MAJOR PAPERS:

• According to people familiar with the situation, the Wall Street Journal reported that Hurray! Holding Co Ltd (NASDAQ: HRAY) and Enlight Media have agreed to a merger valued at about $160M, that could be announced as early as Monday afternoon.
• The Financial Times reported that anti-corruption investigators are probing payments by Chevron Corporation's (NYSE: CVX) ChevronTexaco and Royal Dutch Shell PLC (NYSE: RDS.A) to a company owned by powerful Nigerian politician James Ibori, whom they suspect has laundered tens of millions of dollars in British banks, cars and property.
• The Financial Times also reported that Vodafone Group Plc (NYSE: VOD) is looking to increase its presence in China through a government-led restructuring of the country's telecommunications industry.
• According to Barron's "The Trader," there is speculation that the decline in the shares of Echostar Communications Corporation (NASDAQ: DISH) last week has reinvigorated AT&T Inc's (NYSE: T) interest in buying the company.

OTHER PAPERS:

• Citigroup Incorporated (NYSE: C) is said to have "informally" approached The Royal Bank of Scotland Group Plc's (NYSE: RBS) CEO, Sir Fred Goodwin, the Telegraph reported.

For anyone that is actually watching the markets next week, here is just about everything happening in a very light four-day week sandwiched between two national holidays.

Monday December 25

• Markets are closed for the Christmas holiday

Tuesday December 26

• Healthcare conference calls: Merrill Lynch 10:00am, Bank of America 10:30am, Bear Stearns 11:00am

Wednesday December 27

• Delta and Pine Land Company (NYSE: DLP) will hold an earnings conference call at 10:00am
• Bear Stearns will hold a retailing-broadlines conference call at 10:00am

Thursday December 28

• Learning Tree International Inc (NASDAQ: LTRE) will hold its earnings conference call
• Newpark Resources, Inc (NYSE: NR) will hold its shareholder meeting at 11:00am
• Hurray! Holding Co., Ltd (NASDAQ: HRAY) to hold a firm-sponsored meeting with Think Equities

Friday December 29

• The Mills Corporation (NYSE: MLS) will hold its shareholder meeting at 10:00am

MOST NOTEWORTHY: Motorola (MOT) and Lions Gate Films (LGF) top today's modest list of upgrades.

• Matrix USA upgraded Motorola, Inc. (NYSE:MOT) to Strong Buy from Buy as it believes strong demand for handsets is leading to increased market share for the company. Matrix set Motorola's intrinsic value at $34 a share.
• Janco upgraded Lions Gate Entertainment Corp. (NYSE:LGF) to Buy from Accumulate based on the belief that the Street overreacted to the third-quarter earnings miss and underestimated the probable 2008 inflection point in EBITDA.

OTHER UPGRADES:

• C.E. Unterberg upgraded Hurray! Holding (NASDAQ:HRAY). The firm expects Hurray! to report solid third-quarter results and guidance, and said the company is a potential takeover target given its music assets.
• Suntrust Robinson Humphreys upgraded Barnes & Noble, Inc. (NYSE:BKS) to Buy from Neutral based on improved visibility and modest comps.

Analyst summaries provided by TheFlyOnTheWall.com (subscription required).