2:00PM NY, U.S. Market Movers

BCE (BCE: chart), telecommunications company, jumped 5.8% following a media report saying that private equity firm Kohlberg Kravis Roberts & Co. is looking to buy the company. Toronto based newspaper Globe and Mail said that BCE executives, including Chief Executive Michael Sabia, met recently in Montreal to discuss a buyout with the private equity firm. The newspaper estimated such a buyout could be worth just under 30 billion Canadian dollars ($25.91 billion) and be the biggest in Canadian corporate history.

Gol Linhas Aereas Inteligentes (GOL: chart), airline, surged 9.8% after the company agreed to buy struggling rival Varig for $275 million in cash and stock. Gol said the deal to acquire Varig includes $98 million in cash, 6.1 million nonvoting shares and the assumption of $45 million of debentures. The company will continue to operate the two as separate brands, with Gol remaining a low-cost, low-fare airline and Varig offering more upscale services.

Targeted Genetics (TGEN: chart), gene therapy developer, said it swung to a fourth-quarter profit as revenue more than doubled and drug development costs tumbled, its shares jumped 59.5%. The company said that its net income increased to $808,000, or 8 cents per share, compared with a loss of $3.6 million, or 41 cents per share, in the year-ago period. Revenue climbed to $4 million versus $1.9 million in the same period a year earlier.

Worthington Industries (WOR: chart), metal processor, said its third-quarter profit tumbled on higher costs. For the quarter Worthington earned $5.5 million, or 6 cents per share, compared with $19.2 million, or 21 cents per share, for the same period last year. Revenue declined less than a percent to $677.3 million versus $681.5 million in the year-ago period. Stock climbed 5.1%.

AngioDynamics Inc. (ANGO: chart) shares of medical device maker dropped 7.9% following quarterly results and an outlook that analysts generally regarded as weak. The company reported a loss of $10.4 million, or 55 cents per share, on revenue of $26.7 million. AngioDynamics posted an adjusted profit of 18 cents per share, but these results excluded $1 million in stock option expenses that analysts included with their figures.

ATMI Inc. (ATMI: chart) shares of a provider of specialty materials to semiconductor makers fell 7.9% after the company slashed its first-quarter income outlook to a range of 17 cents to 21 cents per share. The company previously forecast income of 28 cents to 32 cents per share. The company blamed the shortfall on litigation expenses, a manufacturing defect in its packaging business, and a less profitable sales mix on some of its products.

CarMax Inc. (KMX: chart), used car retailer, said that its fourth-quarter profit rose 15%, as increased store and Internet traffic offset lower prices for its vehicles. Earnings for the quarter increased to $42.1 million, or 19 cents per share, from $36.7 million, or 17 cents per share during the same period a year earlier. Revenue grew 16% to $1.88 billion against $1.62 billion in the same period a year earlier. Shares fell 6.8%.

CDC Corp. (CHINA: chart), online gaming and software company, said that it swung to a fourth-quarter loss due to several one-time charges. Net loss for the quarter was $4.2 million, or 4 cents per share, versus a profit of $1.5 million, or a penny per share, for the fourth quarter of 2005. Revenue for the quarter was $89 million, up 43% from $62.3 million in the year ago period. Shares of the company fell 8.3%.

CuraGen Corp. (CRGN: chart) shares fell 15.4% after the company said Roche has agreed to acquire CuraGen subsidiary 454 Life Sciences Corp. 454 Life Sciences'' shareholders will receive up to $154.9 million in cash, of which Roche will pay $140 million in cash, and up to $14.9 million will be received from the exercise of stock options issued prior to the acquisition. CuraGen expects to receive roughly $85 million from the deal, before fees and expenses, of which $14 million will be held in escrow. The transaction is expected to close in the second quarter.

Delta Air Lines Inc. ((DALRQ.PK)), carrier, said that it earned $55 million on revenue of $1.25 billion in February in contrast to a loss a year earlier. The profit amounted to 23 cents per share and was disclosed in a monthly operating report for the 28-day period that was filed with the U.S. Bankruptcy Court in New York. The profit for February compared to a net loss of $209 million in February 2006. Shares fell 26.7%.

Insituform Technologies (INSU: chart), which replaces, maintains and install underground pipes, said its earnings will decline this year as states and municipalities in the U.S. spend less on sewer pipeline rehabilitation. In fiscal 2006, the company posted net income of $24.7 million, or 90 cents per share, up from $13.2 million, or 49 cents per share, in 2005. Revenue rose to $596.7 million from $595.3 million in the last-year period. Shares fell 22.2%.


1:30PM NY – 6:30PM Frankfurt – European markets closed sharply higher across the region with several indexes up 1%.

Of the nine major markets in Europe, seven gained more than 1% led by 1.4% rise in Italy, and 1.2% advance in France, Germany and Switzerland. U.K. gained 0.9%.

Banks, airlines and auto stocks led the charge in the region. Air France-KLM, British Air, and Deutsche Lufthansa rose more than 1.5% despite higher oil prices. French magazine reported that Air France is looking to cut cost of more than one billion euros, stock rose 2.4% to 34.1 euros. Iberia, Spanish airlines, said that it has hired Goldman Sachs and Morgan Stanley for merger related work. The stock gained 3% to 4 euros.

Mining stocks in the UK trading registered another day of gain on revised economic growth rate in the U.S. Final read on the economic growth rate for the fourth quarter was revised to 2.5% from 2.2%. BHP Billiton (BHP: chart), Rio Tinto (RTP: chart) and Arcelor Mittal (MT: chart) gaining.

In Germany, government agency reported fall in unemployment of 65,000 during this month. SAP AG, German software maker fell 1% on the rumors that its chief technology officer and board member is likely to step down at the end of this week. The company is also embroiled in a dispute with Oracle involving customer data and software technology.

KarstadtQuelle rose 2.0% to 27.7 euros after reporting its first annual profit since 2003 on operating margin improvement and asset sales.

Raiffeisen International, Austrian bank, rebounded after dropping yesterday on earnings report. The bank reported earnings of 700 million euros falling short of analyst estimates. However, market focused on the reported earnings growth and ignored the guidance issued for the current fiscal year.