The London Stock Exchange on Monday spurned a fresh takeover bid from The Nasdaq Stock Market Inc., saying it "substantially undervalued" the London Market.

Nasdaq, taking its second try to take over the LSE, offered to buy the more than 70 percent of the shares it doesn't already own in a deal which values the entire London bourse at $5.1 billion.

"We believe Nasdaq's final offer fails to recognize the outstanding growth record and prospects of our group on a standalone basis let alone the exchange's unique global position," said Clara Furse, chief executive of the London Stock Exchange.

New York-based Nasdaq, which accumulated 25.1 percent of LSE shares during a takeover bid earlier this year, on Monday offered 12.43 pounds ($23.56) per share in cash for the rest. It then announced further purchases which raised its stake to 28.75 percent.

The offer represents a premium of 54 percent on LSE's closing share price March 10, the day before the LSE said it had received an approach, and was the minimum bid it could make under British takeover rules.

LSE shares traded above the offered price at 12.92 pounds ($24.48) shortly after the exchange's midafternoon announcement that the offer was too low.

The combination would be the world's largest equity market by listings, Nasdaq said, with more than 6,400 quoted companies with a total market capitalization of about $11.3 trillion -- a giant ready to slug it out if necessary with a new European exchange which seven major investment banks say they plan to create.

It would also create a trans-Atlantic rival to the company that would be created by New York Stock Exchange's proposed acquisition of the four Euronext exchanges.

The London Stock Exchange, Europe's oldest, now takes about half of the initial public offerings in Europe including a many of the flotations from Russia and Eastern Europe.

Earlier this month, the LSE reported that first-half net profit more than doubled to 54.1 million pounds ($103.2 million), as electronic trading increased 56 percent and income from initial public offerings rose.

"In the year to October, the exchange has underlined its position as the world's primary listing venue with 22.3 billion pounds ($45.3 billion) raised through IPOs, 96 percent more than the same period in 2005 and more than any other exchange so far this year," the LSE in rejecting the Nasdaq bid.

Katrina Preston, an analyst at Bridgewell Securities, had anticipated that the LSE would reject the offer, arguing that it "does not represent sufficient value compared with trading valuations of rival exchanges."

But Fox-Pitt Kelton analyst Andrew Mitchell said the bid was shrewdly timed following last week's slump in the share price below 13 pounds, and that it would be "difficult for London to defend itself."

Earlier this year, Nasdaq made an offer of 9.50 pounds per share for the LSE, but abruptly withdrew in March.

Australia's Macquarie Bank Ltd., Germany's Deutsche Bourse AG and Sweden's OM Gruppen have all failed in previous overtures to take over Europe's oldest exchange.

Mitchell said Nasdaq has no obvious rivals this time around.

"Deutsche Boerse attempted before at a much lower level and you can't rule them out entirely, but they are an unlikely candidate," he said.

The New York Stock Exchange owner, NYSE Group Inc., agreed in June to pay $9.96 billion for Euronext, which operates the Paris, Amsterdam, Brussels and Lisbon exchanges. The bid subsequently rose to $13 billion.

The combined sales of Nasdaq and LSE would be about $1.4 billion, based on their last set of full-year results. That compares with about $2.3 billion for NYSE-Euronext.

Nasdaq Chairman and Chief Executive Robert Greifeld said he wasn't concerned about last week's news that seven major investment banks -- Citigroup Inc., Credit Suisse Group, Deutsche Bank AG, Goldman Sachs Group Inc., Merrill Lynch & Co., Morgan Stanley and UBS AG -- plan to launch their own European equities exchange next year.

"It's important to note that Nasdaq was not born through a historical monopoly. It has had to compete. We clearly have our competitive instincts engaged," Greifeld told reporters.

Greifeld said Nasdaq would cut transaction fees as trading volumes rise.

"That will be a hallmark of the combined entity," he said.

Analyst David Buik of Cantor Index said the investment banks' plan was a strong reason for a Nasdaq-LSE tie-up.

"The ramifications of dismissing Nasdaq's overtures could be serious," Buik said, adding that bourses must cut their fees to remain competitive.

High-tech manufacturing and services conglomerate Tyco International Ltd. said Wednesday that its fiscal fourth-quarter profit climbed 38 percent. But the company also said it found errors in its stock-option granting practices from 1999 through early 2002 that will result in $171 million in added after-tax expenses.

Tyco will restate results for prior periods in its fiscal year 2006 financial statement to reflect additional stock-based compensation expense.

The company also unveiled a restructuring program designed to improve its operating efficiency and leading to savings of $50 million in 2007 and $200 million the following year. It offered no immediate details on job cuts and plant closings.

Its shares rose more than 2 percent in morning trading.

Net income increased to $1.27 billion, or 62 cents per share, in the three months ended Sept. 29 from $917 million or 44 cents per share, during the same period last year.

This year's results include a 12 cents per share gain from special items.

Analysts polled by Thomson Financial were looking for fourth-quarter earnings of 49 cents per share. Those estimates typically exclude one-time items.

Quarterly revenue rose 8 percent to $10.76 billion from $9.94 billion, topping Wall Street's estimate of $10.5 billion.

Full-year earnings grew 22 percent to $3.71 billion, or $1.80 per share, compared with $3.03 billion, or $1.43 per share, in the prior-year period.

Full-year revenue climbed 4 percent to $40.96 billion from $39.31 billion last year.

The company said it anticipates first-quarter 2007 earnings from continuing operations in a range of 42 cents to 44 cents per share, excluding special items and restructuring charges.

On the stock options matter, Tyco said an audit committee reviewed its equity incentive plan practices and approvals between October 1999 and June 2006.

As a result, it said errors were found related to stock-option granting practices due to incomplete documentation, unintentional misapplication of generally accepted accounting principles and the absence of adequate control procedures in 1999 through early 2002.

Tyco will record compensation expense of $171 million after tax relating to grants awarded before the end of 2002.

Separately, Tyco identified an error related to the recognition of compensation expense under the company's employee stock purchase program in the U.K., resulting in additional expenses of about $20 million after tax.

Its shares rose 69 cents, or 2.3 percent, to $30.63 in morning trading on the New York Stock Exchange.

Biopharmaceutical company Samaritan Pharmaceuticals Inc. on Monday said it got a notice from the American Stock Exchange Inc. saying it did not meet listing standards

Samaritan said it did not comply with Amex rules requiring companies to have shareholder equity of not less than $4 million and losses from continuing operations, or net losses, in three out of four of its most recent fiscal years -- as well as a rule requiring shareholder equity of not less than $6 million and net losses in the five most recent fiscal years.

If it wants to stay listed, Samaritan Pharmaceuticals must submit a plan by Dec. 6 describing how it will be back in compliance within 18 months. The company said it will come up with a plan.

"If we fail to timely submit this plan, AMEX does not accept the plan, or we fail to perform in accordance with the plan, we will be subject to delisting procedures," the company said.

Shares of Samaritan Pharmaceuticals dipped 2 cents to 28 cents in midday trading on the AMEX.

Shares of Amkor Technology Inc. climbed Thursday, after the semiconductor-testing company posted an unexpectedly high third-quarter profit with help from strong demand.

The Chandler, Ariz.-based company also indicated a slowdown in fourth-quarter sales wouldn't be as severe as expected.

Amkor's stock rose $1.05, or 14 percent, to $8.54 in early afternoon trading on the Nasdaq Stock Market. Thursday's strongest level, on heavy volume, was $8.69. On a 52-week basis, there was a high of $13.09 on April 27 and a low of $4.61 on Sept. 27.

Late Wednesday, Amkor said it moved to a third-quarter profit of $52.8 million, or 27 cents a share, from a loss of $19.5 million, or 11 cents a share, a year earlier. Analysts surveyed by Thomson Financial had forecast, on average, earnings of about 24 cents a share.

Revenue surged 30 percent to $713.8 million from $549.6 million, amid seasonal demand from makers of wireless and mobile devices, gaming consoles and other products.

For the fourth quarter, the company expects to post per-share earnings of 20 cents to 24 cents, as compared to the 21 cents that had been expected by Wall Street.

The company also expects sales of $678.1 million to $692.4 million _ still topping the roughly $676.9 million expected by analysts.

In a research note, Lehman Brothers analyst David Egan said he expected a fourth-quarter downturn for semiconductor subcontractors after several quarters of growth because of the cyclical nature of the business. He said the assembly and testing companies were avoiding price increases that hurt business during cyclical troughs in the past.

"Looking forward, we currently believe that there is reason to think that this improved financial performance is sustainable into the downturn and over the next cycle," Egan said.

Analysts reacted to True Religion Apparel Inc.'s (NASDAQ TRLG) third-quarter report on Wednesday with a spate of downgrades, and predicted that 2007 will be a transition year for the company.

Shares were down $5.15, or 24.2 percent, to $16.11 in pre-market trading on the INET, having closed Tuesday at $21.26 on the Nasdaq, where the stock has ranged between $11.75 and $24.36 over the past year.

On Tuesday after the closing bell, the Los Angeles-based company known for its line of pricey jeans, reported both third-quarter results and 2006 guidance that missed Wall Street expectations.

Friedman, Billings, Ramsey & Co. analyst Karen Short said fiscal 2007 will be a transition year for the company, and downgraded the stock to "Market Perform" from "Outperform." Short also cut her price target by $10 to $16, predicting that fiscal 2007 earnings per share will be hurt by higher operating expenses.

"As the company continues to grow and become a global lifestyle brand, the increase in infrastructure is necessary; however, we do not believe the top line will increase at the same pace -- pressuring earnings," Short wrote in a client note.

CIBC analyst Dorothy S. Lakner downgraded the shares to "Sector Performer" from "Sector Outperformer," calling the third quarter a "big miss" as international sales, mainly in Japan, were sluggish.

Lakner forecasted less growth in 2007 and removed her price target.

"We still have faith that True Religion can be a global lifestyle brand, but it will take longer to play out than we thought, with growth pushed out about a year," Lakner said.

Omrix Biopharmaceuticals Inc. said Tuesday it swung to a third-quarter profit as revenue more than doubled because biosurgery and antibody product sales soared.

The company, which makes products used in surgery and immunotherapy, earned $8.1 million, or 53 cents per share, compared with a loss of $321,000, or 3 cents per share, a year ago. Analysts polled by Thomson Financial expected a profit of 33 cents per share.

Revenue surged 137 percent to $18.3 million from $7.7 million. Analysts expected revenue of $16.4 million.

The bulk of the increase came from $13.8 million in antibody products, which include intravenous treatments, and $3.5 million from biosurgery products.

During the remainder of the year, the company said it expects to complete enrollment in a late-stage clinical trial of its fibrin sealant Evicel and to complete enrollment of its early-to-midstage study on a West Nile fever treatment.

Omrix said it expects full-year earnings to range from $1.40 to $1.45 a share on product sales revenue of between $54 million and $55 million. The figures mark an increase from previous guidance calling for profit of between $1.15 and $1.20 per share on revenue of between $50 million and $51.5 million.

Analysts previously forecast profit of $1.20 per share on revenue of $59.7 million

Shares of Omrix rose $1.84, or 9.3 percent, to $21.50 in premarket trading on the INET electronic exchange. The stock had closed at $19.66 Monday.

Drug developers Adolor Corp. and GlaxoSmithKline PLC said early Monday the Food and Drug Administration has requested more safety data on their postoperative bowel treatment Entereg.

The agency sent the companies an approvable letter on the drug, requesting 12-month safety data that includes analysis of serious cardiovascular events from an ongoing study and a risk management plan. The ongoing study is expected to be complete by the first quarter of 2007, with data available during the second quarter.

Adolor shares plummeted $4.24, or 30.4 percent, to $9.70 in premarket trading on the INET electronic exchange, indicating that stock may open at a new 52-week low. Shares, which closed Friday at $13.94 on the Nasdaq, have ranged between $11.28 and $27.80 over the past year.

Shares of British firm GlaxoSmithKline shed 16 cents to reach $53.14, having closed at $53.30 Friday on the NYSE.

Part of the application for approval, submitted in September, included data showing an increase in the reported incidence of serious cardiovascular events, though the company said they were not statistically significant. Patients experiencing the heart trouble were already at high risk for cardiovascular disease, Adolor said, and the results were consistent with epidemiological expectations.

Postoperative ileus occurs in almost all patients after abdominal surgery. Coordinated movements in the gastrointestinal tract are disrupted, causing nausea, vomiting, abdominal swelling and bloating.

"We will meet with the FDA to discuss the approvable letter and work with GlaxoSmithKline to provide the additional information requested as expeditiously as possible," said David Madden, Adolor's interim president and chief executive, in a statement.

Entereg is also being studied as a possible treatment to relieve constipation in people who must take opiates for cancer and other chronic pain. Phase III clinical trials for that purpose showed mixed results in the drug's effectiveness.

Stock Market Champs..........11-02-06

Microvision Inc. (MVIS)

Last Trade:	2.86
Trade Time:	11:07AM ET
Change:	0.76 (36.19%)

Microvision (Nasdaq:MVIS), the global leader in light scanning technologies for display and imaging products, announced today that it has entered into a joint development agreement with a major Asian consumer electronics manufacturer. The agreement focuses on development of high-volume design for manufacturing of Microvision’s proprietary Integrated Photonics Module (IPM™), a tiny display engine suitable for a variety of display applications, including ultra-miniature laser projectors for mobile phones.

Under the agreement, the parties will cooperate to optimize Microvision’s IPM designs for high-volume manufacturing and may engage in marketing and product development discussions with prospective OEM customers. For confidentiality reasons, the name of the Asian manufacturer and other terms of the agreement were withheld. Potential applications for the IPM platform include ultra-miniature laser projectors for embedded or accessory solutions for mobile phones, personal media players, laptops and DVD players. Additional applications include lightweight color eyewear and heads-up displays for automobiles and airplanes. Target customers are major consumer electronics OEMs and large tier 1 automotive integrators.

“This agreement marks an important milestone on our roadmap to the commercialization of high-volume products based on the company’s new proprietary IPM architecture,” said Alexander Tokman, President and CEO of Microvision. “We are extremely pleased to be working closely with one of the world’s leading developers and manufacturers of consumer electronics and commercial equipment and a company with a truly global reach. To execute on our plan to bring the IPM to market with the right performance, quality and cost in products such as an embedded or accessory ultra-miniature laser projector (PicoP™) and automotive heads-up display, it is critically important for us to align ourselves with one or more proven, strategic manufacturing partners.

“We anticipate that our efforts with this world-leading consumer electronics partner will accelerate our time-to-market, and provide the potential for establishing the global capacity we require to serve large commercial markets with our IPM platform technology.”

Clark Inc. (CLK)

Last Trade:	16.57
Trade Time:	10:58AM ET
Change:	4.07 (32.56%)

Dutch-based insurance giant Aegon has agreed to buy U.S.-based executive benefits company Clark Inc. for $16.55 a share, or about $293 million in cash, the companies said on Wednesday.

The Aegon offer is a premium of about 32.4 percent over the $12.50 closing price of Clark shares on the New York Stock Exchange on Wednesday.

"We believe this transaction will provide excellent value for our shareholders and significant benefits and opportunities for our associates, partners and clients," said W. Tom Wamberg, chairman and chief executive officer of Clark.

The agreement allows Clark to consider any third-party acquisition proposals and involves an unspecified termination fee if Clark accepts a superior proposal. The transaction with Aegon is expected to close in the first quarter of 2007.

Aegon is Clark's largest shareholder with a 13 percent stake.

Upon completion of the deal, Aegon will own the corporate solutions practice of Clark Consulting, along with Clark Securities Inc.

Plexus Corp. (PLXS)

Last Trade:	25.72
Trade Time:	11:07AM ET
Change:	3.96 (18.20%)

The company said for the first quarter, it expects earnings of 31 cents to 35 cents a share, before restructuring costs, on revenue of $385 million to $395 million. The earnings estimate includes about 3 cents a share for share-based compensation. --According to Reuters Estimates, analysts expect the company to earn 42 cents a share, excluding exceptional items, on revenue of $406.6 million, for the first quarter.

Stock Market Chumps..........11-01-06

Wolverine Tube Inc. (WLV)

Last Trade:	1.87
Trade Time:	10:32AM ET
Change:	1.00 (34.84%)

olverine Tube Inc. on Wednesday said it may pursue pre-packaged reorganization under Chapter 11 if its plan to issue equity and secured notes against its senior notes due in 2008 and 2009 fails. The company said it filed a registration statement for an exchange offer and consent solicitation to exchange equity and debt for the senior notes.

Trex Co. Inc. (TWP)

Last Trade:	21.87
Trade Time:	10:34AM ET
Change:	4.55 (17.22%)

rex Co., which makes deck and railing products, reported Wednesday its third-quarter profit declined on a slowdown in deck installations and forecast a fourth-quarter loss due to challenging market conditions.

For the quarter ended Sept. 30, the company reported net income of $4.6 million, or 31 cents per share, versus a prior-year profit of $5.2 million, or 35 cents per share. Revenue rose to $78.1 million from $77.4 million a year ago.

Wall Street had forecast a profit of 36 cents per share, the mean estimate of seven analysts surveyed by Thomson Financial, on projected sales of $82.3 million.

Trex forecast full-year earnings of between 35 cents and 45 cents per share on sales from $320 million to $330 million. It reported 2005 earnings of 17 cents per share and sales of $294.1 million.

The company said it typically reports a loss in the fourth quarter due to the seasonal nature of deck installations but added this year's slowdown was more pronounced than usual as distributors and dealers reduced inventories amid the current downturn. In response, Trex said it plans to temporarily shut down some manufacturing lines.

Trex shares fell $4.58, or 17.3 percent, to $21.84 in morning trading on the New York Stock Exchange.