17:58 CPWR Compuware issues preliminary downside Q3 EPS and rev guidance (8.16 -0.10)
Co issues downside guidance for Q3 (Dec), sees EPS of $0.14-0.18, before restrucuring costs, vs. $0.18 First Call consensus; sees Q3 (Dec) revs of $309 mln vs. $318.77 mln consensus. The co sees license revs of $204 mln, maintenance revs of $120 mln and professional services revs of $110 mln.
17:49 C Citigroup: Alwaleed, China to Invest - WSJ (28.56 +0.45)
WSJ reports Prince Alwaleed bin Talal is poised to once again come to the rescue of Citigroup Inc. This time, the Saudi billionaire is expected to be joined by other investors, including the China Development Bank, people familiar with the matter said. While it isn’t clear how much Prince Alwaleed will invest, the Chinese entity is expected to invest roughly $2 bln, one person said. Prince Alwaleed’s total stake in Citigroup is likely to remain below 5% in order to avoid regulatory scrutiny. However, given that Citi has a stock market value of $140 bln, even a 1% stake would end up being a significant sum of money, and a potential vote of confidence in the struggling bank. While Citigroup is still working out details of the planned investments, and there’s a chance they could fall apart, the bank is hoping to collect a total of $8 bln to $10 bln from a number of investors, likely including at least one fund affiliated with a foreign government, the people said.
17:45 CPWR guides prelim Q3 revs revs (license, maint, prof services) $309 mln vs $318.77 mln First Call consensus
17:42 CPWR guides prelim Q3 EPS of $0.14 vs $0.18 First Call consensus, ex items
17:35 FBR Friedman Billings: subsidiary First NLC to liquidate; does not expect to recover its remaining $12 mln investment (3.30 -0.13)
Co announced that First NLC Financial Services, FBR Group’s mortgage origination subsidiary, will liquidate its assets as a result of the continued deterioration of the non-prime market. To effectuate its orderly liquidation, First NLC will file a voluntary petition for bankruptcy protection under Chapter 11 of the United States Bankruptcy Code. FNLC’s senior secured lender supports the orderly wind-down of FNLC’s business. In addition, FBR Group announced that it would not close the previously disclosed recapitalization and sale of FNLC. In connection with the expected Chapter 11 filing, FBR Group does not expect to recover its remaining $12 million investment in FNLC.
17:29 STU Student Loan Corp: Co announces resignation of CFO — 8-K Filing (100.10 +3.81)
On January 7, 2008, Daniel P. McHugh, the CFO since April, 2004, announced his intention to resign from his position in order to accept an opportunity outside of the Company. His resignation as Chief Financial Officer will be effective February 29, 2008. Mr. McHugh’s replacement will be announced in due course.
17:21 ZTM Z Trim Hldgs announces departure of CFO, other workforce reductions (0.35 0.00)
17:17 WCG WellCare Group: C.M.S approves service area expansion application and contract renewal - 8-K (46.99 -0.10)
“On January 8, 2008, the Centers for Medicare & Medicaid Services notified the Registrant of its service area expansion application approval and contract renewal for contracts with certain wholly-owned subsidiaries of the Registrant. Under the CMS Coordinated Care Notices, WellCare of Connecticut, Inc., WellCare of Florida, Inc., WellCare of Georgia, Inc., Harmony Health Plan of Illinois, Inc. and WellCare of Louisiana, Inc. will continue to provide Medicare coordinated care plans in each of Connecticut, Florida, Georgia, Illinois and Louisiana, respectively. In addition, under the CMS Coordinated Care Notices, WC CT, WC FL, WC GA, Harmony and WC LA were approved to expand into an aggregate of 35 additional counties. The renewals are for a period of one year ending on December 31, 2008.”
17:11 MKTIN Market Internals
The Dow was down 1.92% at 12606, the Nasdaq was down 1.95% to close at 2439, and the S&P was down 1.36% to close at 1401. Leading sectors included: Thrifts and Mortgages +3.3%, Office REITs +2.7, Real Estate Mgmt +2.3%, Industrial REITs +1.8%, Gold +1.5%. Lagging sectors included: IT Consulting & Services -8.4%, Consumer Services -6.5%, Restaurants -5.9%, Specialty Stores -5.7%, Oil and Gas Refining -4.8%. Today’s movement came from higher than avg volume (NYSE 1790, vs. 1520 avg, Nasdaq 2381, vs. 2254 avg), with decliners outpacing advancers (NYSE 1189/2155, Nasdaq 856/2167) with new lows outpacing new highs (NYSE 41/216; Nasdaq 55/301).
16:35 SYUT Synutra intends to amend its financial statements (27.00 +0.57)
Co filed a Current Report on Form 8-K with the U.S. Securities Exchange Commission. As stated in the Form 8-K, Synutra identified certain deficiencies and errors in its financial statements during its ongoing assessment process to improve the effectiveness of its disclosure controls and procedures and internal control over financial reporting.
16:28 ACXM Acxiom: OSS Capital Mgmt discloses 5.1% stake in SC 13G (10.01 -0.31)
16:26 HDL Handleman: Third Avenue Mgmt discloses 19.03% stake in SC 13G (1.57 +0.14)
16:16 VIRL Virage Logic announces retirement of Adam Kablanian, Chairman of Board (7.49 -0.45)
Co announces that Adam Kablanian will retire from the Board of Directors concurrently with VIRL’s annual meeting of stockholders, scheduled for March 7, 2008. Kablanian is currently the chairman of the Board of Directors. In connection with Kablanian’s retirement from the co’s Board of Directors, Dan McCranie will assume the title of chairman of the Board of Directors.
16:12 Conference/Events Calendar for the week of January 14th - 18th:
Events of interest for the week of, January 14th - 18th, include: Monday: FMS, DT, DAI at Dresdner Kleinwort German Investment Seminar; LEH, MS, BCG at Financial Research Associates Microfinance Conf; MR, STR, GSOL at CLSA Asia Investors’ Forum; MSFT, GYMB, SHLD, AZO, CSCO at The National Retail Federation Annual Conf… Tuesday: RBA Analyst Meeting; SVR Analyst Meeting; AEO, BJRI, BWS, MSSR, BUCA at Cowen and Company Consumer Conf; ALC at Stifel, Nicolaus & Company Inc. Senior Housing & Health Care Real Estate Conf; BSC, JEF at Capital Link, Inc Analyst Panel Discussion; CHS at Merrill Lynch Retailing Leaders One-on-One; COH, IBM, TLB, ORCL WMT at The National Retail Federation Annual Conf; Credit Suisse Group Auto Analysts of New York Conf; DOW, JEVC at Chemical Week Associates Transportation, Distribution and Security Conf… Wednesday: FFIN Analyst Meeting; BMTI at Stanford Group Company Healthcare Conf; GRA, ACET, CE at Chemical Week Associates Transportation, Distribution and Security Conf; MCD, CHS, CTRN, JOSB, DWRI at Cowen and Company Consumer Conf; MSFT, JDSU, BRCM, MOT, AMAT, IBM at IncreMental Advantage-Managing Intellectual Property for Maximum Returns Conf; XOM, DRC, STR, SD, NBR at Goldman Sachs Energy Conf; Fed’s Beige Book… Thursday: AEE Analyst Meeting; AMAT Analyst Meeting; APL, LGCY, ETP, LINE, EVEP at IPAA OGIS Master Limited Partnership Conf; BUCA, JOE, WRNC, PSUN, UBET at ICR Inc. XChange Conf; CRYO, MAXY, MEND, HLS, OSIP at Stanford Group Company Healthcare Conf; MSFT, GE, POL at IncreMental Advantage-Managing Intellectual Property for Maximum Returns Conf; NE, TDW, HERO, XTO at Goldman Sachs Energy Conf; TXN, IBM, AMAT at Semiconductor Equipment and Materials Int’l Strategic Materials Conf; Fed: Fisher; Lockhart… Friday: Bear, Stearns & Co. Inc. Mortgage Servicer Conf; Credit Suisse Group Auto Analysts of New York Conf; Fed: Lacker.
16:08 LKI Lazare Kaplan reports Q2 EPS of $0.03 vs ($0.17) in 2Q07, revs declined 4% YoY to $90.5 mln (8.00 -0.04)
16:07 XPO Express-1 announces new logistics venture; expected to generate between $5-$6 mln of additional revenue in 2008 (1.04 )
Co announces the creation of a new non-asset based brokerage segment, Bounce Logistics. Co expects Bounce to generate between $5-$6 mln of additional revenue in 2008 and be profitable within the first year of operations.
16:06 PEDH Peoples Educational Holdings reports Q2 results; guides FY08 (3.10 +0.35)
Co report Q3 EPS of ($0.02) vs $0.02 First Call single est; revs increased 3% from a year ago to $8.5 mln vs $9.48 mln First Call single est . Co sees FY08 Non-GAAP net income to be between $1.1 and $1.5 mln; sees revs $41-43 mln vs $43.37 mln First Call single est.
16:03 BQI Oilsands Quest: Goodman & Company, Investment Counsel discloses 5.9% stake in SC 13G (4.59 +0.35)
16:03 PEDH sees FY08 Non-GAAP net income is expected to be between $1.1 and $1.5 million; sees revs $41-43 mln vs $43.37 mln First Call single est
16:03 SNS Steak n Shake issues downside Q1 guidance (9.61 -0.61)
Co issues downside guidance, sees Q1 EPS of ($0.04)-($0.05) vs $0.05 consensus; sees revs of $136 mln vs $141 mln consensus. Co’s Y08 guidance should no longer be relied upon. Co reports Q1 same store sales -9.5% vs -5.5% Briefing.com consensus as guest traffic was impacted by deterioration in the consumer economic environment, a prior year incremental coupon that was not repeated in the current year, unfavorable weather in the month of December, aggressive promotional activity from competitors, and ongoing issues with store level execution.
16:02 TGIC Triad Guaranty pushes back earnings release date to Feb 13 (7.31 -0.19)
Co had previously scheduled earnings for Jan 30. Co does not give a reason for the scheduling change.
16:02 PEDH prelim ($0.02) vs $0.02 First Call single est; revs $8.5 mln vs $9.48 mln First Call single est
16:01 SNS sees Q1 EPS of ($0.04)-($0.05) vs $0.05 consensus; sees revs of $136 mln vs $141 mln consensus
16:00 DIET eDiets.com announces resignation of Robert Hamilton, Chief Financial Officer; reaffirms fiscal 2008 revenue guidance (5.11 +0.10)
Co announces the resignation of Chief Financial Officer Robert Hamilton. Mr. Hamilton, he has accepted the Chief Financial Officer position at a privately held company. Mr. Hamilton will remain available to assist with transitional matters. The co has retained a search firm to find a replacement and has appointed Carla Cox, Senior Vice President of Financial Reporting, as interim CFO. “I would also like to take this opportunity to reaffirm our previously issued fiscal 2008 revenue guidance.” (Briefing.com note: The co guided on Nov 14th to FY08 revs of approx $50 mln, consensus is $48.06 single analyst est)
