Tag - TRX

Tronox Incorporated (NYSE:TRX) is down nearly 10% today after Lehman Brothers downgraded the stock just after the opening bell to “underweight” from “equal-weight.” Tronox makes and markets titanium dioxide pigment, and the research firm said there was weak demand for the product along with higher energy and transportation costs to contend with. An hour before the market close, shares of Tronox are trading at $2.01, down $0.21 from Monday’s finish. Earlier in the day, Tronox fell to $1.77, a record low for the Oklahoma City-based company.

Tronox Inc. (NYSE: TRX) today said production difficulties at one of its titanium dioxide plants, an environmental provision and a tax charge would adversely affect its results for the second quarter ended June 30.

The announcement sent its shares lower by 4.9%, or $0.71, to $13.77 in mid-day trading Wednesday.

The global producer and marketer of titanium dioxide pigment reported its titanium dioxide plant in Botlek, Netherlands, experienced production difficulties during the second quarter that Tronox expects will result in increased pretax costs of approximately $3 million for the quarter.  Titanium dioxide pigment is an inorganic white pigment used in paint, coatings, plastics, paper and many other everyday products. Although the Botlek plant encountered production difficulties in the second quarter, the company reported that the plant has returned to normal levels after the completion of necessary repairs.

The Oklahoma City, Okla.-based company said it also expects to record a pretax non-cash environmental provision, net of expected insurance reimbursements, of approximately $2 million in the second quarter for costs associated with an ongoing environmental assessment at its Henderson, Nev., site. 

Tronox also expects to record non-cash tax charges of approximately $4 million on account of additional discussions with German tax authorities pertaining to the company's ongoing income tax audit for the years 1998 through 2001.

San Francisco-based Novacea Inc. (Nasdaq: NOVC) received $60 million from a licensing agreement for its prostate cancer drug from Schering-Plough Corp., the company announced this morning. It could receive as much as $380 million in pre-commercial milestone payments and royalties for its orally-administered prostate cancer drug Asentar. The stock is up $0.69, or 7%, to $10.20.

Shares of Progen Pharmaceuticals Ltd. (Nasdaq: PGLA) are rising following news this morning that the Australian company’s Phase III clinical trial of a liver cancer drug will allow for a potentially faster and more cost effective trial with a higher likelihood of success than previously reported. The stock is up $0.05, or 1%, to $3.60.