2:30PM NY, U.S. Market Movers

K-Tron International Inc.''s (KTII: chart) shares climbed to 6.8% after the company said that its first-quarter net income more than doubled to $4.9 million, or $1.72 per share, 110.6% higher than the $2.317 million reported in the first quarter of 2006. Revenue climbed to $46.9 million versus $32.1 million in the same period a year earlier.

Ohio Casualty Corp. (OCAS: chart) shares jumped 29.4% after the company agreed to be acquired for $44 per share, or $2.7 billion, by Liberty Mutual Group.

Rocky Brands Inc. (RCKY: chart), footwear and apparel maker, said that its first-quarter net income fell 14% on lower Western footwear sales and a reduction in company''s inventory. Quarterly profit fell to $765,905, or 14 cents per share, compared with $893,230 million, or 16 cents per share during the year-ago quarter. Revenue grew 7% to $61.7 million, from $57.5 million last year, helped by growth in the company''s work and outdoor products, offset by lower sales of Western products.

8x8 Inc. (EGHT: chart) shares fell 6.8% after the company reported its fourth-quarter net loss of $2.25 million, or 4 cents per share, compared with a net loss of $6.65 million, or 11 cents per share, in the year-ago period. Revenue climbed to $14.4 million versus $10.3 million a year ago.

Entegris Inc. (ENTG: chart) shares slipped 9.1% after the provider of materials integrity products said that its first-quarter net earnings declined to $10.4 million, or 8 cents per share, compared with $11.4 million, or 8 cents per share, in the year-ago period. Revenue climbed to $161.1 million against $157.7 million a year ago. Entegris forecast second-quarter earnings of 8 to 12 cents per share, or 10 to 12 cents per share excluding items, on revenue of $155 million to $162 million.

Gray Television''s (GTN: chart), TV stations operator, said that it posted a deeper loss in the first quarter on an early repayment of debt. During the first quarter the company lost $11.3 million, or 24 cents per share, versus a loss of $3.4 million, or 7 cents per share, in the year-ago period. Quarterly earnings included a charge of $6.5 million for paying off a debt early. Revenue climbed 2% to $69.7 million versus $68.2 million from the previous year. Shares fell 6%.

Alcoa (AA: chart) said it would make a hostile bid for Alcan Inc. (AL: chart) for nearly $27 billion, after talks between the rival aluminum producers failed to lead to a deal. If successful, the bid of $73.25 per share in cash and stock would create the world''s largest producer of the metal that is used for products ranging from beverage cans to airplanes, cars and heavy machinery parts. Shares of Alcan and Alcoa climbed respectively 32.5% and 6.4%.

Armor Holdings Inc. (AH: chart) shares climbed 5.6% after the company agreed to be acquired by Britain''s BAE Systems Plc. for $88 per share, or $4.1 billion.

Usec Inc. (USU: chart) shares climbed 7% after the company said that its first-quarter earnings increased to $39.3 million, or 45 cents per share, compared to the year-earlier period. The energy company reported quarterly revenue of $465 million against $361.3 million a year ago.

1:00PM NY, 5:00 PM Frankfurt European stocks closed little changed.

European stock markets ended little changed on Monday, reflecting declines in the shares of automakers which offset gains for companies including Bouygues. Several European markets, including the U.K. stock market, were closed, keeping volumes on the low side. Shares of French conglomerate Bouygues rose 3.5%, on hopes that the new president would welcome a tie-up involving Bouygues, 21% held Alstom and nuclear plant operator Areva. Alstom rose 3.6%, while Areva gained 2.5%.

EADS shares added 1.1%. Shares in Gaz de France climbed 4.8% on hopes for a deal with Sonatrach, an Algerian energy company. Auto makers lost ground, with BMW falling 0.6% and Volkswagen losing 1.1%. Dutch bank ABN Amro lost 2.3% after rejecting a $24.5 billion offer for its LaSalle unit from a group led by the Royal Bank of Scotland.

The French CAC 40 ended virtually unchanged at 6,071.48. The election victory of conservative Sarkozy over Segolene Royal in Sunday''s final round presidential election gave market a boost. The German DAX 30 edged up 0.1% at 7,525.69.


11:30AM U.S. stock averages traded higher, driven by takeover news.
U.S. market averages continued to post gains on Monday morning, boosted by merger activity. Dow component Alcoa (AA: chart) led gainers with an advance of 6.6%. The aluminum giant offered $33 billion in cash and stock for Canada''s Alcan (AL: chart). In other deal news, Liberty Mutual Group agreed to buy Ohio Casualty Corp. (OCAS: chart) in a cash deal worth $2.7 billion, or $44 a share. The bid represents a 32% premium to Ohio Casualty''s closing price on Friday. The transaction is expected to close in Q3 of 2007. Shares of Ohio Casualty surged nearly 30%.

A continued decline by the price of oil also helped generate some buying interest. It also contributed to significant strength in the oil-sensitive airline sector. Crude oil for June delivery dropped $1.01 to $60.92 a barrel. Gold stocks also posted strong gains, benefiting from an increase by the price of gold. Gold for June delivery rose $1.30 to $691 an ounce.

In late morning trading, the Dow industrials rose 32.59, or 0.25%, to 13,297.21. The Dow rose as high as 13,310.70 Monday, topping a previous trading high of 13,284.53 set Friday. The Standard & Poor''s 500 index rose 3.64, or 0.24%, to 1,509.26. The Nasdaq composite index rose 3.55, or 0.14%, to 2,575.70. Bonds were little changed. The yield on the benchmark 10-year Treasury note remained flat at 4.64% from late Friday.


9:45AM U.S. markets opened higher, boosted by merger activity.
Wall Street opened in the positive, boosted by merger activity. However, cautiousness ahead of Fed''s interest rate decision limited early gains. A $33 billion bid by Alcoa Inc. (AA: chart) for Canadian aluminum rival Alcan Inc. (AL: chart) helped the Dow Jones industrials pass 13,300 for the first time. Alcoa shares rose 6%, while Alcan surged 34%.