revealed after the close on Thursday that its cash position is even better than believed.
In its first quarterly report since emerging from bankruptcy, MCI reported that it had $5.4 billion in cash as of June 30 — more than the company’s $4.4 billion market capitalization awarded to it by investors. MCI said it will begin paying a 40-cent quarterly dividend, giving the company a dividend yield of 10%.
The company had $6 billion in debt as of June 30 — an 85% reduction from its pre-bankruptcy levels.
MCI reported a second quarter loss of 22 cents a share, but that was 45 cents better than analysts expected. Revenues of $5.24 billion exceeded $5.21 billion forecasts. Shares of MCIP jumped 15% after hours.
MCI still faces deteriorating fundamentals, and like AT&T
, is pulling out of consumer long-distance markets, but the company’s financial position gives it some wiggle room as it turns its sights toward the business market.
Also after the close, NVIDIA
missed estimates by a wide margin. Blue Coast
and 24/7 Media
beat estimates. Corvis
missed revenue estimates, and WebMD
missed on earnings but beat on revenues.
Stocks plunged during the day as rising oil prices and weak retail sales fueled fears of an economic slowdown. The July employment report will be released Friday morning. Analysts are looking for a gain of 243,000 jobs, but one recent report showed that the job market may be softening.
The Nasdaq plunged 33 to 1821, the S&P 500 fell 17 to 1080, and the Dow plummeted 163 to 9963. Volume rose to 1.4 billion shares on the NYSE, but declined to 1.59 billion on the Nasdaq. Decliners led 23-8 on the NYSE, and 22-8 on the Nasdaq. Downside volume was 88% on the NYSE, and 85% on the Nasdaq. New highs-new lows were 27-80 on the NYSE, and 17-135 on the Nasdaq.
tumbled 19% on disappointing results.
(formerly Avenue A), Airspan
, XM Satellite Radio
rose on their results.
fell on their results, and Aspen
ended the day down slightly.
lost 4% on news that it is considering a large write off.
fell 10% after delaying its filing once again.