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Technology Stocks : Gemstar Intl (GMST) -- Ignore unavailable to you. Want to Upgrade?

To: NY Stew who wrote (2788)	4/13/2000 6:00:00 PM
From: Andy B	Respond to of 6516

Boylan thinks so too library.northernlight.com Story Filed: Thursday, April 13, 2000 4:17 AM EST Apr. 13 (Tulsa World/KRTBN)--As their stock prices plunged Wednesday amid a stampede away from technology stocks by investors, the executives of proposed merger partners TV Guide Inc. and Gemstar International Group Ltd. reiterated that their $9.2 billion deal is on track to close in this quarter. Henry Yuen, Gemstar chairman and chief executive, and Peter C. Boylan III, president and chief operating officer of TV Guide, said there is no foundation to rumors that the proposed merger is in trouble. An Internet site that specializes in market speculation reported that the takeover of Tulsa-based TV Guide by Gemstar has been scrapped. Yuen said his Pasadena, Calif.-based company is proceeding with submitting financial data to regulatory agencies. "We have been working with the Justice Department to provide them with the requested information, and we have received no indications that our previously estimated time of closing in the second quarter this year needs to be revised," Yuen said. Boylan said the rumor that sent TV Guide stock into a tailspin Wednesday, losing $5.88 per share to close at $29.38, cost his company about $1.5 billion in market capitalization. Gemstar shares closed at $47 a share, down $8.50 from Tuesday's closing price. More than 9 million shares were traded. Based on its 198.2 million shares outstanding, Gemstar lost $16.8 billion in market value Wednesday. "We live in a funny world today, and any idiot can get on the Internet and say anything they want to and people will believe it," Boylan said. "Hopefully, the Securities and Exchange Commission will investigate." "Although we don't comment on rumors as a matter of policy, we felt compelled to set the record straight that the concerns expressed over our merger are totally unfounded, and that we are not aware of any other reasons accounting for the activities in our stocks." TV Guide stock is down from a 52-week high of $64.88 on March 10, when Gemstar hit a peak of $107.44. TV Guide and Gemstar became merger partners in the process of settling a six-year legal battle over Gemstar's 60 interactive television program guide patents. The two companies, the dominant providers of interactive TV program guides, agreed to merge in October, when Gemstar agreed to swap 0.6573 of a share for each TV Guide share. By D.R. Stewart To see more of the Tulsa World, or to subscribe to the newspaper, go to tulsaworld.com.