U.S. Movers: AOL, Boeing, ClickSoftware, Greenbrier, Zep

Mukesh Buch
09 Apr, 2012
New York City

AOL deal for patents to Microsoft for $1.06 billion in cash. Boeing deliver four 787-8 Dreamliners to Russian Transaero Airlines for $744 million. Greenbrier second quarter net income swung to $17.7 million.

[R]11:00 AM New York – AOL deal for patents to Microsoft for $1.06 billion in cash. Boeing deliver four 787-8 Dreamliners to Russian Transaero Airlines for $744 million. Greenbrier second quarter net income swung to $17.7 million.[/R]

AOL Inc. ((AOL)) surged 42.6% or $7.85 to $26.27 after the online content provider agreed to sell 800 patents and related patent applications to Microsoft Corporation ((MSFT)) and grant non-exclusive license for $1.06 billion in cash. AOL would have approximately $15 per share cash on hand and the transaction is expected to be complete by end of 2012.

ClickSoftware Technologies Ltd. ((CKSW)) declined 13.8% or $1.75 to $10.80 after the Israel based software maker anticipates first quarter revenues to increase 21% to $21.6 million compared to last year. The company reiterates its revenues for fiscal 2012 of $100 million to $105 million.

The Boeing Company ((BA)) decreased 1.4% or $1.06 to $72.53 after the plane maker signed Russia based Transaero Airlines for the order for $744 million to deliver four 787-8 Dreamliners. Transaero is the second largest airline in Russia operating 737, 747, 767 and 777 Boeing airplanes.

The Greenbrier Companies, Inc ((GBX)) increased 1.4% or 29 cents to $19.99 after the railroad freight car equipments maker reported second quarter revenues surged 60% to $458.2 million from $284.3 million in the same quarter last year. Net earnings in the quarter swung to $17.7 million or 57 cents per diluted share compared to net loss of $0.55 million or 2 cents per share in the year ago earlier.

The company continues to increase production as orders increased. New railcar deliveries in the quarter were 3,700 units compared to 2,200 units from a year ago.

Zep Inc. ((ZEP)) gained 2.5% or 36 cents to $14.70 after the cleaning products provider said second quarter net sales rose 3.3% to $151.7 million from $146.8 million in the same quarter last year. Net income in the quarter increased 13.2% to $2.43 million or 11 cents per diluted share compared to $2.15 million or 10 cents per share in the year ago earlier.

Gross profit decline 44.8% $68 million mainly due to increased inflation in the cost of raw materials leads higher manufacturing costs.