SPSN, INDR, HTV, GSAT, BPUR, MYNG
Our Stocks to Watch tomorrow include Spansion Inc. (Nasdaq: SPSN), Indie Ranch Media Inc. (OTC: INDR), Hearst-Argyle Television Inc. (NYSE: HTV), Globalstar Inc. (Nasdaq: GSAT), Biopure Corporation (Nasdaq: BPUR) and Golden Eagle International Inc. (OTCBB: MYNG).
SPANSION INCORPORATED (NASDAQ: SPSN)
"Up 5.56% on Wednesday"
Spansion is a leading Flash memory solutions provider, dedicated to enabling, storing and protecting digital content in wireless, automotive, networking and consumer electronics applications. Spansion, previously a joint venture of AMD and Fujitsu, is the largest company in the world dedicated exclusively to designing, developing, manufacturing, marketing and selling Flash memory solutions. Spansion®, the Spansion logo, MirrorBit®, MirrorBit® Eclipse™, ORNAND™, ORNAND2™, HD-SIM™, Spansion® EcoRAM™ and combinations thereof, are trademarks of Spansion LLC in the U.S. and other countries. Other names used are for informational purposes only and may be trademarks of their respective owners.
March 23 -
Spansion Provides Business Update
Spansion Inc. (Nasdaq: SPSN) the world's largest pure-play provider of Flash memory solutions, released its fourth quarter net sales results and issued its net sales outlook for the current fiscal quarter.
In the fiscal fourth-quarter ended December 31, 2008, net sales were $468 million. During the fiscal first quarter 2009, ending March 29, Spansion anticipates net sales of approximately $400 million, driven by sales in certain telecommunications and gaming segments as well as advance purchases from certain customers, offset by continued weakness in the overall economy during a quarter that is seasonally down compared to the fourth quarter.
"Despite a troubled economy, Spansion gained segment share in the fourth quarter while keeping average selling prices relatively stable," said John Kispert, Spansion president and CEO. "In addition, net sales in the first quarter are an indication of the continued customer demand for Spansion solutions."
The company also said it believes its chapter 11 cases are progressing well. The company also noted that it is looking forward to working closely with its creditors in the weeks and months ahead on a plan of reorganization for the company.
"The decisions we made to reduce costs were difficult, but necessary," Kispert said. "As a result of those actions, Spansion expects to meet its post-petition obligations, and is leveraging its global manufacturing facilities to meet customer demand. Spansion is experiencing relatively typical seasonal patterns during the first quarter and is conducting business as usual. We plan to continue to take the necessary actions to strengthen our cash position, to help enable Spansion to emerge from the Chapter 11 process as a stronger and more focused company."
As part of the restructuring process, Spansion also continues to pursue strategic alternatives and is in discussions with multiple companies regarding the potential sale of some or all of the company's assets.
The unaudited results for the fourth quarter 2008 and the outlook for the first quarter 2009 are preliminary and subject to change. For example, the company is currently conducting an impairment assessment of its fixed assets, goodwill and long-lived intangible assets. This ongoing assessment will result in material non-cash charges to the income statement and an associated reduction in the carrying values of the assets disclosed on the balance sheet. Final fourth quarter 2008 results will be provided in the company's Annual Report on Form 10-K to be filed with the U.S. Securities and Exchange Commission (SEC).
INDIE RANCH MEDIA INCORPORATED (OTC: INDR)
India Ranch Media, Inc. is a comprehensive Internet Protocol Television (IPTV) studio and production and post production services company. The Company is operated by management experienced in film, TV and new media with strong relationships in the creative and technical communities, and a track record of successful film, television and IPTV productions and industry partnerships. Indie Ranch Media collaborates with industry leading artists, engineers, post production experts and equipment manufacturers to provide filmmakers with innovative and cost effective solutions to bring their visions to life. Please visit the company's website at www.indranch.com.
March 25 -
Indie Ranch Media Subsidiary NetMix Broadcasting Announces Further Details on Nokia Broadcasting Alliance
Indie Ranch Media, Inc. (OTC: INDR) (the "Company") announced that their wholly owned subsidiary Netmix Broadcasting Network is now broadcasting Plurlife, NetMix Live, NetMix Retro, NetMix Blues Train and NetMix Trance through the Nokia Mobile Network.
The Nokia Internet Radio service enables the users of Nokia devices to enjoy the universe of Internet radio. The service consists of the station directory and the device player. The station directory provides station information for users to discover, categorized under genre, country, and language. The device player connects directly to the station's audio stream. The device player is available for Nokia S60 3rd edition devices and Nokia Internet Tablet. The player is pre-installed in some devices. It is also available for downloading from www.nokia.com/internetradio or through device Device Download application.
Further discussions, including utilizing the Netmix Broadcasting Technology to expand the Nokia live content distribution in the near future as Netmix begins deployment, are also being pursued. Nokia's technology for streaming media to appropriate servers and matching the speed of an end user's network connection makes this an excellent opportunity for the back-end infrastructure behind the NetMix Broadcasting Network to partner with Nokia. This alliance will expand the listener base for NetMix Broadcasting into millions of listeners, thus catapulting advertising revenue potential.
HEARST ARGYLE TELEVISION INCORPORATED (NYSE: HTV)
"Up 92.82% on Wednesday"
Hearst-Argyle Television, Inc., together with its subsidiaries, engages in the ownership and operation of network-affiliated television stations in the United States. The company's programming includes three components consisting of programs produced by networks with which it is affiliated, such as ABC's Desperate Housewives, NBC's Law and Order and CBS' CSI: Crime Scene Investigation, and special event programs, such as The Academy Awards and the Olympics; programs that it produces, such as local news, weather, sports and entertainment; and first-run syndicated programs that it acquires, such as The Oprah Winfrey Show and Entertainment Tonight. Its stations also provide public service announcements and political coverage, as well as sponsor community service projects and other public service initiatives. As of December 31, 2008, the company owned or managed 29 television stations, including 10 stations affiliated with NBC, 13 ABC affiliated stations, 2 CBS affiliated stations, 1 CW affiliated station, and 1 station affiliated with MyNetworkTV; and managed 1 CW station, and 1 independent station and 2 radio stations owned by The Hearst Corporation. The company was founded in 1994 and is headquartered in New York, New York. Hearst-Argyle Television, Inc. is a subsidiary of Hearst Holdings, Inc.
March 25 -
Hearst Corporation Proposes to Acquire Remaining Public Stake in Hearst-Argyle Television
Hearst Corporation announced that it intends to make a tender offer for all of the outstanding shares of Series A Common Stock of Hearst-Argyle Television, Inc. (NYSE: HTV) not already owned by Hearst for $4.00 per share in cash. The offer price represents a premium of approximately 91% over the closing price of the shares on March 24, 2009, and a premium of approximately 125% above the average closing price of the shares for the 20 trading days immediately preceding March 24. Following the completion of the tender offer, Hearst intends to acquire the remaining shares not already owned by it through a “short form” cash merger at the same per share cash price paid in the tender offer.
Hearst, through its wholly-owned subsidiaries, currently owns approximately 67% of the outstanding shares of Series A Common Stock and 100% of the outstanding shares of Series B Common Stock, representing in the aggregate approximately 82% of both the outstanding equity and general voting power of Hearst-Argyle. Following the transaction, Hearst-Argyle will become a wholly-owned subsidiary of Hearst.
Details on Proposed Share Acquisition
The offer will be irrevocably conditioned upon the tender of a majority of the outstanding shares of Series A Common Stock not held by Hearst or its related persons. If that condition is satisfied and Hearst buys the tendered shares, upon the conversion of all of Hearst’s shares of Series B Common Stock into Series A Common Stock, Hearst will own more than 90% of the outstanding shares of Series A Common Stock and as a result will be entitled to use the “short-form” merger procedure to acquire the remaining shares of Hearst-Argyle not owned by Hearst. Hearst intends to use that procedure promptly after the completion of the tender offer to acquire the remaining shares at the same cash price paid in the tender offer. Neither the tender offer nor the subsequent merger will be conditioned on Hearst obtaining any financing.
Hearst expects to commence the tender offer in mid April 2009. Offering materials will be mailed to Hearst-Argyle stockholders and Hearst will file all necessary information with the United States Securities and Exchange Commission. The commencement and completion of the tender offer and, if the tender offer is completed, the consummation of the merger, do not require any approval by Hearst-Argyle’s board of directors and Hearst has not asked Hearst-Argyle’s board of directors to approve the tender offer or the merger. Under applicable law, Hearst-Argyle will be required to file with the SEC a statement as to its position on the offer as well as other required information within 10 business days of the date on which the offer is commenced.
Hearst has advised Hearst-Argyle’s board of directors of its plans for the tender offer and the merger in a letter sent today, a copy of which is attached to this press release.
Lazard is acting as financial advisor to Hearst in connection with the offer.
ABOUT HEARST CORPORATION
Hearst Corporation (www.hearst.com) is one of the nation’s largest diversified media companies. Its major interests include ownership of 15 daily and 49 weekly newspapers, including the Houston Chronicle, San Francisco Chronicle and Albany Times Union; as well as interests in an additional 43 daily and 72 non-daily newspapers owned by MediaNews Group, which include the Denver Post and Salt Lake Tribune; nearly 200 magazines around the world, including Good Housekeeping, Cosmopolitan and O, The Oprah Magazine; 29 television stations through Hearst-Argyle Television (NYSE: HTV) which reach a combined 18% of U.S. viewers; ownership in leading cable networks, including Lifetime, A&E, History and ESPN; as well as business publishing, including a minority joint venture interest in Fitch Ratings; Internet businesses, television production, newspaper features distribution and real estate.
GLOBALSTAR INCORPORATED (NASDAQ: GSAT)
"Up 34.11% on Wednesday"
Globalstar, Inc. provides mobile voice and data communications services through satellite. The company's services include mobile voice and fixed voice communications, data satellite communications, satellite data modem, and personal asset tracking and remote monitoring. Its products comprise voice and data equipment, emergency management communications systems, and maritime Wavecall 3000 and Wavecall MCM3; data-only equipment, including satellite data modem model GSP-1620 duplex data devices, multi-channel modems, and QUALCOMM GSP-1720 satellite voice and data modems; and SPOT satellite messenger. Globalstar holds licenses to operate a wireless communications network through satellites over 27.85 MHz in two blocks of global radio frequency spectrum. As of December 31, 2007, it had approximately 48 in-orbit satellites and 25 ground stations, which are referred as gateways. Globalstar offers its products and services through distribution managers, agents, and dealers; and resellers, including independent gateway operators, as well as through Internet. It serves oil and gas, government, mining, forestry, commercial fishing, utilities, military, transportation, heavy construction, emergency preparedness, and business continuity sectors, as well as individual recreational users. The company was founded in 2003 and is based in Milpitas, California.
March 25 -
Globalstar Announces Coface Backing for Proposed Financing
Coface Supports Funding for Deployment of Second-Generation Constellation, Launch of Next-Generation Network Services and Design of Satellite Interface Chipsets for New Mobile Devices
Globalstar, Inc. (Nasdaq: GSAT), a leading provider of mobile satellite voice and data services to businesses, government and individuals, announced that Coface has agreed to provide a guaranty in support of a proposed $574 million credit facility to be extended by a syndicate of banks to Globalstar as borrower. Coface, the export credit agency acting on behalf of the French government, has advised Globalstar that it intends to provide long-term credit insurance to facilitate the proposed credit facility. Banks who have received initial credit committee approvals in relation to the approximately 6.30 percent interest rate credit facility include BNP Paribas, Natixis, and Societe Generale, which would act as mandated lead arrangers (BNP Paribas is acting as Coface Agent). The credit facility and receipt of funding by Globalstar is subject to closing conditions and there can be no assurance at this time that any such closing will actually occur.
The principal closing conditions include the conversion into equity at closing of senior secured term and revolving credit loans to Globalstar from its principal stockholder Thermo Funding Company LLC and the receipt by Globalstar of additional equity and contingent equity in an amount of approximately $100 million, most of which is expected to be provided by Thermo Funding.
Globalstar intends to use the financing to solidify its long-term space system by funding the manufacture and delivery of the Globalstar second-generation satellites by Thales Alenia Space as well as the launch of those satellites by launch services provider Arianespace. The financing would also be used to facilitate certain long-lead items connected with the accelerated delivery of the Company's second-generation satellites, the completion of Globalstar's next-generation ground facilities and the design of Globalstar's next-generation of satellite interface chipsets.
“Funding under the proposed credit facility will solidify our long-term leadership position in the mobile satellite services industry,” said Jay Monroe, Chairman and CEO of Globalstar, Inc. Mr. Monroe added, “With just a few months to go before we take delivery of the first of our second-generation satellites, we continue to demonstrate the ability to accomplish exactly what we set out to do with Thales when we contracted with them for our new satellites in 2006. This proposed financing, during what can only be described as extremely challenging times for the global credit markets, is a testament to the potential of Globalstar and to the dedication and efforts of those at Coface, BNP Paribas, Thales, Arianespace and Hughes who share our vision of the company's future. We believe this will provide us with the resources needed to deliver an industry leading, high quality mobile satellite service for the foreseeable future.”
Globalstar's second-generation satellite constellation has a 15-year design life and is expected to secure Globalstar's space segment beyond 2025. The proposed financing would pave the way for the delivery and launch of second-generation satellites including the accelerated delivery of these satellites. The launch and deployment of the second-generation satellite constellation is scheduled to begin later this year.
The financing would also be used to facilitate the construction of the Globalstar next-generation ground network and the design and delivery of Globalstar's next-generation satellite interface chipsets. The ground network upgrades will support the Company's new mobile satellite services which will feature industry leading voice quality as well as increased data speeds to both handheld and fixed subscriber equipment.
The new interface chipsets will be used to provide satellite capability to various next-generation Globalstar handsets, fixed units and modem-equipped transceivers and transmitters. These new Globalstar devices are expected to be manufactured for a fraction of the cost of Company's current first and second-generation handsets and data modems. Globalstar also expects to provide inexpensive interface chips to various manufacturers of terrestrial wireless handsets looking to affordably integrate Globalstar's embedded technology and ubiquitous satellite coverage into their handheld devices. When compared to the current costs of integration, the Company anticipates drastically reduced interface chipset pricing and material costs for the production of these next-generation multi-mode solutions.
BIOPURE CORPORATION (NASDAQ: BPUR)
"Up 26.81% on Wednesday"
Biopure Corporation develops, manufactures and markets pharmaceuticals, called oxygen therapeutics that are intravenously administered to deliver oxygen to the body's tissues. Hemopure® [hemoglobin glutamer - 250 (bovine)], or HBOC-201, is approved for sale in South Africa for the treatment of surgical patients who are acutely anemic. On November 21, 2008, the Company announced that it had terminated most of its work force for financial reasons. Using its limited resources, the Company is developing Hemopure and is supporting the U.S. Navy's government-funded efforts to develop a potential out-of-hospital trauma indication. Biopure's veterinary product Oxyglobin® [hemoglobin glutamer - 200 (bovine)], or HBOC-301, the only oxygen therapeutic approved for marketing by both the U.S. Food and Drug Administration and the European Commission, is indicated for the treatment of anemia in dogs. Biopure has sold more than 200,000 units of Oxyglobin since its launch.
March 23 -
U.S. Naval Medical Research Center Resubmits IND Application for Proposed 'RESUS' Clinical Trial in Trauma Patients in the Out-of-Hospital Setting
Biopure Corporation (Nasdaq: BPUR) announced that the U.S. Naval Medical Research Center (NMRC) has submitted to the Food and Drug Administration (FDA) a revised investigational new drug (IND) application to conduct a clinical trial of the company's oxygen therapeutic Hemopure® [hemoglobin glutamer - 250 (bovine)] for the pre-hospital treatment of trauma patients. The study is entitled "Restore Effective Survival in Shock" (RESUS). The RESUS trial was first proposed and submitted to the FDA in 2005. The proposed trial was placed on clinical hold at that time. It has been resubmitted repeatedly in response to FDA comments and to address comments made by the FDA Blood Products Advisory Committee at an open meeting held in December 2006. Each subsequent submission was placed on clinical hold.
Under a research agreement with Biopure, the NMRC assumed primary responsibility, subject to funding, for designing, seeking FDA acceptance of and directing a trial for Hemopure's prehospital used in trauma patients with hemorrhagic shock. The NMRC has developed protocols for trials in civilian casualties in the United States and abroad (RESUS) as well as a trial proposed to be conducted in the field, called Operation RESUS (OP RESUS). To date, Congress has appropriated funds for the development of Hemopure for potential use in military and civilian trauma indications and to cover military administrative costs. This funding is being used for trial preparation and for preclinical studies of Hemopure in animal models, including those that mimic military trauma scenarios.
As previously reported, in June 2008 the NMRC submitted and subsequently withdrew an Op RESUS protocol for a Phase 2 clinical trial of Hemopure for resuscitation of operations casualties with severe traumatic hemorrhagic shock, when blood transfusion is not available. The proposed trial hypothesis is that for such casualties Hemopure will improve survival and other clinical parameters, and will be relatively safe and well tolerated, in comparison with "standard fluids." If the trial were permitted to proceed, subjects would sign an informed consent prospectively. The Op RESUS protocol was also revised, resubmitted and placed on clinical hold.
GOLDEN EAGLE INTERNATIONAL (OTCBB: MYNG)
"Up 53.85% on Wednesday"
Golden Eagle International, Inc. is a gold and copper exploration, mining and milling company headquartered in Salt Lake City, Utah; with offices in Elko, Nevada and Santa Cruz, Bolivia. The Company's most recent efforts have centered on its Agreement with Queenstake Resources USA, Inc. for the maintenance and ongoing regulatory compliance of the Jerritt Canyon 4,000 tpd CIL gold mill. In addition, Golden Eagle is working to maximize the potential of its Gold Bar 4,000 tpd CIP gold mill located in Eureka, Nevada through a joint venture, toll refining arrangement or potential merger. The Company has temporarily suspended operations at its C Zone gold mine and mill within its 136,500 acres (213 square miles) in eastern Bolivia's Precambrian Shield. Golden Eagle has also temporarily suspended its continuing development of its Buen Futuro A Zone gold and copper project in eastern Bolivia.
March 25 -
Golden Eagle Reports Jerritt Canyon Gold Mill Authorized to Restart Operations
Golden Eagle International, Inc. (OTCBB: MYNG) announced that Jerritt Canyon mine has completed a series of environmental-compliance requirements and that the Nevada Division of Environmental Protection (NDEP) has made a determination authorizing the restart of the mine's milling operations. The Jerritt Canyon mine is owned by Queenstake Resources USA, Inc. (Queenstake), a wholly-owned subsidiary of Yukon-Nevada Gold Corp. Queenstake is a major gold producer in northern Elko County, Nevada.
"Queenstake has met all requirements for start up, but there are requirements to continue operation and we'll be working with them to meet those in the near future," said NDEP Administrator Leo Drozdoff.
Queenstake, together with its contract mill operator, Golden Eagle International, Inc. (Golden Eagle), has worked with the NDEP continuously during the past six months to resolve air and water issues to a level that will allow Queenstake to begin milling. The restart will allow Queenstake, and its contract mill operator, Golden Eagle, to rehire workers, generate revenue and continue required environmental work at the site.
"Having the mill back within the environmental requirements and its subsequent re-opening demonstrates how well Queenstake, the NDEP and the Attorney General's office can work together to ensure that the environment is protected, a viable mill is permitted to operate, and getting motivated millers and miners back to work," said Deputy Attorney General Robert Kilroy.
Jerritt Canyon Mine, located about 50 miles north of Elko, Nevada, shut down in August 2008. In September 2008, Golden Eagle began contract maintenance and environmental compliance operations with Queenstake's on-site staff. In October 2009, Queenstake and Golden Eagle entered into a Mill Operating Agreement, while working toward fulfilling certain environmental requirements established by the NDEP.
The NDEP coordinated with the USDA Forest Service during the shutdown period to ensure the protection of human health and the environment.
Queenstake holds environmental permits for air, water, waste and surface reclamation activities issued by the NDEP for the Jerritt Canyon mine. The NDEP has been working closely with Queenstake in a cooperative effort to address compliance issues at the site with respect to potential impacts to the environment.
Queenstake and the NDEP coordinated efforts to resolve air emission controls related to the ore roasting operation, as well as diligently working to ensure that all water management systems were maintained and operated properly during the shut down.
Queenstake conducted a top-to-bottom evaluation of the Jerritt Canyon mill operation with NDEP and made numerous changes to address or eliminate air emissions. As part of this effort, and in conjunction with other interim operational changes, Queenstake has committed to implement state-of-the-art mercury-emission control technology by May 30, 2009.
NDEP staff will remain on-site to monitor progress and ensure compliance with all environmental requirements.
"We have been and will continue to work together with the NDEP to ensure that we meet or exceed their performance guidelines. This restart order is also the result of Golden Eagle and Queenstake working well together and we expect this successful relationship to continue as we move forward into operations," said Queenstake's CEO Graham Dickson.