Movers: Dow Chemical, Rohm & Haas, Ford, Nokia
Dow Chemical (DOW) says the Kuwait Supreme Petroleum Council (SPC) reversed its prior approval of the agreement between Dow and Petrochemicals Industries Co. to enter into K-Dow Petrochemicals, a planned 50-50 joint venture company. According to newswire reports, the proposed joint venture would have provided Dow with approximately $9 billion that Dow was to put toward its planned acquisition of Rohm & Haas (ROH). S&P maintains sell opinion on DOW; Barclays downgrades the stock to equal-weight from overweight.
Ford Motor (F) shares are under pressure on newswire reports that Tracinda Corp. has confirmed that it has sold all of its stake in the company.
Honeywell International (HON) falls 1.23 to 30.74 after Argus reportedly downgrades HON to hold from buy.
Cal-Maine Foods (CALM) posts $1.15, vs. $1.70 a year ago, second quarter EPS as narrowed gross margin offset 6.5% sales rise. Sees continued strong egg demand at retail, with slower demand from the food service and the egg products industries as participants work through current credit issues. Adds feed costs, while much improved, will likely remain relatively high and could be volatile in the year ahead.
Satyam Computer Services (SAY) reschedules its board meeting to Jan. 10 to allow the board to consider options other than a possible buy-back of its stock. Additional options may include: measures to strengthen SAY's governance structure, including increasing size and altering composition of the board; conducting review of the company's strategic options to enhance shareholder value (has engaged DSP Merrill Lynch to assist in this review); addressing issues arising from possible dilution of promoter's stake in the company.
Nokia (NOK) shares are lower in Europe amid Les Echos article that said French mobile phone sales declined by 18% in the first week of December compared with the year-earlier week, and by 20% in the second week.
California Water Service Group (CWT) - Brean Murray downgrades CWT to hold from buy on valuation.
China Fire & Security Group (CFSG) announces it has won three additional contracts with China Nuclear Power Engineering Co., Ltd., valued at approximately $5.3 million for three independent fire detection projects. Expects to fulfill and recognize revenue from these contracts over the course of a three year period beginning in 2009.
Walter Industries (WLT) announces the permanent closure of the Kodiak Mine in Shelby County, Ala., as a result of high operational costs, difficult operating conditions and a challenging pricing environment for Kodiak's product. Estimates a resulting pre-tax charge of approximately $20 million will be recognized in the fourth quarter, nearly all of which is related to the non-cash impairment of mining facilities and equipment.
SL Green Realty (SLG) declares quarterly dividend of $0.375 per common share. The company paid $0.787 in the previous quarter.
Scana (SCG) announces that, in conjunction with the decision by Standard & Poor's Corp. to include SCG in the S&P 500 Index after the market close on Dec. 31, it intends to offer about 2 million shares in a registered public offering.