<BREAKFAST WITH THE FOOL>
Wednesday, July 28, 1999
"The most ineffective workers are systematically moved to the place where they can do the least damage: management."
priceline, AutoNation Team Up
Name-your-own-price travel, personal finance, and automotive reseller priceline.com (Nasdaq: PCLN) has signed a marketing agreement with AutoNation (NYSE: AN), the nation's largest automotive retailer and a Fortune 100 company, by which AutoNation will sell new vehicles to consumers who name their own price through priceline.com.
The service debuts today in the Tampa/St. Petersburg market, expanding priceline.com's new car service, which was only available in the New York metropolitan area. All AutoNation franchises in the Tampa/St. Petersburg area are participating in the program. In addition, all other factory-authorized new vehicle dealerships in the area can be part of the program with no up-front charges or subscription fees.
AutoNation and priceline.com said they expect to broaden their marketing relationship as priceline.com expands its new vehicle service. Earlier this month, priceline.com named former ING Barings Furman Selz automotive analyst and author Maryann Keller as president of its car buying service.
News to Go
Paul Maritz, once considered in the running to succeed Microsoft (Nasdaq: MSFT) Chairman and CEO Bill Gates and President Steve Ballmer, is giving up most of his operational responsibilities, The Wall Street Journal reported. Maritz, 44 and group vice president of Microsoft's developer group, will remain at the company for "the immediate future," but may retire as early as next year.
IBM (NYSE: IBM) will acquire Mylex Corp. (Nasdaq: MYLX), a leading developer of technology for moving, storing, protecting, and managing data in desktop and networked environments, in a deal valued at about $240 million, or $12 a share. That's a 17% premium over Mylex's closing price yesterday of $10 1/4.
Biopharmaceutical company Immunex Corp. (Nasdaq: IMNX) announced a 2-for-1 stock split. This comes just four months after the company split its stock for the first time in its 18-year history. Immunex is majority-owned by drug and healthcare company American Home Products (NYSE: AHP).
Earnings to Go
(Quarterly earnings per share versus that of the same year-earlier quarter and compared with analysts' mean estimate. Earnings exclude one-time charges and gains.)
Egghead.com (Nasdaq: EGGS) -- fiscal Q1 EPS: loss of $0.34 vs. loss of $0.24 last year; estimate: loss of $0.42
eToys (Nasdaq: ETYS) -- fiscal Q1 EPS: loss of $0.17 (before charges) vs. loss of $0.04 last year; estimate: loss of $0.19
PathoGenesis (Nasdaq: PGNS) -- Q2 EPS: loss of $0.15 vs. profit of $0.06 last year; estimate: loss of $0.21
Revlon (NYSE: REV) -- Q2 EPS: $0.11 vs. $0.22 last year; estimate: $0.31
Wild Oats Markets (Nasdaq: OATS) -- Q2 EPS: $0.25 (before charges) vs. $0.21 last year; estimate: $0.24
David Gardner admits the Rule Breaker Portfolio is lagging the market but remains focused on the long term... Don't miss the Fool's Midyear Review 1999. We cover AT&T and the battle for broadband, Internet stocks, Winners and Losers, and more... Check out a StockTalk interview with the CEO of DoubleClick.
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