Lincoln National, Sealed Air Drop

Mayank Mehta
15 Jun, 2009
New York City

Lincoln National, the parent of life insurer Lincoln Financial Group planned to raise $1.1 billion from investors and tap $950 million from the U.S. Treasury. On the news, financials trade lower. Sealed Air closed $400 million debt offering.

[R]11:00AM New York – Huntington Bancshares Incorporated led gainers in the S&P 500 index with a rise of 10.5%. Amazon.com, Inc settles toy suit, trades down. Sealed Air Corp completed $400 million offering.[/R]

Of the stocks in S&P 500 index, 18 increased, 480 declined and 2 were unchanged.

Lincoln National Corporation led the decliners in the S&P 500 index with a loss of 7.8% followed by losses in Rowan Companies, Inc of 6.8%, in Tenet Healthcare Corporation of 6.5%, in AK Steel Holding Corporation of 5.7% and in Alcoa Inc of 5.6%.

Huntington Bancshares Incorporated led gainers in the S&P 500 index with a rise of 10.5% followed by gains in of Sprint Nextel Corporation 2.0%, in Memc Electronic Materials Inc of 1.9% and Marshall & Ilsley Corporation of 1.7%.

Other Movers

Amazon.com, Inc ((AMZN)) fell 3.0% or $2.32 to $81.76 after the world’s biggest Internet retailer agreed to pay $51 million to Toys R Us Inc. to end a long-standing legal dispute between the online retailer and the toy seller.

Bank of America Corporation ((BAC)) dropped 3.0% or 42 cents to $13.30. Many brokers have lifted their price targets on the bank as investors grow confident and regain confidence in the banking system and earnings outlook. Today, Rochdale Securities analyst Richard Bove increased his price target to $19 from $14.

BHP Billiton Limited ((BHP)) the diversified natural resources company fell 3.8% or $2.34 to $57.87 after global commodities prices declined.

BioDelivery Sciences International, Inc ((BDSI)) surged 11.6% or 79 cents to $7.55 after the Raleigh, North Carolina-based drugmaker today announced that the company has reached agreement with the U.S. FDA for its new drug application for ONSOLIS.

Biogen Idec Inc ((BIIB)) the Cambridge, MA based company dropped 3.0% or $1.55 to $49.83.

Energen Corporation ((EGN)) lost 3.6% or $1.49 to $39.76 after the natural gas company was downgraded from “buy” to “hold” at Citigroup.

Jazz Pharmaceuticals, Inc ((JAZZ)) jumped 72.3% or $1.91 to $4.55 after the Palo Alto, California based drugmaker’s sodium oxybate demonstrated statistically significant and clinically meaningful improvement in pain and the core symptoms associated with fibromyalgia according to Phase III data presented last week at a trade conference.


Lincoln National Corp ((LNC)) decreased 8.5% or $1.50 to $16.23 after it said it plans to raise $2.1 billion from the government bailout program and in offering of debt and stocks to private investors. The company plans to raise $600 million in stock offering, $500 million in debt offering and $950 million by selling preferred stock to the U.S. Treasury.

The U.S. Treasury approved the holding company of Lincoln Financial for up to $2.5 billion. Lincoln National also agreed to sell its UK subsidiary for $320 million or 195 million pounds.

Sealed Air Corporation ((SEE)) slid 3.0% or 56 cents to $18.56 after packaging products maker announced today the pricing of $400 million aggregate principal amount of 7.875% senior unsecured notes due June 15, 2017.

Wal-Mart Stores, Inc ((WMT)) fell 3.0% or $1.29 to $48.55 after the world’s biggest retailer was cut to “neutral” from “buy” by Goldman Sachs.

Wendy’s/Arby’s Group, Inc ((WEN)) dropped 8.5% or 34 cents to $3.64 after the third-largest U.S. fast-food retailer said it plans to sell $500 million in bonds to pay down debt.