Obama will propose a solution to charge against banks over mortgage foreclosure issues. It will involve the modification of the loan balances of $20 billion worth of mortgages (WSJ)

PerkinsElmer (NYSE: PKI) bid $.25 to low to successful buy Beckman Coulter (NYSE: BEC). The deal went to Danaher (NYSE: DHR) (Bloomberg)

Douglas A. McIntyre

AOL Inc. (NYSE: AOL) is paying $315 million to acquire privately-held Huffington Post to revamp its online content.

Beckman Coulter Inc. (NYSE: BEC) is being acquired by Danaher Corp. (NYSE: DHR) for $5.87 billion.  The deal comes to $83.50 per share and the $5.87 billion compares to a market cap of roughly $31.5 billion for Danaher.  Danaher investors better hope that synergies and cost efficiencies can be had in a serious way because this was about $10.00 above what we thought was a fair market value in December when the rumors first broke.

Berkshire Hathaway Inc. (NYSE: BRK-A) (NYSE: BRK-B) is finally making good on an event that first surfaced last August.  Warren Buffett and friends are acquiring the rest of Wesco Financial Corporation (NYSE Amex: WSC), the remaining 19.9% not owned, for cash or shares of Berkshire Hathaway Class B common stock at the election of each shareholder for almost $550 million with a starting value before gains and items of $386.55 per share.

Ensco Plc (NYSE: ESV) is acquiring Pride International (NYSE: PDE) in a cash and stock deal valued at $41.60 prior to any dilution or share value change.  The deal is for 0.4778 shares and $15.60 in cash.

Sanofi-Aventis (NYSE: SNY) is reportedly close to striking a deal to acquire Genzyme Corporation (NASDAQ: GENZ) for some $74 to $77 per share plus what will be up to a $5 to $6 earn-out right per share based upon certain milestones.

In a much smaller deal, GigOptix, Inc. (OTCBB: GGOX) is acquiring Endwave Corporation (NASDAQ: ENWV) in a stock for stock deal that appears to be close to a merger of equals.  Endwave shareholders will own some 42.5% of the combined company.

You can join our free daily email distribution list to hear more about analyst upgrades and downgrades, top day trader and active trader alerts, dividend trends, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG

The coming week’s must see events for traders and investors alike in stocks is as follows: AnnTaylor Stores Corp. (NYSE: ANN), Audiovox Corporation (NASDAQ: VOXX), The Beckman Coulter Inc. (NYSE: BEC), Bristol-Myers Squibb Company (NYSE: BMY), Suncor Energy Inc. (NYSE: SU), Canadian Natural Resources Limited (NYSE: CNQ), DineEquity, Inc. (NYSE: DIN), Goldman Sachs Group Inc. (NYSE: GS), Market Vectors Egypt Index ETF (NYSE: EGPT), Internet Capital Group Inc. (NASDAQ: ICGE), OpenText Corporation (NASDAQ: OTEX), JDS Uniphase Corporation (NASDAQ: JDSU), Kinder Morgan Energy Partners LP (NYSE: KMP), Kinder Morgan Management LLC (NYSE: KMR), KV Pharmaceutical Co. (NYSE: KV-A), Lululemon Athletica Inc. (NASDAQ: LULU), Micron Technology, Inc. (NASDAQ: MU), NASDAQ OMX Group Inc. (NASDAQ: NDAQ), Orexigen Therapeutics, Inc. (NASDAQ: OREX), Questcor Pharmaceuticals, Inc. (NASDAQ: QCOR), and finally SIRIUS XM Radio Inc. (NASDAQ: SIRI).

We have outlined the issue underway or the event upcoming, offered color on each, and added in trading data on the shares if applicable.  Again, these are the non earnings events. A detailed earnings calendar with previews is available here.

AnnTaylor Stores Corp. (NYSE: ANN) was up 3.2% at $23.75 on Friday on 150% of normal volume with some 3.75 million shares traded.  What is interesting is that its options volume was off the chart and it was all one-sided call options trading.  It is possible that these were hedged calls, but the volume looked extreme for a sector that is inundated with consolidation.

Audiovox Corporation (NASDAQ: VOXX) turned in an impressive gain in the after-hours session after news that it will acquire Klipsch Group Inc. for $166 million.  Klipsch is a high-performance audio solutions company serving the residential, professional and personal listening markets.  Trading volume in Audiovox was 11,430 shares but the after-hours trading showed a gain of 7.8% to $8.30 versus a 52-week range of $6.17 to $9.74.  Here is where this gets interesting: Audiovox had a market cap at the close of trading of only $177 million.

The Beckman Coulter Inc. (NYSE: BEC) buyout process is nearing an end and we could have more details over its merger this coming week.  We argued before that the premium price should have been close to full value already.  Speculators will run shares higher and everyone hopes that private equity firms will over-pay.

Bristol-Myers Squibb Company (NYSE: BMY) has an FDA panlel review on FEB. 9 where BMS is seeking initial approval for ipilimumab (Imclone’s Erbitux) for patients who have previously received treatment for melanoma. Recent data showed that survival rates were indeed higher and this could be another blockbuster opportunity for the firm if ultimately approved.  We have a formal approval decision date tentatively set for March 26.  The market cap is roughly $44 billion here.

Canada and oil sands for safe defensive oil… Barron’s highlighted Suncor Energy Inc. (NYSE: SU) and Canadian Natural Resources Limited (NYSE: CNQ) and others this weekend.  These are being touted as larger Canadian oil sands project companies that offer safer oil without political tensions and growth ahead.

DineEquity, Inc. (NYSE: DIN) could have Goldman Sachs Group Inc. (NYSE: GS) as a partner.  Reports late Friday showed that Goldman’s private equity arm is close to buying Applebees’ largest franchise holder.  Who would have known that mediocre chain food restaurants would have such an appeal to billionaires.

Apple Inc. (NASDAQ: AAPL) is likely doing all it can to contain the mountain of rumors about the iPad2 with dual cameras and even a CDMA aversion at launch so that it doesn’t have order softness of the first iPad going into Christmas.  So far, sales have not been hindered.  We still want to refer back to the first reaction: Apple is turning its customers into lemmings.

Beckman Coulter Inc. (NYSE: BEC) was much higher after reports that it was up for sale.  We ran the analysis to see what it can fetch in a sale, and some common sense might dictate that the premium Friday was already enough.

F5 Networks, Inc. (NASDAQ: FFIV) landed the #1 spot in the Investors Business Daily 100, or IBD 100, this weekend.  It is followed by 2-RVBD, 3-LULU, 4-NFLX, 5-SLW.  F5 was announced to join the S&P 500 during last week and NASDAQ named it as one of the new NASDAQ 100 members to join the index.

General Motors Corporation (NYSE: GM) was noted over the weekend by Barron’s as “being eligible to join the Russell 3000 Index as soon as Friday, December 17.

The Great Atlantic & Pacific Tea Company, Inc. (NYSE: GAP) looks done for the holders of stock.  Shares were halted after losing more than half their value and after hitting new multi-year lows under $1.00.  The grocery chain filed for bankruptcy.

Green Mountain Coffee Roasters Inc. (NASDAQ: GMCR) will have to play some damage control.  The guidance was disappointing, but the lack of clarity will erode its credibility with many investors and you already know that this one is heavily shorted.  Shares fell 9.65% to $33.81 on more than 20 million shares.  That is still not as bad as the end of September when the SEC issues first arose and the stock fell to $31.06 from $37.01.

Today’s movers are different because we have included some device companies.  Normally we would not, except these in some cases are the key movers in medial and health-related stocks and also may compete against traditional drugs.  We have included the news, the share move, relative performance and valuation data, and added in additional market color where applicable.

Accuray Incorporated (NASDAQ: ARAY) is a call we have not seen the full report on, but we are told that Soleil Securities had downgraded the stock to “Sell” from “Hold” and that the price target was cut from $6 to $4.  Accuray is technically not a drug nor a biotech company, but the company has the CyberKnife system.  Shares are down 7.9% at $6.62 on 580,000 shares; average volume is over 300,000 shares and the 52-week range is $4.72 to $8.35.

Beckman Coulter, Inc. (NYSE: BEC) makes and sells biomedical testing instrument systems, tests, and supplies for clinical laboratories.  After the close on Monday it disclosed that it sent a notice to customers who use its AccuTnI troponin test kits on the UniCel DxI immunoassay system alerting that these DxI customers to a positive bias in troponin results obtained on the DxI system when compared with troponin results obtained on its Access system using the same test kits. It is recommending the  discontinued use of troponin test kits on DxI if an alternative methodology was available.  Shares are down 7.7% at $63.80 on 3.2 million shares; the average volume is about 500,000 shares and the 52-week range is $47.53 to $71.57.

Biosante Pharmaceuticals, Inc. (NASDAQ: BPAX) is up after it announced additional positive Leukemia vaccine results and unveiled its second FDA Orphan Drug Designation.  Full Details are here on that one.  Shares are up 6.9% at $1.86 on 1.8 million shares.  The average volume is only about 600,000 shares and the 52-week range is $1.14 to $2.70.

Cell Therapeutics, Inc. (NASDAQ: CTIC) is seeing a surprise trading bounce after yesterday’s roughly 50% haircut after an FDA Panel unanimously rejected its Pixantrone to fight non-Hodgkin’s Lymphoma.  Shares are up a whopping 30% at $0.61 on over 68 million shares.  This is surprising after yesterday’s news, but that is what makes a market.

Chelsea Therapeutics International Ltd. (NASDAQ: CHTP) is trading higher after Needham initiated the stock with a Buy rating in new coverage this morning.  Shares are up 8% at $4,05 on 445,000 shares; the average volume is only about 355,000 shares and the 52-week range is $1.44 to $7.51.

Dynavax Technologies Corporation (NASDAQ: DVAX) is trading higher after the company reported positive findings from safety analysis of HEPLISAV.  The results showed that its hepatitis B vaccine was as safe as Glaxo’s vaccine.  Shares are up 12.6% at $1.43 on 750,000 shares.  Average volume is only about 322,000 shares and the 52-week range is $0.60 to $3.35.  Keep in mind that the market cap is only $59.2 million here.

Nabi Biopharmaceuticals (NASDAQ: NABI) is a bit of a head-scratcher if you follow share buybacks and dividends.  The company announced a $61 million share repurchase program versus a $300+ million market cap.  Shares are down 0.3% at $6.17 on about 250,000 shares.  Again, the buyback here is not the norm. To date, Nabi said that it has repurchased 13.9 million shares of common stock for a total cost of $54.1 million under a program which has been around since 2007.

Oncothyreon Inc. (NASDAQ: ONTY) is getting crushed after it announced the temporary suspension of Stimuvax clinical trials by Merck Serono for Stimuvax… due to suspected unexpected serious adverse reaction in a patient with multiple myeloma. Shares had been halted earlier on the news and the stock gapped way down.  Shares opened at $3.25 and had been almost down by half in pre-market indications.  Shares are down 22% at $3.71 and we have seen over ten-times normal volume based upon the three-month average.

Sequenom Inc. (NASDAQ: SQNM) is seeing a huge recovery based upon an analyst upgrade. The troubled Down’s Syndrome test company was raised to Buy from Hold at Lazard in research coverage this morning.  Shares are up a whopping 14% at $6.31 and there has been over 14.5 million shares traded today.

Somaxon Pharmaceuticals, Inc. (NASDAQ: SOMX) is very active, again.  The company announced last night that will sell up to 4,000,000 shares of its common stock a public secondary offering.  Frankly, this is a good capital raise, should be no surprise based upon the company’s small balance sheet and the need to secure a marketing and development partner for Silenore as a sleep-aid after last week’s FDA approval.  Traders first endorsed this as a positive.  Shares are up almost 3% at $8.55 on 4.55 million shares.  Usually shares sell off on secondary announcements, but the traders believe this is a good capital raise and will allow it to negotiate for a partner for Silenor from a position of strength rather than one of need.

World Heart Corporation    (NASDAQ: WHRT) is soaring today.  The company is a device play for hearts rather than a drug or biological implantation.  But the move from the implantable ventricular assist devices  (VADs) and the University of Utah Hospital successfully implanted its first Levacor Ventricular Assist Device is making this one of the market’s top percentage gainers today.  World Heart is up 33% at $2.70 on 870,000 shares.  Average volume is only about 13,000 shares and the 52-week range is $1.70 to $8.63.  The market cap here is only $35.9 million, and that is after the pop.

You can join our free daily email distribution list to hear more about dividend trends, analyst upgrades and downgrades, top day trader and active trader alerts, news on Buffett and other investment gurus, IPOs, secondary offerings, private equity, and more.

JON C. OGG

Alcoa (AA) Raised to Overweight at JPMorgan.
Aqua America (WTR) Raised to Outperform at Baird.
Beckman Coulter (BEC) Raised to Overweight at Barclays.
California Water (CWT) Raised to Outperform at Baird.
Chartered Semiconductor (CHRT) Raised to Neutral at HSBC.
China Telecom (CHA) Raised to Overweight at Morgan Stanley.
Nicor (GAS) Raised to Outperform at Baird.
Nokia (NOK) Raised to Outperform at Credit Suisse.
Piedmont Natural Gas (PNY) Raised to Outperform at Baird.
Watson Wyatt Worldwide (WW) Started as Buy at SunTrust Robinson Humphrey.

-JON C. OGG

• Alcatel-Lucent (NYSE: ALU) Cut to Underperform at Jefferies.
• AU Optronics (NYSE: AUO) Cut to Neutral at Credit Suisse.
• Beckman Coulter (NYSE: BEC) Cut to Neutral at Baird.
• Boeing (NYSE: BA) Started as Sell at Societe Generale.
• Goodrich (NYSE: GR) Started as Sell at Society Generale.
• Kansas City Southern (NYSE: KSU) Cut to Neutral at Goldman Sachs.
• Lululemon Athletica (NASDAQ: LULU) Cut to Perform at Oppenheimer.
• Sepracor (NASDAQ: SEPR) Started as Sell at Goldman Sachs.

Jon C. Ogg
December 15, 2008