Transocean Opens 2.81% Higher (AIR, RIG, KR, SBUX, LCC)
AAR Corp (NYSE:AIR) went down 2.94% to $11.23. The Board of Directors has authorized the Company to buyback up to $50 million of its outstanding shares of common stock. The Company will fund the buyback through available cash and cash generated from operations.
The Company expects consolidated sales for the fourth quarter to be between $560 million to $565 million. Diluted earnings per share are expected to be between $0.44 and $0.46. Cash flow from operations is expected to be in excess of $50 million for the quarter. Sales to commercial customers are anticipated to increase by approximately 40% which includes 13% organic growth at the Company’s supply chain and MRO services businesses.
Transocean LTD (NYSE:RIG) jumped up 2.81% to $43.51. The Company has put its Middle East rig assets up for sale in a deal likely to raise $1 billion. U.S. private equity firms Lime Rock Partners and Castle Harlan are the main bidders.
The Company issued a monthly fleet update. This includes new contracts, significant changes to existing contracts and changes in estimated planned out of service time. According to the Mau update, backlog associated with new contracts or extensions is approximately $2.5 billion and planned 2012 out of service time decreased by a net 19 days.
The Kroger Co (NYSE:KR) went up 1.11% to $22.84 after the Company released first quarter results. Total revenue was $29.06 billion, below the analyst estimate of $29.16 billion. Earnings were $439.4 million or 78 cents per share compared to $432.3 million or 70 cents per share in the prior year period. The Board of Directors has approved a $1 billion share repurchase program.
Starbucks Corporation (NASDAQ:SBUX) declined 0.54% to $52.05. The Companys will debut the first products in a line of U.S.-made mugs and other merchandise that will be sold in its roughly 7,000 U.S. cafes to support domestic manufacturing and raise money for its Create Jobs for USA fund.
US Airways Group Inc (NYSE:LCC) decreased 2.48% to $12.16. US Airways Group is intending to file paperwork with U.S. antitrust regulators as early as July. This is regarding for a proposed merger with AMR Corp. AMR Corp is the bankrupt parent of American Airlines. According to the sources, the exact timing of a filing with antitrust regulators depends in large part on the status of AMR’s ongoing contract disputes with its three primary labor unions and the timeframe could move beyond July.