First time applications for unemployment benefits fell more than expected but planned job cuts climbed in January to a four month high. The markets opened flat with the Dow edging up a point to 12,717. Nasdaq rose 10 points to 2858.

On the upside

First quarter earnings surged for Green Mountain Coffee Roasters (Nasdaq: GMCR) to surpass analyst expectations by a wide margin due to strong holiday sales.

Electronic Arts (Nasdaq: EA) narrowed third quarter losses more than expected as revenue rose.

Gap (NYSE: GPS) reported a smaller than expected drop in January same store sales and forecast fourth quarter earnings ahead of estimates.

On the downside

SandRidge Energy (NYSE: SD) will pay approximately $1.27 billion in cash and stock to acquire Dynamic Offshore Resources.

Abercrombie & Fitch (NYSE: ANF) warned that fourth quarter earnings and revenue will fall short of analyst expectations.

Ann (NYSE: ANN) blamed lower sales at its pricier Ann Taylor stores for cutting its fourth quarter revenue guidance and named a new president for its Ann Taylor brand.

In the broad market, advancing issues outpaced decliners by a margin of nearly 10 to 9 on the NYSE while decliners edged out advancers by more than 10 to 9 on Nasdaq. The Russell 2000 which tracks small cap stocks held steady at 809.