Tuesday, October 26, 1999
TRISTATE BUSINESS SUMMARY
NCR to cut 1,500 jobs in bid to boost profits
Dayton, Ohio-based NCR Corp., the world's largest maker of automated-teller machines, plans to cut 1,500 jobs as it decreases its focus on low-profit computer businesses.
NCR said it will take a $200 million to $250 million charge in the fourth quarter related to the job cuts that will be offset by a one-time tax-reserve gain. NCR expects to save $75 million a year as a result starting next year.
NCR has been trying to distance itself from the business of selling personal computers and low-end servers, which control PC networks. The company will focus more on cash registers, bank cash machines and software that stores libraries of information.
Emmis plans to sell shares to Liberty Media
Television and radio station owner Emmis Communications Corp. of Indianapolis said Monday that it agreed to sell 2.7 million Class A common shares to AT&T subsidiary Liberty Media Group for about $150 million.
Liberty Media will become Emmis' second-largest shareholder after chairman and chief executive Jeffrey Smulyan, Emmis said.
The stake represents about 14 percent of Emmis before a pending public offering.
Liberty Media, based in Englewood, Colo., is a separately traded subsidiary of AT&T Corp.'s Broadband & Internet Services unit. It owns stakes in about 50 media and technology companies, including Discovery Communications, Time Warner Inc., Sprint PCS Group and General Instrument Corp.
Sherwin-Williams names chief executive, president
Sherwin-Williams Co. named Christopher Connor chief executive and Joseph Scaminace president, succeeding John Breen as Mr. Breen heads toward the end of his 20 years atop the largest U.S. paint maker.
Mr. Connor, 43, will serve as vice chairman and chief executive while Mr. Scaminace, 46, will be president and chief operating officer, effective immediately. Mr. Breen, 65, will remain as chairman until his retirement in April. Mr. Breen had been chairman and chief executive of the Cleveland-based company since 1979. He had been president since the March retirement of Thomas Commes.
It sets up a very orderly succession, McDonald Investments Inc. analyst Charles Cerankosky said. Jack (Breen) has a very disciplined management style, and these two have been long exposed to it.
Dana Corp. estimates lower earnings per share
Dana Corp., the world's largest maker of light-truck axles, Monday said it now expects fourth-quarter earnings of 85 cents to $1.05 a share, a week after its shares fell 9 percent following a company warning about the quarterly profit.
Before last week's warning, Dana had been expected to earn $1.11, the average estimate of analysts surveyed by First Call Corp. The average is now 94 cents. The company earned $149 million, or 89 cents, before charges for the acquisition of replacement-parts rival Echlin Inc. in 1998's fourth quarter.
Monday, the company, in an invitation-only meeting with analysts and investors in Toronto, also said it expects earnings next year to be $4.40 to $4.50 a share. The current average estimate is $4.48. Before last week's warning, the average had been $4.89.
Dana shares closed up 871/2 cents to $28.371/2. The shares have fallen 31 percent this year.
Sales pace for homes exceeding '98 record
7 Comair investors file lawsuits
Electrifying sales for new surgical scissors
Millions of hits, few bids in Net auction of models' eggs
Nasdaq's later hours go ignored by media
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