DUPONT SEES EARNINGS DIP: Citing the continuing economic slowdown, DuPont said late Monday that it expects to post second-quarter earnings of 35 to 45 cents a share, below the First Call consensus of 53 cents. Second-quarter 2000 net income was $688 million, or 65 cents a share. Chairman and ceo Charles O. Holliday Jr. said in a statement: “The global economic slowdown that has forced U.S. manufacturing capacity utilization to levels equal to the 1982 recession is now expanding to Europe, South America and parts of Asia.”
FASHIONMALL’S TENDER OFFER: Internet fashion-lifestyle network Fashionmall.com will buy up to 1.2 million shares of its common stock, or 16.9 percent of those outstanding, at a purchase price of $2.50 per share, in a tender offer that began Monday and is set to expire on July 30. Shares of Fashionmall added 30 cents, or 15 percent, to close at $2.30 in Nasdaq trading Monday, and have ranged between $1.25 and $5 in the past 52 weeks. Fashionmall cited the stock’s low price as a reason for the deal.
WHAT’S UP AT ASHFORD? Luxury e-tailer Ashford.com last Friday revealed in its annual 10-K filing that the Securities and Exchange Commission is investigating how it accounted for various marketing activities in the last fiscal year ended this March and some of the current one. Houston-based Ashford said in the filing it is cooperating with the SEC’s effort, and it does not expect a material impact on its business or stock price, regardless of the outcome.
PRIMEDIA BUY: As expected, Primedia Inc., the $1.7 billion media company, said Monday it has agreed to buy EMAP USA, (formerly Petersen Publishing), from EMAP PLC for $515 million, consisting of $505 million in cash and warrants to purchase 2 million shares of Primedia at $9 a share, valued by Merrill Lynch at about $10 million. Primedia, whose media properties include magazines Seventeen and New York, as well as About.com, will add EMAP USA titles such as Teen, Hot Rod, Surfer and Motor Trend. The acquisition does not include the U.S. edition of FHM.