Before the bell: Futures lower ahead of Fed's decision; dataMerck & Co. (NYSE: MRK) shares are gaining 1% in premarket trading after it posted a $1.6 billion loss in the fourth quarter due to large charges for its Vioxx litigation settlement and other items dragged down results. While Net loss amounted to 75 cents per share, fourth-quarter charges totaled $3.4 billion, or $1.55 per share. Excluding the one-time earnings, net income would have been 80 cents per share, beating the expected 74 cents earnings per share. Revenues were up 3% to $6.24 billion, slightly less than the estimated $6.3 billion. Merck also lowered its full-year 2008 forecast.
Boeing Co. (NYSE: BA) reported a fourth-quarter profit rise of 4% $1.03 billion, or $1.36 per share on higher commercial airplane deliveries and strong growth in defense earnings, beating Wall Street's expectations of $1.32 per share despite ongoing concerns over delays in its 787 Dreamliner program. Boeing also increased its guidance for 2008 earnings, citing productivity improvements.
Also reporting today: Kraft Foods (NASDAQ: KFT) is expected to post earnings of 44 cents a share in the fourth quarter. United Parcel Service Inc. (NYSE: UPS) is expected to report fourth-quarter earnings of $1.13 a share. Eastman Kodak Co. (NYSE: EK) is expected to report earnings of 52 cents a share in the fourth quarter. Kellogg Co. (NYSE: K) is expected to post earnings of 44 cents a share in the fourth quarter.
Hewlett-Packard (NYSE: HPQ) Co. CEO Mark Hurd received $26 million compensation for the 2007 fiscal year, reflecting the board's satisfaction with HP's aggressive sales growth and cost-cutting moves.
Wired reported Tuesday that a number of Apple Inc. (NASDAQ: AAPL)'s "iPod owners have discovered that their recently purchased iPods won't work with Apple's new iTunes video rentals, even though the iPods have video playback capabilities." Apple indeed confirmed that the "movie rentals work only with the iPhone, iPod touch, iPod classic and the third-generation iPod nano. Earlier iPods, including fifth-generation iPods sold before the September 2007 release of the sixth-generation iPod classic, are incompatible with rented videos."
Meanwhile, TheStreet.com looks at how Apple could reach the 10 million iPhone sold in 2008 it set itself. Among the suggestions are price cuts, more deals with carriers and an iPhone upgrade.
Since tech stocks have been punished lately, FORTUNE asks, what if Google Inc. (NASDAQ: GOOG) misses?
Struggling Playboy outsources business ops
J. Crew earnings preview: A strong Q3 all buttoned up?
Twitter to make acquisitions, generate revenue in 2010
