>>> US Gapping up

Gapping up

In reaction to strong earnings/guidance: SANM +9.8%, (Sanmina upgraded to Market Perform from Underperform at Raymond James), LXK +8.8%, APD +8.1%, (light volume), SIMO +6.9%, SMED +4.7%, (thinly traded), X +4.1%, CMCSA +3.4%, AAL +3%, PFE +2.8%, DHI +2.7%, F +2.3%, DD +1.8%, CVTI +1%, (light volume), ITW +1% (also reports out yesterday indicated packaging unit receiving interest from PE firms)

M&A news: TXI +2.7% (MLM will acquire all of the outstanding shares of TXI common stock in a tax-free, stock-for-stock transaction; based on the closing stock price for MLM on Jan 27, 2014, this consideration would be equivalent to $71.95 of MLM stock for each TXI share).

Select financial related names showing strength: LYG +3.4%, ING +2.8%, PUK +2.3%, BCS +2.2%, UBS +1.4%, CS +1.3%, DB +1.1%, C +1%, BAC +0.9%.

Metals/mining higher: MT +4% (upgraded to Outperform from Sector Perform at RBC Capital), RIO +2.4% ( in discussions to sell Quebec aluminum plant, according to reports), BHP +1% (upgraded to Neutral from Underperform at Exane BNP Paribas),

Solar names trading higher: JKS +5.5%, CSIQ +4.5%, YGE +4.1%, JASO +2.7%, SPWR +1.5% (announces program with Bank of America Merrill Lynch to Finance $220 Million in Residential Solar Lease Projects ), FSLR +1.4%

Select China internet related names seeing early strength: YY +5.6%, QIHU +3.3%, BIDU +2.6%, SINA +0.5%.

A few Brazil names are trading higher: BSBR +2.6%, BBD +2.2% FBR +1.9%, GFA +1.9%, BBVA +1.6%, CPL +1.5%, VIV +1.2%, VALE +0.8%, PBR +0.7%

Other news: PRXI +7.8% (announces partnership to bring King Tut Exhibition to North America), CTIC +7.8% ( announces GOG completes patient enrollment in GOG-0212 Phase 3 clinical trial of Paclitaxel Poliglumex as maintenance therapy in ovarian cancer), PLUG +5.4% (modestly rebounding), CLF +4.6% ( WSJ discusses that hedge fund Casablanca is pushing for a breakup at CLF; Casablanca Capital Files 13D and Sends Letter to Cliffs Natural Resources), TTM +4.6% (modestly rebounding from weakness following exec death), HLF +4% (continued strength on reports that DA Davidson's HLF (Bullish) anlayst is leaving the firm), CAMT +3.5% (still checking), DDD +3.2% (still checking), SD +3.1% ( lifting on positive Leon Cooperman comments), HIMX +2.5% (Prescription Google Glass frames are now available for developers; CNET reports Google Glass will be available to the public in 'late 2014' ), ARIA +1.8% (Announces Commercial Agreement for Iclusig (Ponatinib) in Australia; continued strength), ISIS +1.6% (positive MadMoney mention), YHOO +1.5% (may purchase app developer Tomfoolery for $16 mln, according to reports), NOK +1.3% (plans to introduce Micrsooft Windows 8.1 based smartphone, according to reports), GM +1.2% (following F results), SYY +1% (positive MadMoney mention), GE +0.9% (CEO bought 40K shares at $25.04 on 1/27 worth ~$1.0 mln), CAT +0.4% (following positive Barron's mention).

Analyst comments: CCL +3.1% ( upgraded to Buy from Hold at Numis), PCL +2.1% (upgraded to Buy at DA Davidson on valuation), AIG +1.5% (added to US 1 List at BofA/Merrill), FTNT +1.2% (upgraded to Outperform from Market Perform at JMP Securities), DFS +1.1% (upgraded to Overweight from Equal-Weight at Morgan Stanley ), GOOG +0.9% ( tgt raised to $1300 from $1150 at Jefferies)

>>> Ford Motor beats by $0.03, reports revs in-line; reaffirms FY14 guidance

Ford Motor beats by $0.03, reports revs in-line; reaffirms FY14 guidance

Reports Q4 (Dec) earnings of $0.31 per share, $0.03 better than the Capital IQ Consensus Estimate of $0.28; revenues rose 3% year/year to $35.6 bln vs the $35.27 bln consensus.

Total Automotive fourth quarter wholesale volume and revenue both increased from a year ago. The higher volume primarily reflects higher industry volumes in all regions and higher market shares in North America and Asia Pacific Africa. Lower dealer stock increases this year compared with a year ago were a partial offset. The higher net revenue reflects favorable mix, higher net pricing and the volume increase. Operating margin and pre-tax profit were lower than a year ago.

Ford Credit's fourth quarter pre-tax profit of $368 million decreased $46 million from a year ago, primarily reflecting unfavorable residual performance related to lower auction values and lower financing margin, both in North America, as well as credit loss reserve changes. These factors were partially offset by higher volume.

Ford's outlook for 2014 is unchanged (given on December 18, below ests). Ford expects another solid year with total co pre-tax profit to range from $7 billion to $8 billion; Automotive revenue to be about the same as last year; Automotive operating margin to be lower; and Automotive operating-related cash flow to be positive but substantially lower than 2013


>>> US Early premarket gappers

Early premarket gappers

Gapping up: SANM +8.1%, PRXI +7.8%, CTIC +7.8%, SIMO +6.9%, YY +5.6%, CLF +4.6%, CSIQ +4.5%, SWFT +4.4%, MT +4.3%, YGE +4.1%, QIHU +3.3%, DDD +3.2%, CCL +2.9%, BIDU +2.6%, CHKP +2%, ARIA +1.8%, YHOO +1.5%, CVTI +1%, GE +0.9%,

Gapping down: TTS -15.4%, TTS -15.1%, RCII -12.2%, CHEF -7.9%, AAPL -7.4%, CRUS -7.2%, ATAX -6.9%, EROC -6.5%, STX -6.5%, OLN -6.1%, CSTM -5.1%, ZION -4.8%, PACR -3.6%, SDRL -3.2%, ESI -3.1%, TQNT -3.1%, SWKS -2.9%, TXI -2.3%, BRCM -2.3%, PII -2.3%, PHG -2.3%, MLM -2.2%, ARMH -2.2%, ASTM -2%, AAN -1.9%, GTAT -1.8%, CNC -1.7%, QCOM-1.6%, WDC -1.3%, CHL -1%, RMBS -0.8%, SNDK -0.6%

>>> CIT Group misses by $0.19, beats on revs

CIT Group misses by $0.19, beats on revs
Reports Q4 (Dec) earnings of $0.65 per share, $0.19 worse than the Capital IQ Consensus Estimate of $0.84; revenues fell 5.6% year/year to $337 mln vs the $331.56 mln consensus.
  • Net finance revenue as a percentage of average earning assets ("net finance margin") was 3.95% in the fourth quarter, improved from 3.86% in the year-ago quarter and down from 4.22% in the prior quarter.
  • Excluding the impact of debt redemptions, net finance margin was 4.00% in the current quarter, down from 4.88% in the year-ago quarter and 4.22% in the prior quarter, primarily reflecting the sale of higher-yielding Vendor Finance assets and a decline in operating lease margin and net FSA accretion.
Credit and Allowance for Loan Losses
  • Credit metrics remained at cyclical lows. Net charge-offs were $15 mln, or 0.27% of average finance receivables, versus $17 mln (0.34%) in the year-ago quarter and $27 mln (0.50%) in the prior quarter.
  • Net charge-offs in the commercial segments were 0.32% of average finance receivables, improved from 0.41% in the year-ago quarter and 0.59% in the prior quarter. Charge-offs this quarter included $5 mln related to transfers of loans to assets held for sale, while the prior quarter included $12 mln of such charge-offs.
  • The provision for credit losses was $14 mln in the current quarter, up from $0.1 mln in the year-ago quarter and down from $16 mln in the prior quarter.
Capital Ratios
  • Tier 1 Capital Ratio of 16.7%
  • Total Capital Ratio of 17.4%.

(BN) *VODAFONE WILL RETURN 1.04 POUNDS PER SHARE IN VERIZON DEAL

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BN 01/28 11:18 *VODAFONE RETURN IS BASED ON VERIZON SHARE PRICE, CFO SAYS BN 01/28 11:18 *VODAFONE FINAL INVESTOR PAYOUT WILL BE ANNOUNCED ON FEB. 19 BN 01/28 11:18 *VODAFONE CFO ANDY HALFORD SPOKE IN AGM

+------------------------------------------------------------------------------+

*VODAFONE WILL RETURN 1.04 POUNDS PER SHARE IN VERIZON DEAL 2014-01-28 11:18:14.811 GMT

--AMY THOMSON

-0- Jan/28/2014 11:18 GMT

>>> Cliffs Natural Resources Statement on Shareholder Engagement

Cliffs Natural Resources Statement on Shareholder Engagement
- Cliffs welcomes open communications with all of its shareholders and values their input toward the collective goal shared by Cliffs' Board and management, which is to enhance long-term shareholder value. Cliffs has held productive preliminary conversations with Casablanca Capital and looks forward to continuing the dialogue to better understand their assumptions, projections and overall views.
- As part of the Company's goal to enhance shareholder value, over the last year, Cliffs has made significant changes to strengthen its Board of Directors and management team, including the addition of four new board members and a new chairman. Since these changes were made, the Company has taken steps to improve its financial and operating performance across all of its businesses. Looking ahead, Cliffs expects to continue making progress on reducing costs, strengthening its balance sheet with cash flows from operations, and taking a disciplined approach to capital spending. Cliffs will continue to evaluate the strategic fit and value creation potential of all the Company's assets as part of that process.
- As Cliffs focuses on executing its strategy to improve financial and operating performance, the Company is open to constructive dialogue with all shareholders. As a result, Cliffs will continue to review and consider ideas that may create additional value.
- J.P. Morgan is acting as financial advisor to the Company and Wachtell, Lipton, Rosen & Katz is acting as legal counsel.

>>> Danaher beats by $0.01, beats on revs; guides Q1 EPS below consensus

Danaher beats by $0.01, beats on revs; guides Q1 EPS below consensus; reaffirms FY14 EPS guidance (74.10)
Reports Q4 (Dec) earnings of $0.96 per share, excluding non-recurring items, $0.01 better than the Capital IQ Consensus of $0.95 (co guided to the high end of $0.91-0.96 guidance on Jan 14); revenues rose 5.9% year/year to $5.27 bln vs the $5.2 bln consensus; core rev +3.5%.

Co issues downside guidance for Q1, sees EPS of $0.76-0.80 vs. $0.82 Capital IQ Consensus Estimate.

Co reaffirms guidance for FY14, sees EPS of $3.60-3.75 vs. $3.77 Capital IQ Consensus Estimate; core rev +2-4%.

(BFW) Ziggo/Liberty Deal Unlikely to See Antitrust Issues; Kepler Cuts

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Ziggo/Liberty Deal Unlikely to See Antitrust Issues; Kepler Cuts 2014-01-28 11:04:55.263 GMT

By Blanche Gatt Jan. 28 (Bloomberg) -- Ziggo/Liberty Global deal unlikely to be blocked because of antitrust issues, Kepler Cheuvreux says in note; cuts Ziggo to hold from buy. * Kepler says while Liberty Global’s UPC and Ziggo operate in different areas, a merger of the two could cause some concern * A merger would imply consolidation of 90% of Dutch cable mkt; would attract attention of competition regulators, imply opening up cable * Threat is limited, even if combination were forced to open up cable, because would be years before other operators gained access * While lower than Kepler PT of EU37, offer price is “adequate” given 2014 outlook reported Jan. 24 * Dependence on Liberty Global prices on A and C shares is driving Ziggo shr price from now on: Kepler * Ziggo down 0.4% today on 4th consecutive day of losses; vol. 130% of 3-mo. daily avg. at 11:36am CET * NOTE yday: Liberty Ziggo Bid May Well Succeed, Deal Makes Sense: Analysts * NOTE yday: Liberty, Ziggo Target Cost Cuts of EU160m/Year by 2018

For Related News and Information: First Word scrolling panel: FIRST<GO> First Word newswire: NH BFW<GO>

To contact the reporter on this story: Blanche Gatt in London at +44-20-7392-0351 or bgatt@bloomberg.net

To contact the editor responsible for this story: James Ludden at +44-20-7673-2645 or jludden@bloomberg.net

>>> DuPont beats by $0.04, reports revs in-line; guides FY14 EPS in-line

DD US --> no pre market yet

DuPont beats by $0.04, reports revs in-line; guides FY14 EPS in-line, revs below consensus; authorized a new $5 bln share repurchase program 

Reports Q4 (Dec) operating earnings of $0.59 per share, $0.04 better than the Capital IQ Consensus Estimate of $0.55; net revenues rose 5.8% year/year to $7.75 bln vs the $7.78 bln consensus.
Co issues guidance for FY14, sees operating EPS of $4.20-4.45 vs. $4.32 Capital IQ Consensus Estimate; sees FY14 revs of ~$37 bln vs. $37.99 bln Capital IQ Consensus Estimate.
FY14 Outlook Details: The outlook reflects an expectation for continuing improvement in global industrial production, lower agricultural input costs, and a slightly stronger average exchange value for the U.S. dollar. This outlook also recognizes that Agriculture earnings of ~$.09 per share that historically would have been earned in the first quarter 2014 were realized in the fourth quarter 2013 due to earlier timing of seed shipments.
"Our strong fourth quarter results reflect successful execution across the company against the backdrop of a gradually improving global economy...For the year, we delivered double-digit operating earnings growth and higher margins, aside from the substantial decline in Performance Chemicals. The improvement was driven by higher volumes, new innovative products and productivity gains."
Agriculture -- Operating earnings were $88 mln compared to a seasonal operating loss of $77 mln in last year's fourth quarter.
Performance Chemicals -- Operating earnings of $229 mln were down 3 percent as price declines for titanium dioxide and refrigerants, along with higher raw material costs, more than offset volume increases and improved plant utilization in both businesses. Titanium dioxide volume was up 18 percent from fourth quarter 2012.
Share Repurchase Program: Co also announced that its Board of Directors authorized a new $5 bln share repurchase program of the company's common stock. This program replaces the existing repurchase program. The company expects to repurchase $2 bln in 2014 with the remainder to be repurchased over time with no required completion date.

>>> Air Products beats by $0.01, misses on revs; guides Q2 EPS below consensus

APD US --> No Pre market for the moment

Air Products beats by $0.01, misses on revs; guides Q2 EPS below consensus; reaffirms FY14 EPS guidance

Reports Q1 (Dec) earnings of $1.34 per share, excluding non-recurring items, $0.01 better than the Capital IQ Consensus Estimate of $1.33; revenues fell 0.7% year/year to $2.55 bln vs the $2.58 bln consensus on slightly lower volumes and stable pricing, partially offset by higher energy pass-through. Volumes were higher in Merchant Gases, Electronics and Performance Materials, and Equipment and Energy, while refinery customer outages impacted volumes in the Tonnage Gases segment. Underlying sales, excluding the exit from the Polyurethane Intermediates Business (PUI), decreased one percent.

Co issues downside guidance for Q2, sees EPS of $1.32-1.37, excluding non-recurring items, vs. $1.43 Capital IQ Consensus Estimate.

Co reaffirms guidance for FY14, sees EPS of $5.70-5.90, excluding non-recurring items, vs. $5.83 Capital IQ Consensus Estimate.

"We still see greater momentum in the second half of the year. Full year performance remains on track and we expect to drive earnings growth by continuing to focus on our priorities -- improved asset utilization, productivity and cost reduction, winning in the marketplace and disciplined project execution."