Movers: Alcan, Alcoa, Motorola, J.C. Penney
Rio Tinto (RTP) makes $101 cash per share bid to acquire Alcan (AL), for a total equity consideration of $38.1 billion. The bid represents a premium of 32.8% to the value of Alcoa's (AA) $76.03 per share bid for Alcan. Alcoa shares also rise, as some now see it as a possible acquisition candidate.
Motorola (MOT) cuts $9.4 billion second quarter sales forecast to $8.6-$8.7 billion and sees $0.02-$-0.04 second quarter GAAP loss from continuing operations, including charges. It cites lower overall unit volumes in Mobile Devices business in Asia, Europe.
Abbott Laboratories (ABT) and General Electric (GE) terminate their contract for the sale of Abbott's core laboratory and point-of-care diagnostics business to GE. Both companies were unable to agree on final terms and conditions of proposed sales.
Wal-Mart Stores (WMT) posts 2.4% higher U.S. June same-store sales without fuel, 2.5% higher with fuel. It posts 9.4% higher total sales. The retailer sees July same-store sales up 1%-2%. It sees second quarter EPS from continuing operations within $0.75-$0.79 guidance.
J.C. Penney (JCP) posts 1.5% lower June comp department store sales, 1.4% higher total dept store sales. It reaffirms July comp dept store sales guidance of low-double digits to mid-teens.
Zumiez (ZUMZ) posts 14% higher same-store sales for the five-week period ended July 7, 2007, and 49% higher total sales.
Mothers Work (MWRK) posts 5.4% lower June same-store sales, 5.4% lower total sales. It says with lower-than-planned sales for the third quarter, it cuts $1.25-$1.55 third-quarter EPS forecast (excluding charges) to $0.86-$0.90.
Abercrombie & Fitch (ANF) posts 2% higher June same-store sales, 21% higher total sales. It posts 79% higher total direct-to-consumer net sales.
Target (TGT) posts 3.3% higher June same-store sales, 7.6% higher total sales. It says comp store sales results were near the lower end of its planned range of 3%-5%.
Macy's (M) posts 2.7% June same-store sales drop. It sees July same-store sales flat to down 3%. Based on sales that were lower than originally expected, it cuts $0.35-$0.45 second quarter EPS guidance to $0.20-$0.30, excluding merger integration costs.
Nordstrom (JWN) posts 2.0% higher June same-store sales, 2.9% higher preliminary total sales. It sees 2%-3% second quarter and third quarter same-store sales rise.
Texas Industries (TXI) posts lower than expected fourth quarter EPS of $1.09, vs. $1.13 a year ago, on 1% lower sales.
ImClone Systems (IMCL) and Bristol-Myers Squib (BMY) say results from open-label Phase III study of Erbitux plus a taxane, carboplatin in first-line treatment for metastatic non-small cell lung cancer did not meet its primary endpoint.
AnnTaylor Stores (ANN) posts 8.4% lower June same-store sales, 1.4% lower total sales. It says June results reflect another month of slow traffic, as well as continued softness at AnnTaylor Loft.
Men's Wearhouse (MW) expects second quarter GAAP EPS to meet or exceed higher end of initial guidance range of $0.88-$0.92, due to stronger retail apparel sales at its traditional Men's Wearhouse stores.
BJ's Wholesale Club (BJ) posts 5.3% June same-store sales rise, 9.8% total sales rise.
Ariad Pharmaceuticals (ARIA) and Merck (MRK) announce a collaboration to jointly develop and commercialize AP23573, Ariad's novel mTOR inhibitor, for use in cancer.
iRobot (IRBT) receives two delivery orders totaling $17.5 million for iRobot PackBot robots for U.S. military. It expects to complete delivery in January 2008.
Ruby Tuesday (RT) posts $0.46, vs. $0.53 a year ago, fourth quarter EPS on 3.9% lower same-restaurant sales. It sees $0.25-$0.27 first quarter EPS based on 2.5%-3.5% lower same-restaurant sales at co.-owned restaurants.