12 Apr 13. Harris Corporation (HRS) announced preliminary financial results for the third quarter that were weaker than expected and reduced its fiscal year 2013 guidance primarily due to delays in tactical radio procurements resulting from government budget uncertainty and the increased likelihood that key international tactical radio orders will be awarded later in the year than previously expected or pushed into early next fiscal year. Additionally, operating performance in the Integrated Network Solutions segment was weaker than expected as a result of a delayed software release in Healthcare Solutions and slower revenue growth in CapRock Communications. Third quarter fiscal 2013 income from continuing operations is expected to be approximately $1.12 per diluted share. Revenue in the third quarter of fiscal 2013 is expected to be approximately $1.20bn. The tax rate is expected to be about 27 percent for the third quarter and about 31 percent for the fiscal year. Fiscal 2013 guidance for income from continuing operations has been reduced from a previous range of $5.00 to $5.20 per diluted share to a range of $4.60 to $4.70, excluding charges related to restructuring and other actions ($3.95 to $4.33 per diluted share on a GAAP basis). Revenue is now expected to decline 6 to 7 percent compared to the prior year. A reconciliation of GAAP to non-GAAP financial measures is provided in the table. To align resources with the current business outlook, the company expects to implement company-wide restructuring and other actions primarily in the fourth quarter, including workforce reductions, facility consolidation, and prepayment of debt, resulting in pre-tax charges in the range of $65 to $115m and generating net annualized cost savings of approximately $40 to $50m.
(Source: Yahoo!/BUSINESS WIRE)
08 Apr 13. EDAC Technologies Corporation (EDAC) announced that on
April 7, 2013, MidOcean Associates SPC, an affiliate of MidOcean Partners, and Public Sector Pension Investment Board, or PSP, informed EDAC that they were withdrawing their previously-announced unsolicited proposal to acquire all of the outstanding shares of EDAC common stock at $18.25 per share. As previously announced, on March 26, 2013, GB Aero Engine Merger Sub Inc. commenced a cash tender offer for all of the outstanding shares of common stock of EDAC at a price of $17.75 per share. On that same day, the board of directors of EDAC unanimously recommended that EDAC’s shareholders accept the offer by GB Aero Engine Merger Sub Inc. and tender their shares of EDAC common stock pursuant to such tender offer. On March 28, 2013, the board of directors of EDAC received MidOcean’s and PSP’s unsolicited acquisition proposal. On March 29, 2013, EDAC announced that it intended to engage in discussions with MidOcean and PSP regarding their acquisition proposal in order to more fully evaluate their proposal with a view to establishing whether it constituted a superior proposal. As a result of MidOcean’s and PSP’s withdrawal, EDAC is no longer in discussions with MidOcean and PSP regarding their acquisition proposal. (Source: Yahoo!/PRNewswire)
09 Apr 13. Lagardère sells EADS stake for €2.3bn. Lagardère has sold its 7.4 per cent stake in EADS for €2.3bn, cutting the last historic ties between the French media group and Europe’s biggest aerospace manufacturer by sales. EADS itself paid €500m for a 1.6 per cent share of its own stock in the sale, which is part of a co-ordinated reduction of French, German and Spanish state interests in the aircraft maker. The remaining shares were sold in a private placement to investors. There had been speculation that the Qatar Investment Authority, which owns 13 per cent of Lagardère, could use the stake sale to buy into EADS. However, a person involved in the sale process said: “If a group like that had been involved in a big way then you probably would have heard about it by now.” The €2.3bn sale price vindicates Lagardère’s opposi