Before the bell: Futures down on SBUX, AMZN, despite AAPL, FordDow Chemical (NYSE: DOW) reported a smaller-than-forecast 3% profit drop Thursday and said it would have a good second quarter. Higher feedstock and energy costs were blamed for the drop. The chemical giant reported earnings of 99 cents per share, beating the 94 cents estimate.
If two weeks ago some hoped we've seen the bottom of the subprime mortgage crisis, since then more problems, especially with European banks seem to pop. Credit Suisse (NYSE: CS) reported a wider-than-forecast loss of $2.1 billion on a $5.3 billion writeoff as the global effects of the U.S. subprime mortgage crisis continued to spread. Share of CS though are rising in premarket trading about 1.8% as the bank may have seen the worst.
Bank of America Corp. (NYSE: BAC) shareholders don't want the bank to proceed with the $4 billion acquision of Courntrywide Financial Corp. (NYSE: CFC), the mortgage lender that has become the poster child for the subprime mortgage problems. The have pleaded on Wednesday with the bank's CEO.
Bank of America Corp. (NYSE: BAC) shareholders don't want the bank to proceed with the $4 billion acquision of Courntrywide Financial Corp. (NYSE: CFC), the mortgage lender that has become the poster child for the subprime mortgage problems. The have pleaded on Wednesday with the bank's CEO.
PepsiCo (NYSE: PEP) reported a 5% profit increase and a solid top-line performance due to its international division that helped offset higher commodity costs. Net income jumped to $1.15 billion, or 70 cents per share, inline with estimates. Revenue, though, climbed 13%, beating estimates.
Wendy's International Inc (NYSE: WEN) will today announce a deal with Peltz, the Wall Street Journal reported. This will culminate a year-long review as the Journal reports the board voted on Wednesday on the transaction, though its exact nature or price involved is yet unknown. WEN shares are up 8% in premarket trading.
Also reported this morning:
- 3M Co. (NYSE: MMM) reported a 28% drop in tits first-quarter earnings while sales rose 9% and affirmed 2008 guidance.
- Newell Rubbermaid (NYSE: NWL) reported that first-quarter net income rose 15% on 3.6% higher sales, and it cut its estimate of adjusted earnings for the year.
- Motorola (NYSE: MOT) reported a loss of $0.05 per share, excluding non-recurring items, beating estimates by 2 cents. The guidance, however, was lowered. MOT shares are down 4.7% in premarket trading.
Lehman Brothers analyst Ben Reitzes raised his fiscal third-quarter earnings outlook to $1.10 per share from $1.07 per share due to bullish outlook on Mac sales.
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