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Non-Tech : Tyco International Limited (TYC) -- Ignore unavailable to you. Want to Upgrade?

To: Chuzzlewit who wrote (1208)	1/3/2000 9:21:00 PM
From: blankmind	Read Replies (1) \| Respond to of 3770

Tyco International Says It Expects To Meet or Exceed Earnings Estimates An INTERACTIVE JOURNAL News Roundup January 3, 2000 EXETER, N.H. -- In the wake of concerns over its accounting methods, Tyco International Ltd. said Monday it expects to meet or exceed earnings estimates for its fiscal first quarter, thanks to aggressive cost cutting and better-than-anticipated revenue from acquisitions. Analysts surveyed by First Call/Thomson Financial estimated the manufacturing conglomerate would earn 45 cents per share for the quarter ended Dec. 31, $2.12 per share for all of fiscal 2000. J. Brad McGee, a Tyco spokesman, said the company is "comfortable" with analysts' estimates. The company expects to release its quarterly earnings report on Jan. 18. With its share price down some 31% over the calendar fourth quarter, several analysts rate Tyco a "buy." "It's our No. 1 pick [for 2000] in the multi-industry/diversified category," said Jack L. Kelly of Goldman Sachs & Co. "We think it's at least a $60 stock." Tyco shares closed at $39 in an abbreviated trading day Friday on the New York Stock Exchange. Tyco, a manufacturing conglomerate based in Hamilton, Bermuda with headquarters here, saw its share price tumble after questions were raised about its accounting methods. A money manager in October questioned its accounting practices for acquisitions. Then, in early December, Tyco revealed that the Securities and Exchange Commission was conducting an informal inquiry into those procedures. At issue is the company's application of the pooling-of-interest method of accounting for its acquisitions. Tyco has been on a multibillion-dollar acquisition binge over the last few years, including the $11 billion purchase of AMP Inc. and the $2.8 billion purchase of Raychem Corp. Tyco shares tumbled to a low of $22.50 on Dec. 9, from $53.87 the first week of October. Tyco split its stock 2-for-1 on Oct. 1. Mr. Kelly said Goldman Sachs pegs earnings per share at 44 cents "but the typical pattern for Tyco has been to exceed analysts' estimate, so it may be a penny or two higher. " Wendy Caplan of ING Baring Furman Selz said earnings "will be very strong" at about 44 cents per share. She said her firm expects Tyco to earn $2.25 in fiscal 2000.