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Premarket Movers: RealNetworks Rises



By AP
04 February 2008 @ 08:49 am ET

NEW YORK - Shares of RealNetworks Inc. soared in premarket trading Monday, following news that Yahoo Inc.'s online music subscription service customers will switch to RealNetwork's Rhapsody music service.

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RNWK 2.96 -0.16
YHOO 14.99 -0.42
HUM 32.52 0
GOOG 408.49 -10.5
MSFT 23.37 -0.67
ADM 26.54 -1.01

Yahoo, which is closing its online music subscription service, said the move allows Yahoo to focus on free, ad-supported music, among other media offerings.

Although financial terms of the deal were not disclosed, shares of RealNetworks soared 67 cents, or 11.3 percent, to $6.62 in premarket trading, having finished Friday at $5.95.

The Nasdaq-100 Premarket Indicator pointed to a slightly higher opening for U.S. markets, following positive earnings reports from Humana Inc., a Louisville, Ky.-based health insurer, whose quarterly profit surged 57 percent.

Also inching higher were shares of Google Inc., after David Drummond, Google's chief legal officer, said Microsoft Corp.'s $42 billion offer for Yahoo "raises troubling questions." Google has said it believes a combination of Microsoft and Yahoo will stifle Internet innovation, as both companies are much larger than Google in terms of e-mail and instant messaging.

Shares of Google inched up 55 cents to $516.45 in premarket trading, after closing at $515.90 on Friday. Yahoo advanced 11 cents to $28.49, following a $28.38 finish on Friday, and Microsoft Corp. rose 12 cents to $30.57, after ending at $30.45 in regular trading.

On the losing side, shares of Archer Daniels Midland declined in premarket trading, after a rise in demand and prices lifted quarterly profit, but the results missed Wall Street expectations by a penny.

The stock slipped 50 cents to $45, after ending at $45.50 on Friday.

Copyright 2008 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.

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