Wednesday headlines include: the French government signing off on GE's bid for Alstom's energy business; earnings from Time Warner, Chesapeake Energy and Cognizant Technology; and a big recall from Ford.
Industrial conglomerate General Electric (GE) got approval Wednesday from the French government for its proposed purchase of the power business of Alstom. The deal has a value of about $15.6 billion. Emmanuel Macron, the French economy minister, said the government will take a stake of up to 20 percent in the remaining company from Bouygues, one of Alstom's largest shareholders, after the deal is completed.
Media giant Time Warner (TWX) said Wednesday that it earned $.11 per share in the third quarter, on revenue of $6.24 billion. Analysts had expected 94 cents per share on $6.16 billion. Looking forward, the company says it expects earnings an earnings increase in the high teens on a percentage basis, the prior forecast had been for growth in the low teens.
Natural gas giant Chesapeake Energy (CHK) said Wednesday that it earned 26 cents per share in the third quarter, or 38 cents on an adjusted basis. Analysts had expected the company to earn 33 cents per share. The company produced 726,000 barrels of oil equivalent per day during the quarter, up 11 percent from the year-ago period.
Automaker Ford (F) recalled more than 202,000 vehicles in North America to fix five separate issues, including gas leaks, air-bag sensors, stalling and other issues. Ford said the problems have lead to one accident, but is not aware of any injuries stemming from the issues.
Cognizant Technology Solutions
IT outsourcing firm Cognizant Technology Solutions (CTSH) said Wednesday that it earned 58 cents per share in the third quarter on revenue of $2.58 billion. Analysts had expected the company to earn 59 cents per share on $2.57 billion in revenue. Looking forward, the company expects to earn at least 63 cents per share in the fourth quarter on $2.58 billion in revenue. Analysts had been expecting 59 cents per share on $2.58 billion in revenue.