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Change In Ratings | Stock Comments / EPS Changes | Strategy Calls / Market Calls | Economics | Meetings | View Archived StreetNotes

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American Eagle Outfitters (AEOS / Nasdaq)
Dain Rauscher
Initiating coverage with a Buy-aggressive rating. November salesannounced earlier below plan, but valuation remains very attractive longer-term.

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AFC Enterprises (AFCE / Nasdaq)
Robertson Stephens
Downgrading to Market Perform from Buy based on valuation. Target $25. Raising 2001 EPS 1c to $1.20 and 2002 down 1c to $1.50.

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Arthur J. Gallagher & Co. (AJG / NYSE)
JP Morgan Chase & Co.
Initiating with a Buy, $45 PT. 02E EPS $1.65, 03E $2.00. 4th largest insurance broker in US. Rising rates should drive margin expansion to higher end of historical range.

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Abercrombie & Fitch Co. (ANF / NYSE)
Dain Rauscher
Transferring coverage with a Buy-Aggressive rating. Near-term sales trends very weak, but valuation intriguing

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Claire's Stores (CLE / NYSE)
Dain Rauscher
We are initiating coverage with a Neutral rating on Claire's Stores. We remain cautious toward the company's near-term outlook.

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Copart (CPRT / Nasdaq)
Credit Suisse First Boston
Initiating coverage with a Buy rating and $42 price target. We believe the company has a natural monopoly in the salvage auto auction industry.

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Centillium Communications (CTLM / Nasdaq)
Smith Barney Shearson
Upgrading from Neutral to Buy, target $12. ADSL subscriber in Japan jumping 100% in October to 271k. 90% of sales are derived from ADSL chipsets targeted at the Japanese market.

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CVS Corporation (CVS / NYSE)
Merrill Lynch
Raising our near-term rating from Neutral to Accumulate. We believe same-store sales will start to ramp from here, which should bring the stock off of its historicallly low valuation.

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Dianon Systems (DIAN / Nasdaq)
Piper Jaffray
Initiating coverage with a Buy rating and $55 target. Leading provider of anatomic pathology services, focused primarily on cancer diagnostics. Can generate at least 20% revenue growth and 30% EPS growth for the foreseeable future.

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Dover Corporation (DOV / NYSE)
Credit Suisse First Boston
Initiating coverage with a Hold rating.

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DSP Group (DSPG / Nasdaq)
Smith Barney Shearson
Initiating coverage with a Buy rating and $30 target. Leader in the development and marketing of DSP (Digital Signal Processing) products.

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Energen Corporation (EGN / NYSE)
Merrill Lynch
Lowering near-term rating from Accumulate to Neutral. We believe investor sentiment will move downward along with the Oil and Gas commodity prices.

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El Paso Corporation (EPG / NYSE)
Merrill Lynch
Lowering our near-term rating from Buy to Accumulate with a $57 price target.

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Equitable Resources (EQT / NYSE)
Merrill Lynch
Reducing our long-term rating from Buy to Accumulate.

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Erie Indemnity Company (ERIE / Nasdaq)
JP Morgan Chase & Co.
Initiating with a Buy, $50 PT. Co is paid a fee to manage the operations of the insurance exchange, retains little nderwriting risk and is the best way to play the impending turn in the PPA market, in our view.

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Erie Indemnity Company (ERIE / Nasdaq)
JP Morgan Chase & Co.
Initiating with a Buy, $50 PT. Co is paid a fee to manage the operations of the insurance exchange, retains little nderwriting risk and is the best way to play the impending turn in the PPA market, in our view.

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Footstar (FTS / NYSE)
Dain Rauscher
Initiating with neutral rating. We believe November's same-store sales, released November 29, to be below plan.

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Golden West Financial (GDW / NYSE)
Bank of America Montgomery
Initiating coverage with a Market Perform rating.

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G&K Services (GKSRA / Nasdaq)
Lehman Bros
Downgrading form Buy to Market Perform, based on valuation. The stock has risen 30% in the past month.

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Gap (GPS / NYSE)
Prudential Securities
Downgrading from Hold to Sell. Holiday merchandise looks bad and management acknowledges that there is no near termproduct fix. Store checks indicate the comp run rate has materially deteriorated with transactions appearing to bedriven by heavy discounting across all three brands.

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Golden State Bancorp Inc (GSB / NYSE)
Bank of America Montgomery
Initiating coverage with a Market Perform rating.

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Jabil Circuit (JBL / NYSE)
JP Morgan Chase & Co.
Raising price target from $24 to $32, maintain Buy. Comfortable with Q ests of $900mm/$0.11 will report in mid-Dec. Valuation at premium to group, but lower than historical and we're growing more comfortable with 02 ests.

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Jabil Circuit (JBL / NYSE)
Prudential Securities
Downgrading to Hold from Buy. upside is likely to be limited byvaluations, and think there is risk to our FY02 estimates.Remains among the best positioned in the industry and are impressed with its strong management team and solid operating performance through the downturn.

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Learning Tree Int'l. (LTRE / Nasdaq)
Credit Suisse First Boston
Initiating coverage with a Hold rating.

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Micrel (MCRL / Nasdaq)
Goldman Sachs
Initiating coverage with Market Outperform Analog semiconductors and now comm. ICs. Aquistions could drive recovery. Favorites still MXIM and ADI.

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Magna International (MGA / NYSE)
Smith Barney Shearson
Initiating coverage with a Buy rating and $77 target. Leading systems supplier with strong global reach. Lower risk investment. Better than average growth with higher than average margins.

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Marsh & McLennan Co's (MMC / NYSE)
JP Morgan Chase & Co.
Initiating with a long term buy, $120 PT. World's largest insurance broker. We est $1.7B in opreating cash flow 2002 and could repurchase $750m of its own common stock in 2002. We est upper-teens EPS growth in 2003.

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Men's Wearhouse (MW / NYSE)
Bear Stearns
Downgrading to Attractive Given Sharp Reduction in 4Q and 2002 EPS Targets From Management. We were surprised by the magnitude that the company expects to miss current EPS estimates by. Assuming that current sales trends continue into the rest of the 4Q, the company see 4Q EPS in the $0.35 to $0.45 range.

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Petroleum Geo Service ASA (PGO / NYSE)
Smith Barney Shearson
Upgrade from Neutral to Outperform. Merger with VTS creates 2nd largest seismic contractor. Raising target to $10 from $8.

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SPX Corporation (SPW / NYSE)
JP Morgan Chase & Co.
Initiating with a Buy, $160 PT. Clear prospects for double-digit earnings growth, in our view.

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National Golf Properties (TEE / NYSE)
Robertson Stephens
Downgrading from Market Perform to Market Underperform. Target $6.50. Reducing FFO for 2001 to $3.19 from $3.35 and 2002 to $1.18 from $3.62. Reported it may not pay rent in the coming winter months. Has engaged financial and legal advisors to discuss restructuring alternatives.

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Tesoro Petroleum Corp. (TSO / NYSE)
Bank of America Montgomery
Initiating coverage with a Buy rating and $17 price target. The company is attractively valued, and should grow its retail gasoline business through an agreement with WMT.

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United Parcel Service (UPS / NYSE)
Merrill Lynch
Adding the company to our Focus One list. We believe the company is the best-managed in its space, and offers a great risk/reward at these levels.

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Washington Mutual (WM / NYSE)
Bank of America Montgomery
Initiating coverage with a Market Perform rating.

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Agco Corporation(AG / NYSE)
Goldman Sachs
Raising target from $14-$15 to $17-$18 based on recent visit with management, which reaffirmed cost cutting and earnings growth in flat sales environment.

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AOL Time Warner (AOL / NYSE)
NEWS
CCUR announced that it has been selected by AOL to launch VOD (Video-On-Demand) services for its Houston division, Time Warner's fourth-largest division.

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Boeing Company (BA / NYSE)
JP Morgan Chase & Co.
Lowering 02 EPS est from $3.15 to $2.70 (st $3.13), 03E $2.25 (st $2.94) near low, due to increasingly neg outlook for commercial aircraft over next several yrs. Could see downside to 03 ests, and valulation is below sum of price $40-45, but outlook for orders and earnings is modest. Reit MP.

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Brocade Communications (BRCD / Nasdaq)
ABN Amro
raising price target from $30 to $40 shares still have upside form current levels. Reports earnings today after the close and, we think company will beat our revenue and EPS estimates of $112MM and $0.03.

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EMC Corporation (EMC / NYSE)
Smith Barney Shearson
Reiterate Outperform, raising target from $13 to $20. Notable software stategy will have significant impact on its business and the industry, both in the near-term and long-term.

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Equity Residential Prop. (EQR / NYSE)
Morgan Stanley Co.
Raising price target to $30 per share. The company's addition to the S&P 500 will create about one month of normal trading volume, as index fund managers must buy the stock. Reiterate Outperform rating.

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Equity Residential Prop. (EQR / NYSE)
Deutsche Banc Alex Brown
We believe the company's inclusion into the S&P 500 was a surprise. The demand from index fund managers alone should be 19 million shares over the next three days.

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First Data Corporation (FDC / NYSE)
Credit Suisse First Boston
Raising estimates and price target to $80 per share.

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Flextronics International (FLEX / Nasdaq)
Prudential Securities
held its F3Q mid quarter update call yesterday, and as expected, confirmed existing guidance for the quarter of $3.3B-$3.5B rev and $0.15-$0.18 cash EPS. The tone of the call was more positive than we had expected. Mgmt indicated that demand trendsacross most product categories had stabilized.

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Flextronics International (FLEX / Nasdaq)
Morgan Stanley Co.
The company's mid-quarter conference call was relatively upbeat, but we are not changing our estimates or Neutral rating.

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Flextronics International (FLEX / Nasdaq)
Bank of America Montgomery
Raising price target to $35 per share, following the upbeat mid-quarter conference call. Reiterate Strong Buy rating.

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Fluor Corporation (New) (FLR / NYSE)
Bear Stearns
reaffirm our Buy rating. We contend that the story remains favorable for continued out performance. Management appeared confident that business flows will remain positive during the next few years and order recovery when the domestic economy recovers during 2002-03.

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Finisar Corporation (FNSR / Nasdaq)
Credit Suisse First Boston
Widening our fiscal 2002 loss estimate to $0.19 per share. Maintain hold rating, although we'd buy the stock in the $7-$9 range.

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Finisar Corporation (FNSR / Nasdaq)
Robertson Stephens
2002 EPS reduced 1c to -18c and 2003 down 2c to -7c. Target $10. Business is stabilizing, remain on sidelines given the lack of visibility and forecasted operating losses throughout F2003.

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Finisar Corporation (FNSR / Nasdaq)
Weisel Partners
We are adjusting our EPS estimate lower for 2002. Finisar's fibre channel business did not meet management's expectations in the third quarter. We believe company has limited upside potential, with lack of any strong near-term catalyst growth.

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Frontier Airlines (FRNT / Nasdaq)
Morgan Stanley Co.
Cutting estimates through fiscal 2003, because of competitive pricing and low traffic. Maintain Neutral rating.

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Genesco (GCO / NYSE)
Bank of America Montgomery
Reducing estimates to reflect the company's new guidance. Maintain Buy rating, as we believe the company is being too conservative about its prospects.

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General Electric Company (GE / NYSE)
JP Morgan Chase & Co.
Meeting with management. Maintain LTB, $45 PT. Company more cautious on Power Systems, could see decline in earnings in 03 vs earlier growth ests. Lowering 02E conservatively from $1.62 to $1.60, 03E $1.76.

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Home Depot (HD / NYSE)
Prudential Securities
annual analyst meeting scheduled for November 29-30, 2001. We would be aggressive buyers of the stock in front of the meeting. Three of the most important pieces of information expected to come out of the meeting will be earnings growth and square footage growth guidance and what management will do with the buildup in cash.

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Intel Corporation (INTC / Nasdaq)
JP Morgan Chase & Co.
Industry sources indicate that INTC's demand for raw wafer and photoresist dropped off in Oct and Nov, suggesting weak output and shipment in Nov and Dec. We believe Q4 will be characterized by strong Oct, followed by weak Nov and Dec. Q4E $0.08, 01E $0.46, 02E $0.44. Stock is up 70% from 9/21 would lighten up on recent rally

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Kmart Corp. (KM / NYSE)
Goldman Sachs
Reported Q3 EPS loss of $(0.25), as compared to our $(0.26) estimate, and vs. $(0.16) last year; results were before a $(0.20) charge related to restructuring the supply chain. Below-plan sales and ongoing margin pressure.

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Lehman Brothers Holdings (LEH / NYSE)
Morgan Stanley Co.
Trimming fourth quarter estimates by 6 cents per share, as we believe the company's physical displacement following 9/11 affected business more than previously expected.

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Level 3 Communications (LVLT / Nasdaq)
Deutsche Banc Alex Brown
Lowering estimates to reflect the company's new survival strategy. Maintain Market Perform rating, with a $7 price target.

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Medtronic (MDT / NYSE)
Morgan Stanley Co.
Raising price target to $56 per share, following the company's robust October quarter results. Reiterate Strong Buy rating.

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Medtronic (MDT / NYSE)
Prudential Securities
F2Q02 results benefited from broad proudct/market opportunities, guidance and estimates unchanged, reit buy.

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Medtronic (MDT / NYSE)
Weisel Partners
Solid Oct Q; Believe diversification will drive growth in 2H'02;Reiterate Buy & $54 target.

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Motorola (MOT / NYSE)
ABN Amro
reducing our 2002 global handset forecast from 440MM units to430MM units, based on the continued sluggish economy and comments from NOK. Also lowering 4Q01 EPS estimate from ($0.04) to ($0.05) and our 2002 EPS estimate from $0.24 to $0.14,primarily driven by these reduced expectations for handset revenues. Maintain HOLD rating and price target of $15-$16.

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Merck & Co. (MRK / NYSE)
ABN Amro
reiterate BUY rating and $85 price target as we believe thatMRK's size and diversity of products is a competitive advantage in this environment.

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Microsoft Corporation (MSFT / Nasdaq)
ABN Amro
reiterate ADD rating and $70 price target as yesterday, therewere developments in the three major legal complaints currentlypending against MSFT. We have collected various data points that indicate that the Xbox has been well received in its first two weeks on the market.

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Nokia Corporation (NOK / NYSE)
Smith Barney Shearson
Analyst meeting guided 15% growth for 2002. Overly optimistic in our view. Reiterate Neutral and $16 target.

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Nokia Corporation (NOK / NYSE)
Piper Jaffray
Nokia Hosts Capital Markets Day; Reports Industry Stability And Improved Visibility; Reiterate Buy Rating, Raising PriceTarget to $28.

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Pall Corporation (PLL / NYSE)
Bank of America Montgomery
Raising 2002 estimate to $1.10 per share, after the company's October quarter came in stronger than expected. Reiterate Buy rating.

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Riverstone Networks (RSTN / Nasdaq)
SG Cowen
We believe the company won a competative contract worth $8-$13 million that would improve Riverstone's U.S. customer list, and provide added visibility to support its aggressive growth projections.

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Transkaryotic Therapies (TKTX / Nasdaq)
SG Cowen
Progress toward obtaining reimbursement for Replagal therapy ahead of expectations. Out estimated 2,000 patients in Europe suggests a $300 million market opportunity. Maintain Strong Buy rating.

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Taiwan Semiconductor (TSM / NYSE)
Weisel Partners
Taiwan trip confirms our positive outlook; Believe NVDA, INTC, ATYT, QCOM & BRCM main contributors to '01 guidance increase.

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Texas Instruments (TXN / NYSE)
NEWS
Speaking from the Credit Suisse First Boston Annual Technology Conference, TXN Chairman, President and CEO Tom Engibous reconfirmed its fourth-quarter 2001 outlook, as previously stated in its most recent Form 10-Q and its third-quarter 2001 earnings release.

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Viacom (VIA.B / NYSE)
JP Morgan Chase & Co.
We hosted a positive meeting with company yesterday and believe company continues to outperform it's peers. Ads almost sold out at CBS, UPN, MTV, VHI, expect pos growth at networks in Q4, and seeing encouraging signs in radio. Raising 02E EBITDA from $5.27B to $5.44B, raising PT from $42 to $52 on higher ests and higher mult. Maintain long term buy.

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Veritas Software Corp. (VRTS / Nasdaq)
Credit Suisse First Boston
Raising price target to $49 per share. Reiterate Strong Buy rating.

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NEWS (S&P Changes)
AYI will replace ASPX in the S&P Small Cap 600 Index. Auspex also is being removed for lack of representation. EQR will be added to the S&P 500 Index after the close of trading on Friday, November 30. The company will be replacing NSI, being removed for lack of representation.

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Bear Stearns (Sentiment)
Bullish Sentiment still too high: SPX 73%, NDX 70%, 5 day moving average 71 and 68%. Equity P/C up to .72, INDEX P/C down to 1.44. Market still seems toppy, sell into the next short covering rally.

Merrill Lynch (Oil & Gas)
Lowering our 2002 spot price targets to $20/Bbl for crude oil and $3.10/Mcf for natural gas. The warm start to winter on the east coast is hampering an already weak demand.

Lehman Bros (Paper)
Many stocks in the sector are reaching our near-term price targets, but we remain bullish on the long-term prospects. We would be buyers of SPP, MEA and W at these levels.

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Oscillator: 4.2

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2:00 p.m. Beige Book (November, 2001)

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Credit Suisse First Boston Annual Technology Conference Scottsdale, AZ MOT, AMZN, MIPS, A, MCHP

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CIBC World Markets Sixth Annual Israeli Related Equities Conference New York, NY ELRN, TTIL, CMVT, TEVA,

SG Cowen 3rd Annual Global Health Care Conference ParisAVE, ABI, AMGN, CRA, INHL, PCOP, MLNM, CEPH, ALKS, BCOR, AEGN, CRL, AVIR, DNDN, CIMA, AMEV, USPI, CLL, LEON, MTD

Robertson Stephens Medical Conference New York, NY AGIX, LJPC, CNCT, ZMH, GENR, CEGE, ALXN

Nasdaq European Technology Conference London / FrankfurtSUNW, ELNK, DELL, OVER, THQI

ADSK User Conference

BAC Investor Meeting

FLR Fall Investor Meeting

ALA Analyst Day

IBM Web Builder Conference

PHA Analyst Meeting

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