The electronics retailer Circuit City (NYSE:CC) plans to lay off about 3,400 store workers and replace them with lower-paid employees. The company also plans to eliminate 130 information-technology jobs at the corporate level. Circuit City Stores Inc. had shares up $0.35 at $19.23.

Beazer Homes USA Inc. (NYSE:BHZ) is under investigation by a host of government agencies for its mortgage-lending practices as well as other financial dealings. The company said it is complying with a request for documents from a federal prosecutor. The company’s shares were down $2.64 to close at $28.77.

Archer Daniels Midland Co. (NYSE:ADM), a producer of corn-based ethanol and corn syrup for foods, saw its shares up $0.91 at $36.84. The company is expected to benefit should corn prices fall amid an expected bump in supply.

Vyyo Inc. (NDAQ:VYYO), the maker of communications equipment, received $35 million in funding from Goldman Sachs & Co. Shares rose $0.97 to end at $8.44.

Syntax-Brillian Corp.’s (NDAQ:BRLC) shares rose $0.48 to $8.41. The maker of high-definition televisions sold 2.1 million shares for $15.5 million in a private transaction with two affiliates. The company plans to use proceeds in part to expand its manufacturing base and to market its Olevia brand televisions worldwide.

AtheroGenics Inc. (NDAQ:AGIX) had a decline in its shares, down $0.44 at $2.80. Analysts predict AstraZeneca PLC will end a partnership with the drug developer.

American Depositary Shares of eTelecare Global Solutions Inc. climbed Wednesday in their trading debut on the Nasdaq Stock Market. Shares of the Philippines-based outsourcing company rose $1.63, or 12%, to close Wednesday at $15.13. The IPO offering was priced at $13.50 per ADS for the 5.5 million of U.S.-traded shares. The IPO price was at the midpoint of the expected price range of $12.50 per ADS to $14.50 per ADS.

Programmable chip maker Altera (NDAQ:ALTR) lost $0.89, or 4.3%, to $20.05 after a Bear Stearns analyst lowered his 2007 earnings estimates for the company, partly based on weak business in Asia Network Appliance, a provider of network-attached storage systems, shed $1.60, or 4.2%, to $36.42.

Video game publisher Activision Inc. (NDAQ:ATVI) rose $0.88, or 4.9%, to $19.01 on the heels of a solid Q4 and full-year report from No. 1 game retailer GameStop Inc. Activision hit a 52-week high of $19.19 during the session.

Advancis Pharmaceutical Corporation (NDAQ:AVNC) shares dropped $0.16, or 6.32%, to $2.37 today after the company announced fourth quarter net losses of 44 cents per share on total revenue of $1.2 million in an 8K filing with the SEC. This compares to the company's four analysts who expected the company to report a loss of 39 cents per share on revenue of $2.31 million. The losses come as the company has been facing increased problems with its PULSYS approvals, having received a "refusal to file" letter from the FDA for its once-daily Amoxicillin PULSYS NDA last month. According to the company's CEO Edward Rudnic, "We achieved clinical and operational progress during 2006, and we look forward to continuing the advancement of our Amoxicillin PULSYS product following our NDA resubmission last week. However, as we look forward into 2007, completing a financing and providing necessary capital to fund our business is a primary focus."

Advancis also announced that it had authorized the company to evaluate various strategic alternatives to further enhance shareholder value. The company has since retained an investment bank focused on the life sciences industry to assist in the evaluation of a full range of strategic alternatives available to the company. These could include a possible sale of the company, execution of its existing strategies, partnering or other collaboration agreements, or a merger or other strategic transaction. Further, the company's policy is to not disclose and developments with respect to this process unless and until the evaluation of strategic alternatives has been completed. Given the company's difficulties obtaining financing and FDA approvals, the company may be forced to engage in some type of strategic transaction in order to finance their ongoing research. This is definitely a stock to watch as the company works to explore alternatives and get its products approved.

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Circuit City Stores, Inc. (NYSE:CC) shares moved up $0.59, or 3.13%, to $19.47 in early trading today after the company announced a broad restructuring plan to better position itself against rival Best Buy Co., Inc. (NYSE:BBY). The company said it would be dismissing about 3,400 store associates being paid well above the market-based salary range for their role and hire new employees that would be compensated at the current market range for the job. Circuit City also announced that its board authorized management to explore a possible sale of its InterTAN unit, which operates about 900 retail stores and dealer outlets in Canada. The company first purchased InterTAN in 2004 for about $284 million. Finally, the company said it will also outsource its information-technology infrastructure to International Business Machines Corp. (NYSE:IBM) in a move to cut about 16% of its IT expenses over the life of the seven-year contract.

The restructuring follows an unexpected loss of $16 million, or nine cents per share, incurred during the quarter ended November 30th. The loss was down from a year-earlier profit of $10.1 million, or six cents per share, and came as a result of a price war over flat-panel television sets. The company has already announced plans to close some stores and restructure its merchandising teams to improve financial performance; however, it believes that these new efforts will greatly enhance margins. However, the company is likely to record a pretax expense of about $144 million, including goodwill impairment, store closing and other restructuring costs. Clearly, Circuit City is in need of some restructuring efforts to improve its financials and clearly substantial reductions in employee compensation and IT expenses will contribute directly to the company's bottom line. Meanwhile, a sale of the InterTAN unit would provide the company with some spare cash to get the process rolling without substantially reducing earnings in the short-term. Overall, this is definitely a great stock to watch as they go through the restructuring process.

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Time Warner Inc. (NYSE:TWX) shares jumped Monday after there was speculation that the media giant may be able to unlock more value through restructuring and possible selling off its publishing unit. The speculation began after Bear Stearns analyst Spencer Wang upgraded Time Warner to "outperform" from "peer perform" explaining that the company could improve share value by speeding up its restructuring efforts over the next 12 to 18 months. One possible catalyst, according to the analyst, is a divesture or major restructuring of Time Warner's publishing division. This is a possibility since the company has already sold a number of its magazine and publishing assets recently. Wang believes that this move makes sense for the company since the division lacks synergies with other Time Warner business, which are video-centric. Moreover, the division has been somewhat of a drag on the company's growth rates and future prospects.

A leveraged spin-off of the publishing division would provide cash for Time Warner while giving shareholders a stake in the new entity - all through a presumably tax-free transaction. The transaction would not only result in an increased cash stockpile for Time Warner, but also a potential vehicle to unload some debt. It is also important to remember that spin-offs themselves tend to outperform the overall market in the first year or two after the separation. Combined, these factors make a potential TWX spin-off something worth following closely!

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Delta Air Lines Inc. (OTC:DARLQ) forecast an operating profit of $816 million this year and said that it would exit bankruptcy and re-list its stock in May after more than a year and a half in Chapter 11 bankruptcy reorganization. The deadline for creditors to vote on the company's reorganization plan is April 9th, with the bankruptcy court confirmation hearing set for April 25th. Meanwhile, a stock listing could come in the first week of May pending a decision on which exchange the shares would be listed on, which Delta is holding off on announcing publicly. This is good news for the company and its creditors as the company could finally put the bankruptcy case behind them and focus on improving its core operations.

Many analysts are also saying that the company could become a takeover target due to its largest asset - approximately $7.8 billion in net operating losses that it could carry forward to offset its taxable income in years ahead. Some are speculating that the airline industry consolidation will be one of the top issues for discussions by Delta's board once the bankruptcy case is behind them. Earlier this year, Delta fought off a hostile $9.75 billion bid from U.S. Airways Group, which definitely shows an interest in the company. This makes Delta a stock worth following.

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The BISYS Group (NYSE:BSG) shares moved down marginally after Mr. Ahmet Okumus disclosed a 10.14% stake in the company and expressed his interest in obtaining a seat on the company's board of directors in a Schedule 13D filing with the SEC. The Okumus Capital LLC President said that while he has the utmost confidence in the ability and intentions of the current board and management, he believes that his perspective as a financial professional and representative of a significant shareholder on the board would provide the board with practical insight and guidance in considering the company's strategic alternatives. Moreover, he believes that his experience in identifying undervalued assets, along with his knowledge of financial engineering and capital allocation could make an immediate positive impact to the board during this critical period.

This news followed speculation back in February that the company could be the target of a takeover bid. BISYS said in August that it had hired investment bank Bear Stearns to help it explore strategic alternatives, including a possible sale of the company. Since then, the company has resolved several of its problems with the SEC and other accounting issues. Then Murali Gupta, an analyst at investment bank Keefe, Bruyette & Woods, said that the company would likely be sold, adding that it would likely be to a private equity fund through a leveraged buyout. The valuation is estimated as being between $11 and $14 per share. Whether there is any substance to this rumor remains to be seen; but perhaps with the guidance of Mr. Ahmet Okumus, perhaps the company will have a better chance. This makes BSG a stock worth watching!

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Lennar Corp. (NYSE:LEN) found themselves with a 73% plunge in their Q1 earnings, following the trends of a slumping housing market. The company predicts that it is going to fall short of 2007 earnings goals. Since the start of February, homebuilders KB Homes, Hovanian Enterprises Inc. and Toll Brothers Inc. all reported falling profits. Miami-based Lennar reported that net income for the quarter ended Feb. 28 fell to $68.6 million, or $0.43 per share, from $258.1 million, or $1.58 per share, a year earlier. The results were in line with expectations of analysts. Revenue declined 14% to $2.79 billion from $3.24 billion a year ago, topping Wall Street's estimate of $2.49 billion.

Delta Air Lines Inc. (OTC:DARLQ) expects to emerge from bankruptcy protection April 30 with an eye on improving customer service and selling more assets to build shareholder value, it said Tuesday, raising the possibility it could shed feeder carrier Comair. Delta is projecting a pretax profit, excluding special and reorganization items, of $816 million in 2007. Delta is forecasting a narrower loss of $25 million to $50 million in the first quarter, which ends Saturday. He said Delta expects to get a positive vote of creditors on the airline's reorganization plan, which he said should be approved by the bankruptcy court after a hearing April 25.

Amylin Pharmaceuticals Inc. (NDAQ:AMLN) shares jumped off of a negative Wall Street outlook for possible future competitor ConjuChem Biotechnologies Inc. That company's diabetes drug candidate PC-DAC was not more effective than Amylin and partner Eli Lilly's Byetta in a recent study. Amylin shares gained $1.75, or 4.8%, to close at $38.27 on heavy trading volume. The stock has traded between $35.55 and $51.54 over the last 52 weeks.

Shares of GTX Inc. (NDAQ:GTXI) fell $1.12, or 5.4%, to $19.78, having traded between $7.70 and $23.40 over the last 52 weeks. Shares of Altus Pharmaceuticals Inc. shed $0.68, or 4.4%, to close at $14.94, having traded between $10.75 and $23.59 over the last year.

Three San Antonio area oil refiners won contracts with the Department of Defense totaling $339 million. Refinery Associates of Texas is a petroleum products trading company based in New Braunfels. The company has won a $172 million contract to supply the government with naval distillate from a refinery in Pasadena, Texas. The Defense Energy Support Center in Fort Belvoir, Va., is managing all the supply contracts, which will not expire until April 30, 2008. AGE Refining in San Antonio won a $92 million contract to supply the military with jet fuel. Tesoro Refining and Marketing Co., a subsidiary of Tesoro Corp., also won a $75 million contract for jet fuel. Tesoro will supply the government with jet fuel from its refinery in Mandan, N.D. A week ago, a Valero Energy Corp. subsidiary won a separate $499 million fuel contract from the government.

The U.S. Navy on Tuesday awarded an $8.9 million delivery order to General Electric Co. (NYSE:GE) for work on H-53 helicopter engines. Shares of General Electric fell $0.21 to close at $35.79 on the NYSE.

Shares of FuelCell Energy Inc. (NDAQ:FCEL) surged Tuesday after the company announced a lucrative deal to supply fuel cell power products to Connecticut. The deal is valued at $200 million, if all projects are approved. Shares of FuelCell surged $1.40, or 19.4%, to $8.60 on the Nasdaq Stock Market in midday trading. The stock spent most of 2006 in decline since hitting a 52-week high of $15 in April. However, shares have climbed 12% so far in 2007.

Morgan Stanley (NYSE:MS) offered additional details regarding its pending Discover Financial Services spin-off in a Form 10-12B filing with the SEC. The spin-off is expected to be a tax-free distribution of its common shares to Morgan Stanley shareholders. The new entity is expected to be listed on the New York Stock Exchange under the ticker symbol "DFS" in the third quarter of this year. The already-approved spin-off would follow Mastercard's successful recent IPO and come in just before Visa's anticipated IPO later this year.

Discover itself is a leading credit card issuer and electronic payment services company with one of the most recognized brands in the U.S. financial services. Since its inception in 1986, the company has grown to become one of the largest card issuers in the United States, with more than 50 million cardmembers and $45.7 billion in managed receivables as of November 30, 2006. They are also a leader in payment processing, as they are only one of two credit card issuers with its own U.S. payments network and the only issuer whose wholly-owned network operations include both credit and debit functionality. In 2006, the company processed mroe than 3 billion transactions through their own network and the PULSE network. Overall, Discover's revenues (net interest income plus other income) have increased over the last three years, from $4.5 billion in 2004 to $5.1 billion in 2006, making them a substantial player in their market.

Typically, investors look for several criteria when selecting stocks. Given Discover's market leadership, strong growth, solid entrenchment, and excellent prospects, many investors will likely be interested in this new spin-off. Moreover, spin-offs themselves offer unique opportunities due to their inherent structuring. Often times, parent company shareholders do not want shares in the new entity, so they immediately sell them. This selling pressure creates a temporary mis-valuation, which can be a great opportunity for enterprising investors to take early positions. The spin-off's proceeds will also generate a significant amount of cash for Morgan Stanley - but an amount that has yet to be announced. These are two great stocks to watch as the spin-off draws closer.

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Tribune Company (NYSE:TRB) shares moved up $0.46, or 1.5%, to $30.99 after the company's board of directors is said to be favoring a buyout offer from real estate mogul Sam Zell for $33 per share or $8 billion. Meanwhile, billionaires Ron Burkle and Eli Broad are saying that Tribune did not treat them fairly during the auction process. In particular, the two said they were not privy to information given to Sam Zell back in September when they made their bid for the company. The special committee of Tribune's board that is evaluating its strategic options has reportedly turned down several offers and is also reportedly looking at a "self-help" plan that would include a spinoff of its television stations, and borrowing enough money to pay a substantial dividend to shareholders. Currently, Zell's offer remains the highest at a nearly 8% premium to the company's current market price if approved. Either way, this is a great company to keep an eye on as the company mulls its options.

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Riviera Holdings (AMEX:RIV) shares moved up $2.46, or 9.66%, to $27.93 after an investor group led by Mr. Kanavos, Robert Sillerman, Brett Torino and Barry Sternlicht offered to acquire the company for $27 per share. The group said they are prepared to immediately enter into a merger agreement with Riviera on substantially the same terms as the April 5, 2006 merger agreement between their acquisition vehicles and Riviera. The offer represents a 13.5x 2006 EBITDA multiple, which the investment group believes is a substantial premium. They also said that their proposal has the support of other large stockholders who have reportedly contacted the company directly to confirm the same. Whether or not this transaction goes through depends on whether the board lifts several restrictions in order to make it possible - for this, the investor group has set a 5:00PM PST on March 30th. Given that the stock is currently trading above the buyout price, it appears that some investors may believe that the company is worth more. Regardless, this is definitely a stock to watch as this situation unfolds!

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