Headlines this morning include the Treasury exiting its AIG stake, Texas Instruments updating its guidance, HSBC settling with regulators, Dollar General reporting earnings and free calling for Blackberry users. Also in the market today, oil prices continue to fall while the Fiscal Cliff negotiations continue.
American International Group
The U.S. Treasury announced plans to sell the balance of its holdings in the insurance giant's shares. The Treasury still holds more than 234 million shares of the company. The $7.6 billion offering will be priced at $32.50 per share, bringing the Treasury's profit on its investment in AIG (AIG) to $22.7 billion.
The chipmaker said it expects EPS of 5 to 9 cents per share for the current quarter. Texas Instruments (TXN) said the quarter's results include a restructuring charge of 21 cents per share. Excluding the charge, the midpoint of the company's guidance rises to 28 cents per share, from 27 cents previously. The company forecast fourth-quarter revenues of $289 billion to $3.01 billion, compared to a prior range of $283 billion to $3.07 billion. The mean analyst estimate was for revenue of $296 billion.
The British bank agreed to a $1.92 billion settlement with the U.S. government to settle charges that the company did not adequately comply with anti-money laundering rules. HSBC (HBC) said it will continue to cooperate with regulatory and law enforcement agencies to strengthen its compliance policies and procedures.
The discount retailer reported adjusted EPS of 63 cents per share, beating expectations for 60 cents. Sales rose to $3.96 billion, in line with analysts' estimates. Dollar General (DG) said it expects to earn $2.82 to $2.85 per share for the full fiscal year, compared to a mean estimate for $2.86.
Research in Motion
The Blackberry maker is adding voice calling to the list of features available to users of its exclusive data network, the Blackberry Messenger service. The messenger service has long provided free texting between Blackberry devices, but the addition of voice calling between Blackberry devices that are connected to a Wi-Fi network is a feature wireless carriers have made difficult to use on Apple (AAPL) and Android phones. The upgrade is for current Blackberry models, and the company did not mention where it will be included on the Blackberry 10, which is scheduled to be released at the end of January.