2011

Book retailer Borders Group Inc. is facing a possible liquidation of its operations, as the bankrupt company received no offers before the Sunday bidding deadline, The Wall Street Journal is reporting. Citing people familiar, The Journal noted that no offers were received before the 5 p.m. EST Sunday deadline. A bankruptcy court auction is scheduled for Tuesday. Borders sells books, music, and movies online and in retail stores across the U.S. The company is based in Ann Arbor, Michigan and was founded in 1971. In February 2011, Borders filed for bankruptcy protection.

Wolverine Worldwide (WWW) recently reported its fifth consecutive positive earnings surprise on record quarterly revenue. Despite the strong quarter, management reiterated its revenue and EPS guidance for the remainder of the year. Perhaps they were being too conservative though, as analysts have been raising their earnings estimates over the last few days, sending the stock to a Zacks #2 Rank (Buy). Based on consensus estimates, Wolverine is expected to grow EPS by 14% in 2011 and 11% in 2012. On top of this growth, the company pays a dividend that yields 1.2%. Valuation looks attractive too with shares sporting a PEG ratio around 1.0. Company Description Wolverine Worldwide markets branded casual, active lifestyle, work, outdoor sport and uniform footwear and apparel. The company offers well-known brands like Bates®, Chaco®, Cushe(TM), Hush Puppies®, HYTEST®, Merrell®, Sebago® Soft Style® and Wolverine®. Wolverine is also the exclusive footwear licensee of popular brands, including CAT®, Harley-Davidson® and Patagonia®. The company was founded in 1883 and is headquartered in Rockford, Michigan....

The event of the day on Friday was the release of the European bank stress results. The European Banking Authority waited until very late in the day before publishing the results, probably to prevent “unnecessary” aggravation to financial markets, especially since the response is always unknown. In all, 90 banks across the European Union were reviewed for how much money they have in reserves, a cushion needed in case of economic slowdown across the continent. Eight banks in three countries failed the test (5 in Spain, 2 in Greece and 1 in Austria) while sixteen others barely passed. Immediately, some countries challenged the results as inaccurate and overly pessimistic, insisting that they would not force their weaker banks to raise new cash. On the other hand, many economists warned that the tests were insufficient because they did not simulate the main risk hanging over Europe, a default by Greece and precarious position of other PIIGS countries. All said, the test turned out to be...

TeleCommunication Systems, Inc. (NASDAQ: TSYS) today announced that it has been awarded a new order with a ceiling value of $60.8 million to provide Tactical SHF Satellite Terminals to the U.S. Army. The order is initially funded at $53.1 million and will be funded up to a total of $60.8 million if the options are fully exercised. This award was made under the Army's $5 billion World-Wide Satellite Systems Indefinite Delivery Indefinite Quantity contract vehicle in support of the Program Manager for the Warfighter Information Network-Tactical. Delivery of the terminals is expected in the second and third quarters of 2012.

Genesee & Wyoming (NYSE: GWR) today reported traffic volumes for June 2011 and the second quarter of 2011. GWI's traffic in June 2011 was 84,999 carloads, an increase of 10,071 carloads, or 13.4 percent, compared with June 2010. GWI's traffic in the second quarter of 2011 was 249,508 carloads, an increase of 28,315 carloads, or 12.8 percent, compared to the second quarter of 2010. The table below sets forth consolidated carloading information for June 2011 and June 2010. Additional carload information for our North American and Australian operations is included as an exhibit to this press release.

Kinetic Concepts Inc (NYSE: KCI) agreed to be bought for $6.3 billion by a consortium of private equity firm Apax Partners, as well as affiliates of Canada Pension Plan Investment Board and the Public Sector Pension Investment Board. The consortium is paying $68.50 per share in cash for the company, representing a 6.2% premium to Tuesday's closing price.

Below are the top general building materials stocks on the NYSE in terms of operating margin. The trailing-twelve-month operating margin at LSB Industries Inc (NYSE: LXU) is 13.04%. LXU's PEG ratio is 1.27. The trailing-twelve-month operating margin at Valspar Corporation (The) (NYSE: VAL) is 11.08%. VAL's ROE for the same period is 14.05%. The trailing-twelve-month operating margin at Martin Marietta Materials Inc (NYSE: MLM) is 10.96%. MLM's revenue for the same period is $1.80 billion. The trailing-twelve-month operating margin at MDU Resources Group Inc (NYSE: MDU) is 10.21%.

UK retailer Marks & Spencer Group PLC (OTC: MAKSF) reported that its total group sales, excluding value added tax, increased 3.2% in its fiscal first quarter. The group's comparable UK sales rose 1.7%. Analysts were expecting a 1.5% rise in same-store sales. MAKSF shares gained 1% to close at $6.08 yesterday.

The Eurozone sovereign debt crisis remains in focus, with Eurozone finance ministers meeting on Sunday to discuss the next steps for Greece. All clear, for the time being. The Greek government had its implementation law approved on Friday with a majority of 155 to 136 in its second voting round. After the double parliamentary vote, the disbursement of the fifth tranche of the original €110bn package will have no obstacles and will be almost certainly deliberated on Sunday July 3rd by the Eurogroup and on Tuesday July 5th by the IMF. Now that the short term liquidity issue has been solved, all efforts will be put on the finalisation of the “private sector involvement” aspect of the new bailout package. With press reports ‘hinting’ at progresses both on Banks’ (and other institutional investors) commitment to maintain exposure to Greece and on that of a possible clearance from rating agencies that the options would not be considered an event of default,...

The shared currency has grabbed market's attention due to the expectations predicted that the ECB is to raise the interest rates during the week after the European finance ministers authorized an 8.7 billion euro ($12.7 billion) loan payout to Greece, so the Euro currency has reached to the highest level in three week versus the dollar.  On the other hand, the Japanese currency (Yen) fell against the major counterparts as the Asian stock market rallied during the first day of the week, pushed investors to turn their investments to the stock exchange markets.  Moreover, the Australian dollar is witnessing some incline movements against the dollar before the Australian report that will show the retail sales in Australia increased and the building approvals improved more than a previous month.