Merrill Lynch, Bank of America, Lehman: U.S. Equity Preview

By Lu Wang

Sept. 15 (Bloomberg) -- The following companies may have unusual price changes in U.S. trading. Stock symbols are in parentheses and share prices are as of 4 p.m. in New York on Sept. 12, unless otherwise specified.

American International Group Inc. (AIG US): The insurer struggling to avoid credit downgrades is seeking a $40 billion bridge loan from the Federal Reserve as it tries to sell assets, the New York Times reported. The stock tumbled 31 percent to $12.14 in regular trading.

Amylin Pharmaceuticals Inc. (AMLN US): Billionaire investor Carl Icahn raised his stake in the maker of the Byetta diabetes drug to 7.33 percent, according to a filing with the U.S. Securities and Exchange Commission. The stock rose 3.6 percent to $20.18.

Caterpillar Inc. (CAT US): The world's largest maker of construction equipment said it won a ruling that may help it block rivals from shipping hydraulic excavators to the U.S. The stock gained 1 percent to $65.46.

Lehman Brothers Holdings Inc. (LEH US): The once fourth- largest U.S. investment bank said it intends to file for bankruptcy after Barclays Plc and Bank of America Corp. (BAC US) abandoned talks to buy the crippled firm. Lehman fell 14 percent to $3.65. Bank of America gained 2.1 percent to $33.74.

Magellan Midstream Partners LP (MMP US): The U.S. oil products distributor said two of its pipelines are shut because of Hurricane Ike. Magellan Midstream rose $1.13, or 3.3 percent, to $35.46.

Merrill Lynch & Co. (MER US): Bank of America cemented its status as the largest U.S. consumer bank by agreeing to acquire Merrill Lynch, the world's biggest brokerage firm, for about $50 billion. Merrill declined 12 percent to $17.05.

M&T Bank Corp. (MTB US): The lender said it would take a third-quarter charge on holdings of Fannie Mae (FNM US) and Freddie Mac (FRE US), the mortgage buyers taken over by the government. The stock gained 4.1 percent to $78.17.

McAfee Inc. (MFE US): The security software developer may gain 30 percent during the next year to $48 as the company posts better-than-expected earnings and offers protection for corporate networks, Barron's reported, citing Jefferies & Co. analyst Katherine Egbert. The stock fell 3.5 percent to $36.22.

Middleby Corp. (MIDD US): The maker of Toastmaster ovens and Pitco fryers may rise to $95 amid a slowing U.S. economy that curbs Americans' dining-out habits, Barron's reported, citing Roth Capital Partners analyst Anton Brenner. Middleby rose 0.7 percent to $55.89.

Take-Two Interactive Inc. (TTWO US): Electronic Arts Inc. (ERTS US), the second-largest video-game publisher, said it has ended discussions with Take-Two and won't make a proposal to buy the publisher of the best-selling ``Grand Theft Auto.'' Take-Two gained 1.1 percent to $21.89.

Textron Inc. (TXT US): The largest maker of business jets through its Cessna brand won a $250.1 million contract to provide armored security vehicles to the U.S. Army, the Department of Defense said on its Web site. The stock rose 0.4 percent to $38.92.

Walgreen Co. (WAG US): The largest U.S. pharmacy chain, offered to buy Longs Drug Stores Corp. (LDG US) for $3 billion in cash, or $75-a-share, challenging CVS Caremark Corp.'s (CVS US) month-old agreement to acquire the California retailer. Walgreen fell 60 cents to $36.07. Longs said it recommends shareholders accept CVS's offer. Longs fell 7 cents to $71.66 and CVS declined 2 cents to $37.64.

To contact the reporter on this story: Lu Wang in New York at lwang8@bloomberg.net