Aeropostale (ARO) said on Thursday that its December sales at stores open at least one year rose by 12.2%. Analysts, on average, had expected its same-store sales to rise 3.7%, according to Thomson Financial. Total sales for the period ended January 5 surged 17.5 percent to $313.5 million from $266.7 million in the 2006 period ended December 30. Aeropostale said it expects to report fourth-quarter earnings of about 87 cents a share, above its prior guidance of 82 cents to 84 cents a share.
Tata Motors to Introduce $2,500 Car – Auto Industry Covered Calls
Tata motors (TTM), an Indian auto manufacturer whose name is becoming ever more ubiquitous, is likely to unveil an exciting new car this week at the annual auto show in Delhi. Sure the stock plummeted 5.5% in trading today and the car is reported to have the power of an aging Chihuahua, but there is a palatable excitement in the air.
Tracinda to take 35% Stake in Delta Petroleum (DPTR)
Billionaire investor Kirk Kerkorian’s Tracinda Corp will take a 35% stake in Delta Petroleum Corp. (DPTR), under an agreement for the firm to make a $684 million investment in the energy company and acquire shares at a price representing a 23% premium from Friday’s closing price. Under the deal, Tracinda will buy 36 million shares of Delta stock at $19 a share. Shares of Delta closed Friday at $15.51.
Broadcom’s (BRCM) Court Victory over Qualcomm (QCOM)
A court ruling could force Qualcomm Inc. (QCOM) to pay patent royalties to rival Broadcom Corp. (BRCM) for the next 13 months to keep selling chips for cell phones that infringe three Broadcom patents. U.S. District Judge James Selna granted Broadcom’s request for a permanent injunction against the Qualcomm products at issue in a patent battle between the two Southern California chipmakers. The judge also added a “sunset provision” to his order, which allows Qualcomm to keep selling the chips through January 2009 if it pays royalties to Broadcom.
Fox Movie Rentals through Apple’s iTunes Music Store
Apple (AAPL) and News Corp. (NWS) have signed an agreement to offer Twentieth Century Fox movies for rent through the iTunes Music Store, the Financial Times reported Thursday. Users would be able to download the latest Twentieth Century Fox movies from iTunes and view them for a limited time. No pricing details were available, but earlier reports suggested that Fox and Apple were talking about charging $2.99 for 30 days viewing. That’s considerably cheaper than competing services from BlockBuster (BBI) and NetFlix (NFLX), neither of which works with iTunes, Macs or iPods.
Ford (F) Decision on Jaguar and Land Rover almost Final
As part of the strategic intent of Ford (F) to refocus on its core brands, Ford had already put Jaguar and Land Rover on the selling block in June this year. In March, Ford had sold control of Aston Martin, the sports car marquee, to a Kuwait led consortium for $931 million in cash and preferred stock.
Toyota to Drive Past GM on Total Vehicle Sales
Toyota (TM) Motor Corp., long lurking in the wings to snatch and keep the title of the world’s biggest automaker from rival General Motors (GM), might get there even sooner than expected.
Research In Motion Ltd. (RIMM) Doubles Profits and Revenue
BlackBerry maker Research In Motion Ltd. (RIMM) reported strong third-quarter earnings fueled by rapid consumer growth during the lead-up to the holiday season. This was strongly supported by growth in sales to non-business customers. Net income surged to $370.5 million or 65 cents a share, from $175.2 million, or 31 cents a share, in the year-earlier quarter. Revenue has doubled to $1.67 billion. The results allayed fears of slowing demand from its financial services customers in wake of the credit-market meltdown.
Dow Chemicals & Petrochemical Indus. Co. Joint Venture
Dow Chemical (DOW) plans to sell a 50 percent interest in five of its global businesses to a Kuwaiti company for about $9.5 billion and form a new joint petrochemicals venture. Dow Chemical Co. and Petrochemical Industries Co.(PIC), an arm of Kuwait Petroleum Corp., announced plans to form a 50/50 joint venture to create a fully integrated petrochemicals company.
Surge in Walgreen (WAG) Shares
Walgreen’s (WAG) fiscal first-quarter net income rose 5.5% amid solid revenue gains and cost controls, as the company bounced back from a rough fiscal fourth quarter. The drugstore chain recorded a net income of $455.5 million, or 46 cents a share for the period ended Nov. 30, compared with $431.7 million, or 43 cents a share, a year earlier. Revenue rose 10% to $14.03 billion, as comparable-store sales rose 5.4%.