Stock Market Chumps..........9-18-06

Gevity HR Inc. (GVHR)

Last Trade:	20.82
Trade Time:	12:56PM ET
Change:	3.41 (14.07%)

Human resources services company Gevity HR Inc. lowered its third- and fourth-quarter earnings forecasts on Monday, saying some new businesses had not performed as well as expected.

For the third quarter, the company said it expects to report adjusted diluted earnings per share of at least 27 cents, lower than the range of 36 cents to 38 cents it had previously forecast.

For the fourth quarter, it forecast adjusted diluted earnings per share of at least 38 cents, lower than its previous range of 41 cents to 43 cents.

Analysts had expected third-quarter profit of 37 cents per share and fourth-quarter profit of 41 cents per share, according to Reuters Estimates.

The news sent Gevity shares down 17.3 percent, or $4.19, to $20.04 on the Nasdaq, their lowest since July 2005.

The company said a new program related to health insurance and the expansion of its mid-market operations hadn't taken off as quickly as expected, but said it still expects those programs to pay off in the long haul.

"We believe that the delay in further growth acceleration is temporary," said Chairman and Chief Executive Officer Erik Vonk.

The company expects third-quarter revenue of $158 million to $162 million, below its previous forecast of $169 million to $179 million, and below the $170.76 million analysts expected, according to Reuters Estimates.

Gevity forecast fourth-quarter revenue of $167 million to $177 million versus its previous view of $183 million to $193 million, and also below the $181.03 million analysts expected, according to Reuters Estimates.

Global Epoint Inc. (GEPT)

Last Trade:	0.76
Trade Time:	12:52PM ET
Change:	0.30 (28.29%)

Global Epoint's Request to Remain on the Nasdaq Denied; Company Plans to Seek Listing on Amex

Global Epoint Inc., a maker of digital video surveillance products for commercial and industrial customers, on Monday said its request to remain on the Nasdaq was denied and that it plans to file a listing application with the American Stock Exchange shortly.

The company said its removal from the exchange is effective on Sept. 19 and that its shares would subsequently appear in the Pink Sheets under the symbol "GEPT.PK." The company said it might also trade its stock over-the-counter.

The Nasdaq said it removed Global Epoint because the company did not seek shareholder approval when it issued shares of Series E preferred stock in May. The company said it plans to appeal the Nasdaq's decision before Oct. 2.

Global ePoint Chief Executive Toresa Lou said the delisting would not result in any operational changes at the company.

Shares of the company have traded between $5.99 and 84 cents over the past 52 weeks and closed Friday at $1.06.

First Data Corp. (FDC)

Last Trade:	41.76
Trade Time:	12:53PM ET
Change:	2.89 (6.47%)

Money transfer company Western Union said on Monday that the U.S. immigration debate should weigh on operating income growth through 2007, pulling shares of its parent company down as much as 7.6 percent.

Western Union said it expects operating profit growth for 2006 and 2007 in the single-digit percentage range, below the double-digit growth many analysts had forecast.

The weaker-than-expected outlook was a surprise from a company whose high growth potential was seen as a reason for its upcoming spin-off from First Data Corp. , analysts said.

"People expected Western Union to be a growth company, and any decrease in revenue growth will have a real impact on profitability because of the company's high fixed costs," said Wayne Johnson, an analyst at Raymond James in Atlanta.

First Data shares were off $2.56 at $42.09 on the New York Stock Exchange, after earlier dipping to $41.25 in the session.

The company had said in July that second-quarter results for the money transfer business were hurt by the immigration debate, as both legal and illegal immigrants feared that wiring money back to their home countries would attract government attention.

Concern about growth in the payment transfer business also weighed on shares of Western Union competitor MoneyGram International Inc. , whose stock was off nearly 4 percent at $31.83 a share on the NYSE.

In addition to the debate on immigration reform, growth for 2006 and 2007 will be slower than long-term expectations because of increased investment in the business, Western Union said, in its most complete statement so far on its earnings expectations.

Western Union forecast 2006 revenue of $4.4 billion to $4.5 billion, an increase of 11 to 12 percent from 2005, and operating income of $1.32 billion to $1.34 billion, up 4 to 6 percent.

The 2006 figures exclude spin-off related costs.

In 2007, Western Union sees revenue growth from 10 to 12 percent, and operating income growth of between 6 and 9 percent, excluding expenses related to the spin-off.

The company's long-term objectives for beyond 2007 are to increase revenue and operating income by 10 to 12 percent annually, and earnings per share by 12 to 14 percent.