ST. PETERSBURG, Fla., Oct 24, 2008 (BUSINESS WIRE) ----Jabil Circuit, Inc. (NYSE:JBL), a global electronic product solutions company, today announced that its Board of Directors has approved payment of a quarterly dividend to shareholders of record as of November 17, 2008. The dividend of $0.07 per share is payable on December 1, 2008.
The Company intends to continue to pay regular quarterly dividends; however the declaration and payment of future dividends are discretionary and will be subject to determination by the Board of Directors each quarter following its review of the Company's financial performance.
About Jabil
Jabil is an electronic product solutions company providing comprehensive electronics design, manufacturing and product management services to global electronics and technology companies. Jabil helps bring electronics products to the market faster and more cost effectively by providing complete product supply chain management around the world. With more than 75,000 employees and facilities in 20 countries, Jabil provides comprehensive, individualized-focused solutions to customers in a broad range of industries. Jabil common stock is traded on the New York Stock Exchange under the symbol, "JBL". Further information is available on the company's website: jabil.com.
This news release contains forward-looking statements, including those regarding the potential future issuance of dividends. These statements are based on current expectations, forecasts and assumptions involving risks and uncertainties that could cause actual outcomes to differ materially. These risks and uncertainties include, but are not limited to: fluctuations in operating results and generation of cash flow; changes in technology; competition; anticipated growth for us and our industry that may not occur; managing rapid growth; managing any rapid declines in customer demand that may occur; our ability to successfully consummate acquisitions; managing the integration of businesses we acquire; risks associated with international sales and operations; retaining key personnel; our dependence on a limited number of customers; business and competitive factors generally affecting the electronic manufacturing services industry, our customers and our business; other factors that we may not have currently identified or quantified; and other risks, relevant factors and uncertainties identified in our Annual Report on Form 10-K for the fiscal year ended August31, 2007, subsequent Reports on Form 10-Q and Form 8-K and our other securities filings. Jabil disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SOURCE: Jabil Circuit, Inc.
Link: http://www.foxbusiness.com/story/markets/industries/industrials/jabil-announces-quarterly-dividend-451977645/
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Friday, October 24, 2008
U.S. Stocks Drop on Concern Over Fallout From Credit Crisis
Oct. 24 (Bloomberg) -- U.S. stocks dropped, capping a five- week slide that dragged the Standard & Poor's 500 Index down 30 percent, as concern grew that the credit crisis has infected the broader economy.
Exxon Mobil Corp. and Chevron Corp. led declines in all 40 energy companies in the S&P 500 as oil tumbled to a 16-month low. General Motors Corp. slid 13 percent after Toyota Motor Corp., the world's second-largest automaker, reported its first sales decline in seven years. Losses were worse in overseas markets, with Europe's benchmark index sinking 4.7 percent and Asia's down 5.7 percent.
``It's a bear market on steroids,'' David King, a money manager at Putnam Investments, who helps oversee about $137 billion, told Bloomberg Television. ``It's very accelerated by the pace of financial markets today.''
The S&P 500 slid 34.35 points, or 3.8 percent, to 873.76 at 1:10 p.m. in New York, a level it first attained in June 1997. The Dow Jones Industrial Average sank 310.39 points, or 3.6 percent, to 8,380.86. The Nasdaq Composite Index declined 46.74, or 2.9 percent, to 1,557.17. About 15 stocks fell for every two that rose on the New York Stock Exchange.
The global tumble in stocks sent the benchmark index for developed markets to the lowest level since June 2003. Yields on 30-year Treasuries dropped to a three-decade low as investors sought the safety of government debt. The yen climbed to a 13- year high against the dollar.
The S&P 500 has lost about 7 percent this week and the Dow average has dropped more than 5 percent, while the Nasdaq Composite Index is down more than 9 percent.
$10 Trillion Month
More than $10 trillion has been erased from the market value of equities so far this month, accounting for about one- third of the total value wiped off stocks this year. MSCI's index of developed and emerging stock markets plunged 48 percent in 2008 and is heading for its worst year on record as credit- related losses topped $660 billion in the worst financial crisis since the Great Depression.
U.S. stock-index futures plunged by their daily limits in trading before the open of U.S. exchanges, with contracts on the Dow average expiring in December dropping 550 points and S&P futures tumbling 60 points.
``It's a pathetic moral victory, but the fact that we're not down 1,000 is telling me the market's sensing value,'' said John Lynch, the Charlotte, North Carolina-based chief market analyst at Evergreen Investments, which manages $245 billion.
The Chicago Board Options Exchange Volatility Index surged as much as 32 percent to 89.53, the highest in its 18-year history. The VIX measures the cost of using options as insurance against S&P 500 declines.
`Forced Selling'
Some investors speculated that today's declines were being exacerbated by hedge funds facing margin calls, or demands to repay borrowed money used to buy shares whose value has dropped.
``This must be forced selling, probably hedge funds,'' said Nick Sargen, chief officer at Fort Washington Investment Advisors, which oversees $30 billion in Cincinnati. ``A rational investor, and I emphasize rational, wouldn't be selling now.''
Exxon, the biggest U.S. oil company, declined $2.62 to $67.77. Chevron Corp., the second-largest, lost $4.06 to $62.71.
Crude oil lost 4.6 percent to $64.69 a barrel, while metals and crops also retreated. An S&P GSCI index of 24 raw materials has dropped more than 30 percent since September, poised for a record quarterly decline.
`Throwing Everything Out'
``It's the spillover of the banking crisis into real economies around the world,'' said Michael Mullaney, a Boston- based money manager at Fiduciary Trust Co., which oversees $10 billion. ``Everything's going down hard. Diversification is not working right now, that's what it amounts to. We're throwing everything out.''
GM, the biggest U.S. automaker, dropped 51 cents to $5.59 today and Ford, the second-largest, declined to $1.91.
U.S. auto sales this month may fall to their lowest rate in at least 25 years as tighter credit and falling home values cripple demand, according to Deutsche Bank AG.
GM reiterated today that bankruptcy is ``not an option'' for the company. Speculation regarding GM's financial stability is unfounded, spokesman Tony Cervone said in an interview.
Toyota slid 6.4 percent in Tokyo after it about 2.236 million vehicles worldwide in the three months ended Sept. 30, down 4.3 percent from 2.336 million a year earlier. GM will release its third-quarter sales figure on Oct. 29.
Volvo AB, the world's second-largest maker of heavy trucks, cut its industry growth outlook for this year, and PSA Peugeot Citroen, Europe's second-biggest carmaker, reduced its full-year targets.
Wide Rout
All of the 10 main industry groups in the S&P 500 fell at least 1.9 percent as only 47 of the index's companies advanced. The main benchmark for U.S. stocks is trading at the lowest since April 2003.
Intel Corp. fell as much as 7.9 percent as Samsung Electronics Co., Asia's biggest maker of chips, had its worst profit drop in more than three years. Apple Inc., the maker of iPhones and iPods, dropped $2.80 to $95.43.
Earnings at S&P 500 companies that have reported third- quarter results so far dropped by an average of 23 percent, trailing analysts' projections by 1.6 percent, according to data compiled by Bloomberg.
Earnings Slump
S&P 500 profits declined from the year-earlier period in each of the past four quarters. For the fourth-quarter, analysts estimate a 19.2 percent increase. For fiscal 2009, they project growth of 15.2 percent, according to estimates gathered by Bloomberg.
General Electric Co., the economic bellwether whose products range from power-plant turbines to locomotives, dropped 6 percent to $17.67. The company said it plans to use the Federal Reserve's short-term funding facility when it starts next week.
American International Group Inc. declined 14 percent to $1.80. The insurer said it has used $90.3 billion of a U.S. government credit line since it was bailed out last month, an amount that exceeds the size of the original loan meant to save the company.
National City Corp. slumped 21 percent to $2.17. PNC Financial Services Group Inc., Pennsylvania's largest bank, plans to buy National City, Ohio's largest bank, for about $5.2 billion in stock with funds from the U.S. Treasury. PNC's offer of $2.23 a share is 19 percent less than National City's closing price yesterday.
Fifth Third Bancorp, Ohio's second-biggest bank, slid 15 percent to $9.66 after being downgraded to ``sell'' from ``neutral'' at Goldman Sachs Group Inc.
The U.K.'s FTSE 100 Index tumbled 5 percent after the nation's economy shrank for the first time since 1992. South Korea's Kospi Index sank 11 percent as the country's economy grew at the slowest pace in four years. Russia's Micex Stock Exchange suspended trading until next week.
To contact the reporter on this story: Elizabeth Stanton in New York at estanton@bloomberg.net
source: http://www.bloomberg.com/apps/news?pid=20601087&sid=a2nMuz__R8Vo&refer=home
Exxon Mobil Corp. and Chevron Corp. led declines in all 40 energy companies in the S&P 500 as oil tumbled to a 16-month low. General Motors Corp. slid 13 percent after Toyota Motor Corp., the world's second-largest automaker, reported its first sales decline in seven years. Losses were worse in overseas markets, with Europe's benchmark index sinking 4.7 percent and Asia's down 5.7 percent.
``It's a bear market on steroids,'' David King, a money manager at Putnam Investments, who helps oversee about $137 billion, told Bloomberg Television. ``It's very accelerated by the pace of financial markets today.''
The S&P 500 slid 34.35 points, or 3.8 percent, to 873.76 at 1:10 p.m. in New York, a level it first attained in June 1997. The Dow Jones Industrial Average sank 310.39 points, or 3.6 percent, to 8,380.86. The Nasdaq Composite Index declined 46.74, or 2.9 percent, to 1,557.17. About 15 stocks fell for every two that rose on the New York Stock Exchange.
The global tumble in stocks sent the benchmark index for developed markets to the lowest level since June 2003. Yields on 30-year Treasuries dropped to a three-decade low as investors sought the safety of government debt. The yen climbed to a 13- year high against the dollar.
The S&P 500 has lost about 7 percent this week and the Dow average has dropped more than 5 percent, while the Nasdaq Composite Index is down more than 9 percent.
$10 Trillion Month
More than $10 trillion has been erased from the market value of equities so far this month, accounting for about one- third of the total value wiped off stocks this year. MSCI's index of developed and emerging stock markets plunged 48 percent in 2008 and is heading for its worst year on record as credit- related losses topped $660 billion in the worst financial crisis since the Great Depression.
U.S. stock-index futures plunged by their daily limits in trading before the open of U.S. exchanges, with contracts on the Dow average expiring in December dropping 550 points and S&P futures tumbling 60 points.
``It's a pathetic moral victory, but the fact that we're not down 1,000 is telling me the market's sensing value,'' said John Lynch, the Charlotte, North Carolina-based chief market analyst at Evergreen Investments, which manages $245 billion.
The Chicago Board Options Exchange Volatility Index surged as much as 32 percent to 89.53, the highest in its 18-year history. The VIX measures the cost of using options as insurance against S&P 500 declines.
`Forced Selling'
Some investors speculated that today's declines were being exacerbated by hedge funds facing margin calls, or demands to repay borrowed money used to buy shares whose value has dropped.
``This must be forced selling, probably hedge funds,'' said Nick Sargen, chief officer at Fort Washington Investment Advisors, which oversees $30 billion in Cincinnati. ``A rational investor, and I emphasize rational, wouldn't be selling now.''
Exxon, the biggest U.S. oil company, declined $2.62 to $67.77. Chevron Corp., the second-largest, lost $4.06 to $62.71.
Crude oil lost 4.6 percent to $64.69 a barrel, while metals and crops also retreated. An S&P GSCI index of 24 raw materials has dropped more than 30 percent since September, poised for a record quarterly decline.
`Throwing Everything Out'
``It's the spillover of the banking crisis into real economies around the world,'' said Michael Mullaney, a Boston- based money manager at Fiduciary Trust Co., which oversees $10 billion. ``Everything's going down hard. Diversification is not working right now, that's what it amounts to. We're throwing everything out.''
GM, the biggest U.S. automaker, dropped 51 cents to $5.59 today and Ford, the second-largest, declined to $1.91.
U.S. auto sales this month may fall to their lowest rate in at least 25 years as tighter credit and falling home values cripple demand, according to Deutsche Bank AG.
GM reiterated today that bankruptcy is ``not an option'' for the company. Speculation regarding GM's financial stability is unfounded, spokesman Tony Cervone said in an interview.
Toyota slid 6.4 percent in Tokyo after it about 2.236 million vehicles worldwide in the three months ended Sept. 30, down 4.3 percent from 2.336 million a year earlier. GM will release its third-quarter sales figure on Oct. 29.
Volvo AB, the world's second-largest maker of heavy trucks, cut its industry growth outlook for this year, and PSA Peugeot Citroen, Europe's second-biggest carmaker, reduced its full-year targets.
Wide Rout
All of the 10 main industry groups in the S&P 500 fell at least 1.9 percent as only 47 of the index's companies advanced. The main benchmark for U.S. stocks is trading at the lowest since April 2003.
Intel Corp. fell as much as 7.9 percent as Samsung Electronics Co., Asia's biggest maker of chips, had its worst profit drop in more than three years. Apple Inc., the maker of iPhones and iPods, dropped $2.80 to $95.43.
Earnings at S&P 500 companies that have reported third- quarter results so far dropped by an average of 23 percent, trailing analysts' projections by 1.6 percent, according to data compiled by Bloomberg.
Earnings Slump
S&P 500 profits declined from the year-earlier period in each of the past four quarters. For the fourth-quarter, analysts estimate a 19.2 percent increase. For fiscal 2009, they project growth of 15.2 percent, according to estimates gathered by Bloomberg.
General Electric Co., the economic bellwether whose products range from power-plant turbines to locomotives, dropped 6 percent to $17.67. The company said it plans to use the Federal Reserve's short-term funding facility when it starts next week.
American International Group Inc. declined 14 percent to $1.80. The insurer said it has used $90.3 billion of a U.S. government credit line since it was bailed out last month, an amount that exceeds the size of the original loan meant to save the company.
National City Corp. slumped 21 percent to $2.17. PNC Financial Services Group Inc., Pennsylvania's largest bank, plans to buy National City, Ohio's largest bank, for about $5.2 billion in stock with funds from the U.S. Treasury. PNC's offer of $2.23 a share is 19 percent less than National City's closing price yesterday.
Fifth Third Bancorp, Ohio's second-biggest bank, slid 15 percent to $9.66 after being downgraded to ``sell'' from ``neutral'' at Goldman Sachs Group Inc.
The U.K.'s FTSE 100 Index tumbled 5 percent after the nation's economy shrank for the first time since 1992. South Korea's Kospi Index sank 11 percent as the country's economy grew at the slowest pace in four years. Russia's Micex Stock Exchange suspended trading until next week.
To contact the reporter on this story: Elizabeth Stanton in New York at estanton@bloomberg.net
source: http://www.bloomberg.com/apps/news?pid=20601087&sid=a2nMuz__R8Vo&refer=home
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