The Bancroft family that controls Dow Jones & Co. met Monday in Boston for a briefing on the $5 billion takeover bid by Rupert Murdoch's News Corp. The family controls 64% of the voting stock in the financial news and information powerhouse. Sources familiar with the situation said that clan members could vote on the deal as early as this week. Given the size and diverging interests of the Bancroft family, observers said it is difficult to predict how they will vote. On Monday, Dow Jones shares declined 0.6% to $54.69, below Murdoch's $60-per-share offer price. News Corp. voting shares closed down 0.3% at $24.37. News Corp. and Bancroft officials declined comment on Monday's briefing or potential voting scenarios.
Movie Gallery relief
Movie Gallery Inc. said Monday in a regulatory filing that lenders have agreed, with conditions, not to force it into bankruptcy for the next few weeks as it tries to either sell itself or restructure. The video rental company recently said it was in violation of certain terms of its credit agreement. Monday's news pushed its stock up 5.4% to 59 cents.
Toymaker Hasbro Inc. reported strong second-quarter revenue thanks to Transformers and Spider-Man products, but its profit declined on charges. Hasbro shares fell 5.4% on Monday to $30.80. The company posted a profit of $4.8 million, down from the $27.1 million recorded a year ago. Revenue rose from $527.8 million to $691.4 million. In May, Hasbro paid $200 million to buy back all warrants for its common stock held by Lucasfilm Ltd. and Lucas Licensing, leading to a charge of $36.5 million, the firm said. Hasbro also took a charge of $10.4 million for a product recall.