Russell 2000 slips into the red
The Russell 2000 index is slightly lower as U.S. stocks remain little changed this afternoon. In specific small cap action, shares of 8x8, Inc. (Nasdaq: EGHT) are down on news of a net loss, while The Smith & Wollensky Restaurant Group, Inc. (Nasdaq: SWRG) said it will be sold for $90 million.
At 2:37 p.m. ET the Russell 2000 had lost 0.22 points, or 0.03 percent, to 832.66. The Dow Jones Industrial Average was up 45.83 points, or 0.35 percent, to 13,310.45, on track for another record close.
Shares of telecommunications services company 8x8, Inc. are trading lower on news of a loss. The net loss for fiscal year 2007 ended March 31 was $13.8 million, or $0.22 per share, compared with a net loss of $24.1 million, or $0.43 per share, for fiscal 2006, the Santa Clara, Calif.-based firm said before the opening bell. That’s on par with Wall Street’s expectations. However, the net loss for the fourth quarter was $2.3 million, or $0.04 per share, above analysts’ projected earnings of $0.03 per share. 8x8 lost $6.6 million, or $0.11 per share during the same period of 2006. The company did not say when it expects to be profitable. The stock is down $0.10, or 7%, to $1.38.
New York-based steakhouse restaurant owner The Smith & Wollensky Restaurant Group, Inc. will be sold to Patina Restaurant Group, LLC for $11 per share, according to news reports after market open. Shares have added $1.03, or 10%, to $10.95. Patina had previously offered a price of $9.25 per share but was forced to improve its buyout offer to fight off a rival bid from Landry's Restaurants Inc. (NYSE: LNY). The purchase price amounts to $90 million.
In economic news, the price of oil has eased a quarter of a dollar to the mid-$61 a barrel range as inventories have increased due to refinery problems in the United States.
