Great Atlantic & Pacific Tea (NYSE:GAP) plans to buy rival grocer Pathmark Stores for $678.6 million, creating a larger company to compete in the U.S. Northeast. The deal, which the companies had signaled in late February, will create a 550-store, $11 billion supermarket chain operating in the New York, New Jersey and Philadelphia areas, as well as in Maryland, Michigan and Louisiana. The combination marks the latest merger in the quickly consolidating grocery-store industry.
Advanced Micro Devices (NDAQ:AMD) the No. 2 maker of microprocessors, said it does not expect to meet its previous first-quarter revenue forecast, sending its shares lower. The company, which trails Intel in the market for computer chips, said revenue would fall short of its earlier quarterly target of $1.6 billion to $1.7 billion.Wall Street analysts, on average, had expected revenue of $1.65 billion.
The Seminole Tribe of Florida completed its $965 million purchase of the Hard Rock cafes, hotels, casinos and music memorabilia from The Rank Group PLC (LON:RNK) through a combination of a bond offering and an equity contribution from the tribe. In a Rank Group earnings report filed Friday, Hard Rock International reported operating profits increased 18.7% to $74.8 million, from $63 million the year before. It saw continued growth and improvement in all four business divisions comprising company-owned cafes, franchise cafes, and hotels and casinos.
Shares of
InterMune Inc. (NDAQ:ITMN) crumbled Monday evening after the biotech firm announced its decision to discontinue a clinical trial, while shares of ADC Telecommunications Inc. gained after the company said it swung to a quarterly profit on higher sales. InterMune shares dropped 19% to $22.70 after the company said it has discontinued a Phase III clinical trial evaluating its Actimmune drug in patients with idiopathic pulmonary fibrosis.
ResCare Inc. (NDAQ:RSCR), which provides residential and therapeutic services to people with developmental disabilities, released that its Q4 profit rose sharply on higher revenue and a more favorable tax treatment. The company posted net income attributable to common shareholders of $7.7 million, or $0.28 per share, from $505,000, or $0.02 per share, a year ago. Adjusted income from continuing operations totaled $0.34 per share. Q4 revenue increased 24% to $337.1 million from $270.9 million in the year-ago period. Analysts had expected $340.6 million in sales.
Universal Power Group, Inc. (AMEX:UPG), a leading provider of third-party logistics and supply chain management services and a global distributor of batteries, security products and related portable power products, announced its financial results for the Q4 and year ended December 31, 2006. For the three month period ended December 31, 2006, UPG reported revenue growth of 15.3% to $24.6 million, compared to $ $21.3 million in the prior year period.
Copano Energy, L.L.C. (NDAQ:CPNO) announced its financial results for the three months and year ended December 31, 2006. The company’s net income increased by 16% to $16.5 million, or $0.86 per share, for the Q4 of 2006 compared to net income of $14.3 million, or $0.84 per share, for the same quarter the previous year.
Private equity group Vector Capital plans to acquire information security company
SafeNet (NDAQ:SFNT) for approximately $634 million. The $28.75-per-share price represents 12% premium over SafeNet's average closing share price during the 30 trading days ended last Friday.