logo
Plus   Neg
Share
Email

TE Connectivity To Sell Its Touch Solutions, Professional Services Units

TE Connectivity Ltd. (TEL) said it has agreed for the sale of its Touch Solutions business to The Gores Group for $380 million. The company has also agreed to sell its TE Professional Services business to BlueStream Professional Services, LLC, an affiliate of KGP Logistics, for $23.5 million.

Results related to these businesses will be recast for prior periods and reported as discontinued operations on TE Connectivity's financial statements beginning with its fiscal second quarter ended March 30, 2012. The company expects to recognize in discontinued operations an after-tax loss in its fiscal second quarter of approximately $20 million related to these divestitures.

The company also updated its outlook for the second quarter for the impact of these divestitures. TE Connectivity now expects second-quarter adjusted earnings per share in the range of $0.62 to $0.66, compared to earlier forecast of $0.64 to $0.68.

TE Connectivity lowered its sales outlook to a range of $3.15 billion to $3.25 billion from the prior outlook range of $3.3 billion to $3.4 billion.

On average, analysts polled by Thomson Reuters expect the company to report earnings of $0.66 per share, on revenues of $3.36 billion. Analysts' estimates typically exclude special items.

by RTTNews Staff Writer

For comments and feedback: editorial@rttnews.com

Business News

Quick Facts

Editors Pick
Walmart is ditching its dress code policy and is testing a new dress code that will allows "associates" to wear blue denim and shirts of any solid color. The updated dress coded guidelines now allow employees to wear blue "jeggings" and blue jeans and shirts of any solid color, according to a Walmart... Canadian investment firm Fairfax Financial Holdings Ltd. has submitted a "stalking horse" bid worth C$300 million, or $237 million, for the Canadian unit of Toys "R" Us, according to court documents. A stalking horse bid is an initial bid on the assets of a bankrupt company. The bankrupt company will choose an entity from a pool of bidders who will make the first bid on its assets. The car rental market in the U.S. is consolidating as large car rental companies are buying smaller, local companies to expand their portfolio of premium and value brands. The key players in the U.S. market include Enterprise Holdings, Hertz Global Holding and Avis Budget Group. Let's take a look at some of the best and worst car rental companies in the U.S.
Follow RTT