson Lufkin & Jenrette
: DOWN to neutral from outperform at Morgan Stanley Dean Witter. Donaldson Lufkin & Jenrette fell 8 3/8, or 12.4%, to 58 15/16.
: UP to buy from accumulate at
. Eastman Chemical lifted 1 1/4 to 44 1/8.
: UP to outperform from neutral at
Morgan Stanley Dean Witter
. IBM moved up 5 7/16 to 126 5/16.
: NEW attractive at PaineWebber; 12-month price target: 170. Intel hopped 2 5/8 to 141 5/8.
: INITIATED market outperform at
. MatrixOne slumped 3 9/16, or 6.4%, to 51 7/8.
: UP to strong buy from buy at
Banc of America Securities
; price target: 46. Nike gained 1 3/4, or 5.1%, to 35 5/8.
: INITIATED recommended list at Goldman Sachs. Niku bounced 5 1/2, or 8.4%, to 71.
: NEW strong buy at
Credit Suisse First Boston
. Onvia.com gained 1 13/16, or 5.8%, to 33.
: INITIATED at
with an intermediate-term accumulate and long-term buy rating; 12- to 18-month price target: 65. Merrill noted that Palm's stock price will be linked to
through August and "arbitrage between the two stocks could push Palm lower, 3Com higher, or both." Palm is majority-owned by 3Com. Palm slipped 1/2 to 56 1/2, and 3Com jumped 2 1/8 to 69 1/16.
: Price target UP to 190 from 97 at
Warburg Dillon Read
. Powerwave Technologies stumbled 5 7/16 to 153 1/4.
: INITIATED strong buy at CSFB; 12-month price target: 80. Rare Medium climbed 8 3/4, or 17.5%, to 58 3/4.
: 2001 earnings estimate UP to $2.33 a share from $2.30; 2002 earnings estimate UP to $2.80 a share from $2.75 at Goldman Sachs. Tiffany advanced 1 1/4 to 79 1/4.
: earnings estimates DOWN at
Thomas Weisel Partners
. Viacom declined 13/16 to 57 9/16.
TD Waterhouse Group
: UP to strong buy from neutral at Morgan Stanley Dean Witter. TD Waterhouse Group gained 2 5/16, or 10.1%, to 25 1/4.
launched an office telephone system based on Web technology. Cisco added 1 7/16 to 80 7/8.
was unchanged after it named COO Lois D. Juliber responsible for operations in Europe, Latin America, Asia, the South Pacific, Central Europe and Africa. In other company personnel news, it promoted Javier G. Teruel, to the newly created position of chief growth officer; Ian M. Cook was promoted to executive vice president, where he will continue as president of Colgate North America and have additional responsibility for Colgate Oral Pharmaceuticals, the company's professional oral care business; and Michael J. Tangney was promoted to executive vice president, where he will continue as president of Colgate Latin America, the company's largest division in terms of sales and profits.
has made a proposal to the government to settle the antitrust case against it, which makes several major concessions, the
reported. The newspaper said that while some government officials said the offer from Microsoft doesn't go far enough, others said it signaled that the software titan is serious about reaching a settlement. The
reported that under the Microsoft proposal, software and PC makers would be permitted to modify the source code underlying Windows to add rival products and that Microsoft would also offer a version of Windows without its own Internet software. Microsoft skidded 4 13/16 to 106 7/8.
bounced 3 1/4, or 7.2%, to 47 7/8 after it said William J. Lansing, former chairman and CEO of
, and a former senior exec at
, has been named CEO, succeeding Chris Kitze, who has been appointed vice chairman. General Electric slipped 2 9/16 to 156 7/8.
and its flight attendants union reached a tentative deal on a new contract this morning. The pact is still subject to ratification by the union membership. US Airways climbed 3, or 13.4%, to 25 3/8.
The Heard on the Street column in the
said quick moves by individual investors have helped power the current stretch of the nearly 10-year-old bull market run. Participation by individual investors has also contributed to the by-now familiar lurches in stock prices and soaring valuations of technology stocks, according to the report. The change comes after years in which the stock market has largely been dominated by big institutions, usually leaving small investors with the leftovers, the report said.