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Xerox Confirms Plan to Break in Two – NASDAQ.com
Icahn disclosed that he had boosted his holding in the company by an additional 10 million shares, raising his stake to 9.12% of the company, or 92.4 million shares, from the 8.13% reported Dec. 14. Xerox, which generates about $20 billion in annual sales, has a market value that is less than half its annual sales. The shares lost a quarter of their value last year and have shed an additional 13% so far this year. In premarket trading Friday, shares rose 0.5% to $9.28 as the company also issued upbeat earnings guidance for the current quarter and year. The company forecast per-share earnings excluding certain items between 21 cents and 24 cents in the first quarter and between $1.10 and $1.20 for the year. Analysts, on average, were expecting per-share earnings on a similar basis of 21 cents in the first quarter and 99 cents for the year. For the December quarter, Xerox said its earnings rose to $285 million, or 27 cents per share, from $200 million, or 17 cents per share, from a year ago. Excluding certain items, the company had earnings of 32 cents a share, above the average analyst estimate of 28 cents on Thomson Reuters.
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