Bar Code Firms End Merger Talks

The stocks of bar code technology companies Zebra Technologies Corp. and Eltron International Inc. fell sharply after they ended merger talks. The companies said the negotiations were halted because they could not agree on who would run the combined company. Shares of both companies were among the biggest decliners on Nasdaq: Simi Valley-based Eltron’s shares dropped $5.875 to $32.375, and Zebra’s fell $4.50 to $25.50. The companies last month signed a letter of intent to merge in a stock swap. Zebra Chairman Ed Kaplan told analysts that the merger had fallen through because of concerns over who would run the combined company. Zebra, based in Vernon Hills, Ill., had net income last year of $21 million, or 88 cents per share, on revenues of $107.1 million. Eltron had net income of $6.4 million, or 91 cents, on sales of $42.4 million.