(BFW) *TUI, TUI TRAVEL REACH PACT ON POSS. ALL-SHARE 0-PREMIUM MERGER

 BN 06/27 13:00 *TUI SAYS NON-CORE BUSINESSES WILL BE RUN SEPARATELY
 BN 06/27 13:00 *TUI TRAVEL HOLDERS WOULD GET 0.399 NEW TUI SHRS PER SHARE
BFW 06/27 13:00 *TUI, TUI TRAVEL REACH PACT ON POSS. ALL-SHARE 0-PREMIUM MERGER
 BN 06/27 13:00 *TUI TRAVEL, TUI AG REACH AGREEMENT ON POSSIBLE MERGER
 BN 06/27 13:00 *TUI, TUI TRAVEL REACH PACT ON POSS. ALL-SHARE 0-PREMIUM MERGER
 BN 06/27 13:00 *TUI TRAVEL, TUI REACHED PACT
 BN 06/27 12:59 *TUI STATEMENT ON PROPOSED MERGER OF TUI TRAVEL, TUI
 BN 06/27 12:59 * TUI STATEMENT ON PROPOSED MERGER OF TUI TRAVEL, TUI
DGAP-Adhoc: TUI AG: Statement regarding proposed merger of TUI Travel and TUI AG
2014-06-27 12:59:47.269 GMT


DGAP-Adhoc: TUI AG: Statement regarding proposed merger of TUI Travel and TUI AG

TUI AG  / Key word(s): Strategic Company Decision/Mergers & Acquisitions

27.06.2014 14:59

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

WSJ : AbbVie Approach 'Stopped Shire In Its Tracks'

AbbVie Approach 'Stopped Shire In Its Tracks'
Chief Executive Flemming Ornskov Says Drugs Company Was Pursuing Large M&A Deals

LONDON— Shire SHPG +1.36% PLC was pursuing a number of large deals before an approach from AbbVie Inc. ABBV +2.75% "stopped us in our tracks," Chief Executive Flemming Ornskov told The Wall Street Journal Friday.

Dublin-based Shire, which specializes in drugs to treat attention-deficit disorder and rare diseases, rejected a $46 billion takeover offer from the U.S. drug company last week, saying it undervalued the company.

When AbbVie first approached Shire in early May, "there were a number of large opportunities that we were considering, pursuing, preparing for or engaging in," Mr. Ornskov said.

He added that U.K. takeover rules now prevent any deal or deals worth more than 10% of Shire's market capitalization—around $4.5 billion—at least until July 18, which is AbbVie's deadline under the rules for making a firm bid or walking away.

Mr. Ornskov said Shire hasn't been seeking any alternative acquirers.

>>> US Gapping down

Gapping down
In reaction to disappointing earnings/guidance: ANAD -9.6%, (lowers Q2 revenue guidance; announces restructuring), DD -3.7%, CMC -0.5%.

M&A news: NGHC -1.7% (announces acquisition of Imperial).

Select EU financial related names showing weakness: NBG -1.3%, SAN -0.9%, UBS -0.8%.

Other news: ISIS -3.5% (trading lower on negative blog mention), IG -2.6% (priced 4.65 mln shares of its common stock at $5.00/share), AMSG -1.7% (prices public offerings of common stock and Mandatory Convertible Preferred Stock, Series A-1), DOW -1% (following DD guidance), REGN -0.6% (announced that EYLEA (aflibercept) Injection has been recommended for approval by the European CHMP for the treatment of visual impairment due to diabetic macular edema), MON -0.5% (announces $4.5 bln debt issue), ALV -0.5% (reaches agreement in principle to settle Us Securities class action).

Analyst comments: BYD -1.6% (initiated with a Underperform at Buckingham Research), ENL -1.6% (downgraded to Equal-weight vs Overweight at Barclays), HFC -1.2% (downgraded to Neutral from Outperform at Credit Suisse), EC -0.9% (initiated with an Underweight at Barclays), UNH -0.7% (initiated with an Underperform at Sterne Agee), SSL -0.7% (downgraded to Equal Weight from Overweight at Barclays), COV -0.5% (downgraded to Outperform from Strong Buy at Raymond James).

>>> KB Home beats by $0.07, beats on revs --> +2.20% Pre-Open

KB Home beats by $0.07, beats on revs

Reports Q2 (May) earnings of $0.27 per share, $0.07 better than the Capital IQ Consensus Estimate of $0.20; revenues rose 7.7% year/year to $565 mln vs the $558.68 mln consensus.
  • Company delivered 1,751 homes in the current quarter, compared to 1,797 homes in the second quarter of 2013.
  • The overall average selling price of $319,700 rose $29,300, or 10%, from the second quarter of 2013, marking the seventh consecutive quarter of double-digit year-over-year percentage growth in the Company's average selling price. Average selling prices were higher across all of the Company's homebuilding regions compared to the 2013 second quarter, with increases ranging from 9% in the Southeast region to 23% in the Southwest region.
  • As a percentage of homebuilding revenues, operating income rose 440 basis points to 6.1%, compared to 1.7% for the 2013 second quarter, and increased 210 basis points compared to 4.0% for the 2014 first quarter.
  • The housing gross profit margin increased 380 basis points to 18.9% from 15.1% for the year-earlier quarter.
  • Potential future housing revenues in backlog at May 31, 2014 grew 24% to $1.03 billion from $826.6 million at May 31, 2013, reflecting an increase in the number of homes in backlog and a higher average selling price.
  • Total net order value increased 19% to $763.2 million for the 2014 second quarter, up from $639.6 million for the year-earlier quarter.
  • Net orders rose to 2,269, up 5% from 2,162 for the year-earlier quarter, and the average community count increased 7% to 191 from 178 for the year-earlier quarter.
  • The second quarter cancellation rate as a percentage of gross orders was 28% in 2014, compared to 27% in 2013. As a percentage of beginning backlog, the second quarter cancellation rate was 30% in 2014 and 29% in 2013.

>>> US Gapping up

Gapping up
In reaction to strong earnings/guidance: PRGS +10.8%, AMED +8.2%, FINL +5.7%, AZZ +5.5%, NKE +2.8%, KBH +1.7%.

M&A news: LBTYA +1.1% (announce recommended public offer for all issued and outstanding ordinary shares of Ziggo not yet owned by Liberty Global), EXPE +0.8% (announced agreement to purchase Auto Escape Group, a European care rental reservation company; terms not disclosed).

Other news: AWRE +17.1% (declared special cash dividend of $1.75 per share), MTW +9.2% (the target of shareholder activist Relational Investor, according to NYTimes Dealbook), DRRX +3.8% (secures $20 mln debt financing), ECA +2.5% (reaches agreement to sell Bighorn assets to Jupiter Resources for ~ $1.8 bln), GPRO +1.9% (follow through after yesterday's IPO), BCS +1.8% (Some banks withdrawing from BCS dark pool, according to reports), TEX +1.4% (trading higher in sympathy with MTW), APP +1.4% (denies speculation that lender declared default, according to WWD), QEP +1.2% (filed Form 10 registration statement for spin-off of midstream business), DSGX +1.1% (prices 9.5 mln common shares at a price of $13.50 per share).

Analyst comments: AMPE +10.4% (initiated with a Buy at Jefferies), DRWI +4.7% (upgraded to Sector Outperform from Sector Perform at CIBC Wrld Mkts), BRKS +3.3% (upgraded to Buy at Stifel), SXC +3.2% (added to Conviction Buy list at Goldman), YRCW +3% (upgraded to Buy from Hold at BB&T Capital Mkts), ANF +2.2% (target raised to $60 from $50 at Jefferies), GMCR +1.6% (upgraded to Buy from Hold at Argus), MPEL +1.4% (initiated with a Buy at Buckingham Research), MGM +1% (initiated with a Buy at Buckingham Research), SLXP +1% (initiated with a Buy at Canaccord Genuity), FUL +0.9% (upgraded to Buy from Hold at Deutsche Bank )

>>> Nike: Color on Quarter --> +3% Pre-Open

Nike: Color on Quarter

NKE shares trading higher by 3% following earnings and futures orders

  • Janney Capital Markets says following NKE's 4Q print, they continue to be positively biased on long-term fundamentals but look for a better entry point and/or improved visibility to FY15 upside before getting more constructive. They recognize there is a lot to like about the NKE story: (1) the innovation pipeline is robust, (2) LT global growth remains strong (global futures +12% co currency, with NA +11%, WE +22%, China appears to be inflecting), (3) revolutionary manufacturing (Flyknit, 3D printing LT), which in combination with structural levers (DTC and higher price/margin mix) drives GM expansion, and (4) a strong cash position (~$6/share) supports shareholder-friendly moves.
  • Stiffel notes, global constant currency futures growth of 12% was strong but shy of their estimate of 14% (above consensus estimates 11.6%). Upside to their futures estimates in North America (11% vs. their 9%) and Eastern Europe (14% vs. their 9%) was tempered by lower than estimated futures from Western Europe (22% vs. their 24%), Greater China (6% vs. their 7%), Japan (flat vs. their 2% estimate), and the Emerging Markets (9% vs. their 24%). They raised their price target to $89 from $87.
  • DA Davidson says moving into FY15, NKE's primary growth engines remain strong. In FY14, 11% c.c. growth was driven by DTC (+22% y/y), soccer (21%), basketball (19%), young athletes' (16%), and women's (12%). Price increases, improving mix, and DTC outgrowth remain on track to continue gross margin expansion; however, double-digit SG&A growth will likely be a muting factor to earnings growth. They look to get more positive on the company with greater conviction that NKE's mid-teens earnings growth target is realizable.
  • NKE tgt raised to $90 from $85 at Deutsche Bank



Read more: http://www.briefing.com/InPlayEq/InPlay/InPlayDual.htm#ixzz35qEk09LQ

WSJ : Goldman Sachs Loses in ‘Vampire Squid’ vs Octopus

A now-deceased U.K.-born cephalopod seems to have succeeded where Goldman Sachs GS -0.22%’s economics team stuttered.

Paul The Octopus shot to fame in 2010 by correctly predicting the outcome of each game involving Germany at that year’s FIFA World Cup as well as the final won by Spain. In contrast, Goldman’s much-fancied economics team has managed to achieve a paltry success rate of 37.5% so far for the preliminary stage at this year’s competition.*

Goldman’s economists analyzed reams of data to predict the outcome of matches.

The less-than-impressive results underscore that past performances on the soccer pitch and prestige are not reliable predictors of future success.

But should traders and investors now seek refuge in the wisdom of animals or birds with perceived Oracle-like properties?

Not quite.

For one, the sample size of Paul The Octopus’ predictions was much smaller. It is much harder to accurately predict the correct result randomly for 48 games than it is for 8 games. The eight-armed creature also had to just pick the winner out of two teams. Had it been confronted with the task of predicting a draw as well, the probability of getting the right result would have fallen to 33% from 50%.

Predicting draws has been Goldman’s Achilles heel at this tournament. There have been far fewer than the bank estimated.
What’s also becoming increasingly clear is that many of the pretenders to Paul The Octopus’s crown are one-trick ponies. Nasar the horse jockeyed into position to fill the gap left by Paul The Octopus’s demise but its only prediction: a win for the USA over Germany turned out to be incorrect. Big Head the Brazilian turtle’s success rate is iffy as well.

There still seems enough room for humans to make their mark. Retired South Korean international footballer Lee Young-pyo has managed to correctly predict outcomes of several games, including the exact score at this year’s tournament.

And Goldman has past successes in forecasting sporting events as well. It correctly predicted the exact order of the top 4 countries on the medal table at the 2012 London Olympics. Its bet for a Brazil win at this year’s World Cup could still turn out to be correct.


*The author of the piece has managed a success rate of 48% thus far without incorporating regression analysis. No animals were harmed while making those predictions.