Carnival Cruise Ship Suffers Fire and 3 Morning Hot Stocks Trading Today
Ericsson (NASDAQ:ERIC): Current Price $12.17
Telecom equipment maker Ericsson (NASDAQ:ERIC) wins an eight-year contract worth about $1 billion to manage the networks in the northern and western states of India of Indian mobile operator Reliance Communications Ltd. This is the second major award by the Indian firm, after a similar contract was issued in January to Alcatel Lucent (NYSE:ALU) for its networks in eastern and southern India.
USAirways (NYSE:LCC): Current Price $14.88
The imminent merger between USAirways (NYSE:LCC) and American Airlines parent AMR Corp (AAMRQ.PK) is likely to create the world’s largest carrier by traffic, but could it fall afoul of anti-trust regulations? According to the Wall Street Journal, this is unlikely, even though regulators have adopted an increasingly tough stance with respect to recent acquisitions. Citing research by JP Morgan (NYSE:JPM), the WSJ says overlapping routes in the transaction are similar in number to what regulators approved in the most recent big airline mergers. Concern could, however, revolve around coveted takeoff and landing slots at major airports such as LaGuardia Airport in New York and Reagan National Airport near Washington, which could concentrate with the new airline. In such a situation, the regulators could always demand that some of these be sold. Lastly, fares are unlikely to go up for consumers because competition in the sector is quite elevated.
Carnival Cruise Lines (NYSE:CCL): Current Price $38.82
Carnival Cruise Lines (NYSE:CCL) announces that its ship Carnival Triumph suffered an engine room fire that caused the complete loss of power and left the ship adrift 150 miles of the Yucatán Peninsula. The ship was carrying 3143 passengers and 1086 crew and was towed back to Progreso, Mexico, the nearest available port. “The ship’s automatic fire extinguishing systems activated and the fire was contained to the aft engine room and the fire fully extinguished,” says a statement from the cruise line. There have been no casualties or injuries.
Anheuser-Busch InBev (NYSE:BUD): Current Price $85.17
US District Judge Richard Roberts has the unlikely reputation of being the slowest federal judge in Washington, with an outstanding docket of 73 motions more than six months old and 51 civil cases pending for more than three years. He has been randomly assigned the lawsuit filed by the Justice Department that seeks to block the $20 billion acquisition of Mexican brewer Grupo Modelo SAB by Anheuser-Busch InBev (NYSE:BUD). Judge Roberts’ track record is another hurdle that Anheuser-Busch InBev must overcome to accomplish the transaction, which has a time limit of December 30, extendable by another 90 days if the matter is sub-judice. If there is no decision by then, Modelo could call off the transaction and pocket $650 million as a breakup fee.