Before the bell: Futures up, rally could continue

TheStreet.com said yesterday Apple Inc (NASDAQ: AAPL) has plans to nearly double its iPhone production (video) in the fourth quarter. According to sources, Apple will make 2.7 million iPhones next quarter, up from the 1.54 million originally targeted. Meanwhile, Deutsche Telekom's T-Mobile has officially announced it won a deal to sell the iPhone in Germany for €399 euros ($558). Also, there is word that Steve Jobs has confirmed that Apple plans a 3G iPhone later next year. But it seems some analysts think Apple will have a tougher sell in Europe than in the U.S. also because of the current lack of support for 3G networks. AAPL shares are up over 0.6% in premarket trading.

GE Capital International Holdings Corporation, a unit of General Electric (NYSE: GE) had bought 164.3 million new shares for 2.63 billion baht ($76.81 million) in Thailand's Bank of Ayudhya PCL, raising its stake to 34.92% from 31%.

General Mills Inc. (NYSE: GIS) reported quarterly earnings today. Helped by a move to reduce the size of cereal boxes and charge consumers more per ounce, the company's net income was $289 million, or 81 cents per share, compared with $267 million, or 74 cents per share, a year ago and beating Street estimates of 79 cents per share.

Darden Restaurants Inc. (NYSE: DRI) reported earnings yesterday after the bell, posting a 20% rise in quarterly net earnings, helped by higher prices and increased customer traffic at some of its restaurants. First-quarter net income was $105.9 million, or 72 cents per share, compared with $88.5 million, or 59 cents per share, a year ago, beating expectations of 70 cents per share.

Accredited Home Lenders (NADSAQ: LEND) shares are up over 17% in premarket trading after it has agree yesterday to be bought at a lower price of $11.75 per share by Lone Star. The acquisition remains structured as an all-cash tender offer.

Sirius Satellite Radio (NASDAQ: SIRI) and XM Satellite Radio Holdings (NASDAQ: XMSR) were both downgraded to Neutral from Buy at UBS. SIRI shares are down over 1.1% in premarket trading.