Boeing Dreamliners Grounded and 3 Morning Hot Stocks Trading Today
Alcatel Lucent (NYSE:ALU): Current Price $1.67
India’s second largest mobile phone company, Anil Ambani controlled Reliance Group, has outsourced its network management for the eastern and southern regions to telecom equipment maker Alcatel Lucent (NYSE:ALU) in an eight-year deal valued $1 billion. About 4,000 employees will shift from Reliance Communications to Alcatel Lucent. The contract covers network management for both wireless and fixed line operations. Munish Seth, managing director for Alcatel Lucent’s Indian operations said the deal was one of its largest and most strategic contracts to date.
Boeing (NYSE:BA): Current Price $74.15
All Nippon Airways Co and Japan Airlines Company took the unprecedented step of grounding their respective Dreamliner fleets after an All Nippon 787 made an emergency landing in Japan earlier today due to a battery fault and the smell of smoke in the cockpit. The incident comes on the heels of another mishap involving a Japan Airlines Dreamliner last week when a battery in the aircraft caught fire and deals a body blow to Boeing’s (NYSE:BA) image. US aviation regulators have already ordered a review into the design and manufacturing processes of the 787. The Japanese Transport Ministry viewed the emergency landing as a serious incident. In a related development, India’s Director General of Civil Aviation said the regulator would take a decision on whether to ground its recently purchased Dreamliners after it receives a safety status report from Boeing today.
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Anheuser-Busch InBev (NYSE:BUD): Current Price $89.10
Anheuser-Busch InBev (NYSE:BUD) may be able to wrest regulatory approval for its purchase of Mexican brewer Grupo Modelo if talks to structure a long-term supply and pricing agreement between the merged company and Crown Imports LLC, a distribution entity, prove successful. Sources in the know claim that the discussions do not relate to the disposal of production assets, though earlier media reports suggested the Justice Department could insist on the divestiture of some of AB InBev’s non-core US brands. Analysts expect the brewer to be largely amenable to regulators regarding conditions applicable to the US business, considering its main motive for the purchase was the Mexican market and the international potential of the Corona brand.
General Motors (NYSE:GM): Current Price $29.57
US automakers General Motors (NYSE:GM) and Ford (NYSE:F) were the main casualties of a huge fall in Europe’s new car market in December. New car registrations fell 16.3% to 799,407 vehicles, in the context of a crisis ridden economy facing record unemployment and bankers hesitant to lend funds for buying new cars. Both GM and Ford saw sales falling proximity 27% while German brands such as Volkswagen and Audi fell nearly 22%.
Don’t Miss: Ford Plans Lincoln Facelift for China.