Volume Spike Investor

Electronic Arts Inc. (NASDAQ: ERTS) rose despite some mixed reports.  The video game giant posted non-GAAP earnings at $0.06 EPS on $1.15 billion in revenues versus Thomson Reuters consensus estimates of $0.07 EPS and $1.13 billion in revenues. EA reported more cost reductions and will close several facilities and make job cuts of 1,500 by March 31, 2010.  The new guidance for 2010 is $0.70 to $1.00 EPS and $4.20 to $4.40 billion in revenues.  Thomson Reuters has estimates at $0.89 EPS on $4.27 billion in revenues.  If were not for the cost cuts, this would be ugly as sin.  The shares were up last night by several percent, but reality is sinking in that EA is a low growth story that has no excitement.  At  8:03 AM EST we have shares trading down 2.7% at $19.00 on about 27,000 shares.  This was up 1.4% at the after-hours shut down on over 1.4 million shares in teh after-hours session alone.

JON OGG