BCE Inc. (NYSE: BCE) -- what should have been the largest LBO in history is no longer. The group of buyers terminated the deal Thursday, saying an audit found the proposed $35 billion deal did not meet solvency requirements. As this been all but expected, the stock is down 1.6% in premarket trading (8:04 am). BCE shares were down 2.6% by 11 am.
Costco Wholesale Corp. (NASDAQ: COST) reported on Thursday that fiscal first-quarter net income rose slightly thanks to strong results from its gas station operations that helped offset weak consumer demand for pretty much everything but the most essential. While it managed to beat estimates, same-store sales were up by only 1%. COST shares were down 1.4% in premarket trade. COST shares were down 3.2% by 11 am.
Sprint Nextel Corp. (NYSE: S) may see some pressure on its shares price after Moody's Investors Service cut the company's unsecured debt to junk status. Moody's cited Sprint's weakened position in the wireless phone market and sluggish economic conditions. Sprint shares were down 5.8% in premarket trading (8:03 am). Sprint's shares declined further by 11 am, down over 11%.
Procter & Gamble (NYSE: PG) said it is on track to meet its earnings guidance for this quarter and fiscal 2009 despite the volatile environment. Still, it will miss quarterly sales target as organic sales are expected to grow in the quarter but less than the 4% to 6% range estimated previously. PG shares were down about 1% in premarket trading 8:03 am). PG shares traded 0.7% lower by 11 am.
Eli Lilly & Co. (NYSE: LLY) is the second major U.S. drugmaker after Merck to lower expectations in what many thought to be a recession resistance industry. Lilly gave 2009 profit forecast that missed analysts' estimates according to Bloomberg but topped sales expectations according to AP. Shares were up 5.7% in premarket trading (8:04 am). LLY shares traded 2.6% higher by 11 am.
Merck & Co. (NYSE: MRK) faces a new trial over the death of a former user of the Vioxx painkiller that resulted in a $32 million award against the company, a court ruled. MRK shares traded about 1% lower in premarket (8:10 am). MRK shares were up 1% by 11 am.
AIG (NYSE: AIG) is looking to shed assets around the globe as part of a $152 billion U.S. government rescue package, but CEO LIddy said that difficult markets may delay the sale plans, though certain units have attracted heavy interest. AIG shares were up 4% in premarket trading (8:04 am). AIG shares were up 1.6% by 11 am as investors expect an announcement on $15 billion asset sale according to the FT.
Ray of light: U.S. temp worker hiring increased by 34k in October
Closing Bell: Bulls gutting bears (ATVI, EWBC, GE, JASO, ENZN, MCD)
Goldman Sachs CEO Lloyd Blankfein pulls a Jeff Skilling in an interview
Reader Comments (Page 1 of 1)
12-11-2008 @ 10:13AM
Leon Weinstock said...
How many n congressmen drive American cars?
12-11-2008 @ 12:21PM
Jim Nyhan said...
Giving the "bailout" money to the banks with very little restrictions is a joke. When they came out with this are politicians made it sound like they where going to save America people who lost their homes or close to losing their homes. It all turned into a big circle jerk. To qulify for a loan your credit score must be over 700 and meet the normal positive equity structure. I have one question for these people. If the people are close to losing their homes that would mean they have missed payments on their homes and probaly other payments. Their is no way that there credit score would be over 700 in this case. How are they going to reap the benefits of our tax money to bail them out? In my opinion we just padded the pockets of these people and they do not care about all the people that need it.
I think the goverment knew this was going to happen and again we are just keeping the stock market looking ok until we hit this again.
The idiots are fighting over their bonus money. They should not get a nickle. The company I run is "pay on performance". bonus on performance.
In ending this is the way they think......
Maybe I will call up an employee that got fired for stealing, not showling up for work, not doing his/her job and tell them to come back and work for us and I will even give you a bonus if you do.
The elected officials remind me of a bunch of grown up school children - Hell they even get a "recess". Get to work boys and girls (politicians) remember most of us that are still employed work 52 weeks out of the year and bust are ass to provide for are families. I am sure there will be no politician that will read this but if there is I will be more than Happy to send you a calendar or assist you in making your decisions. I think if you look me up you will see that I am qualified.
God Bless America!