10:45 AM New York – U.S. Treasury plans to cut its stake in AIG stake an $18 billion offered its common stock valued $2.50 per share. Infosys agreed to acquire a Zurich based Lodestone $349 million in cash. Optical Cable surged on net jumped. Plains Exploration agreed to buy US Gulf assets from BP for $5.55 billion.
American International Group, Inc.
) decreased 1.9% or 67 cents to $33.32 after the insurance company said the U.S. Treasury offered $18 billion of its AIG’s common stock that was purchased at $2.50 per share at the height of the financial crisis in 2008.
Treasury will grant a 30-day option to underwriters offering to purchase up to additional $2.7 billion of stock to cover over allotments.
The sale is expected to generate profit for the Treasury after the government and the Fed committed $180 billion in aid and spent less than $68 billion to rescue the insurer.
AEP Industries Inc.
) gained 11 cents to $51.67 after the packaging films maker reported total revenues in the third quarter ending in July increased 19% to $292 million from $246.4 million in the same period of last year. Net income in the quarter jumped nearly four-fold to $12.3 million or $2.20 per diluted share compared to $2.5 million or 43 cents per share a year ago.
The AEP said the acquisition of Webster added $30.7 million during the three months and $89.9 million in net sales nine months. The company added gross profit for the third quarter increased 60% to $56.5 million.
Farmer Bros. Co.
) dropped 5.5% or 54 cents to $9.15 after the food processing company reported total revenues in the fourth quarter ending in June grew 1% to $120.9 million from $119.2 million in the same period of last year. Net loss in the quarter narrowed to $12.1 million or 77 cents per diluted share compared to $22.3 million or $1.47 per share a year ago.
) decreased 35 cents to $45.31 and the India based software and technology services provider said it agreed to acquire a Zurich, Switzerland based Lodestone Holding AG, a management consultancy firm for enterprise value of Sfr330 million ($349 million) in cash.
The deal is expected to close by end of the next month.
Optical Cable Corporation
) surged 23.3% or 90 cents to $4.76 after the communication equipment maker reported total revenues in the third quarter ending in July advanced 17% to $22 million from $18.8 million in the same period of last year. Net income in the quarter surged more than nine-fold to $1.2 million or 28 cents per diluted share compared to $118,000 or 2 cents per share a year ago.
Plains Exploration & Production Company
) declined 7.7% or $3.13 to $37.20 after the energy company agreed to buy stakes of a certain deepwater oil and gas properties in the Gulf of Mexico oilfields from BP Exploration & Production Inc. and BP America Production Company for $5.55 billion to increase the output. These includes the BP operated Marlin, Dorado and King Fields.
In a separate statement the company also agreed to acquire 50% working interest from Shell Offshore Inc. in the Holstein Field for $560 million.
Titan Machinery Inc.
) tumbled 20.5% or $5.20 to $20.16 after the agricultural and construction equipment retailer reported total revenues in the second quarter ending in July climbed 32% to $410.1 million from $310.8 million in the same period of last year. Net income in the quarter slumped 16% to $5.2 million or 25 cents per diluted share compared to $6.2 million or 30 cents per share a year ago earlier.
The company reiterated revenue guidance for the fiscal 2013 in a range of $1.95 billion to $2.1 billion and now expects lowered net income between $44.3 million to $48.5 million from the previous range of $53.8 million to $58 million and earnings per diluted share in the range of $2.10 to $2.30.