Rio Tinto (NYSE: RTP) will get a much needed $19.5 billion investment from Aluminum Corp. of China, or Chinalco, one of the world's biggest aluminum producers. This would help debt-laden RTP pay some of its debts. As part of the deal, Chinalco agreed to invest $12.3 billion in joint ventures in aluminum, copper and iron ore mining.
Alcoa (NYSE: AA) also sold its stake in Rio Tinto to Chinalco for $1 billion, well above its $300 million current value. Mind you, RTP shares declined 67% since the acquisition was made.
Viacom (NYSE: VIA) reported sharply lower fourth quarter earnings due to a slump in advertising slump, poor ratings at some of its key TV networks and a softening DVD market, as well as, of course, a charge. Adjusted earnings were 76 cents a share, lower than the 78 a share expected.
Also reporting today:
- Marriott International (NYSE: MAR) posted a fourth-quarter net loss, hurt by restructuring charges, but also hurt by corporations cutting back on travel and its slowing time-share business. Excluding those, it earned 34 cents a share, a 45% decline, and below the 39 cents a share expected. MAR shares plunged some 10% in premarket trading.
- Coca-Cola (NYSE: KO), on the other hand, reported adjusted Q4 earnings of 64 per share, 3 cents better than estimates as the company had a double-digit volume gain in China, India and Eastern Europe. KO shares gained 2.4% in premarket trade.
- Vonage (NYSE: VG)
Diageo (NYSE: DEO) shares declined over 5.5% in premarket trading after the maker of Guinness beer and Smirnoff vodka cut its earnings forecast for the full fiscal year. First half profit rose 16%.
Toll Brothers (NYSE: TOL) warned late Wednesday that revenue from building homes will decline by 51% for the quarter ended Jan. 31. The company said home production is at its lowest level in 50 years. TOL shares declined 1.5% in premarket trading.
Bank of American (NYSE: BAC), Goldman Stanley (NYSE: GS), JPMorgan Chase & Co. (NYSE: JPM) and Morgan Stanley (NYSE: MS) CEOs said following yesterday's Congressional hearing they'd like to repay government loans as soon as possible.
Sirius XM Radio (NASDAQ: SIRI)'s Chief Executive Mel Karmazin is reported to have approached DirecTV (NYSE: DTV) Group and Liberty Media (NASDAQ: LINTA) as he's trying to save his company from bankruptcy and fend off a bid by EchoStar's Charlie Ergen. SIRI shares gained nearly 48% to trade just over 8 cents a share.
General Motors Corp (NYSE: GM) has been reportedly in talks with China's SAIC Motor about the possible sale of a share of GM's stake in their joint venture or other assets as the U.S. automaker races to raise cash.
Closing Bell: Economic Catapult for Thanksgiving & Black Friday (WMT, TGT, GRMN, GOOG, MSFT)
Deere up on Q4 earnings performance
Reid Hoffman: LinkedIn will go public (at some point)
