3M expecting sales above estimates

3M Co. said Monday it expects to report second-quarter revenue above what analysts have projected, sending its stock up more than 1 percent in after-hours trading.

The manufacturing giant said it expected sales of $6.6 billion to $6.75 billion for the second quarter ending June 30, higher than analysts' estimates of $6.56 billion. 3M stock, which closed at $78.98 a share, up 10 cents, edged up to $80 in after-hours trading.

The company cited new products and continued strong demand in emerging economies for the improved sales, which would be up from $5.72 billion for the same period in 2009 and on par with $6.74 billion reported for the second quarter in 2008. The Maplewood-based company reports second-quarter results July 22.

Separately, 3M filed a patent-infringement lawsuit against Avery Dennison Corp. over reflective sheeting used on road signs, traffic cones and commercial vehicles.

In a suit filed Friday in U.S. District Court in Minneapolis, 3M said it has invested "substantial resources" in developing the reflective sheeting that it sells worldwide under the name Diamond Grade DG.

The suit said a product made by Pasadena, Calif.-based Avery violates 13 patents 3M was granted from 1998 to 2009. 3M is seeking a court order to stop Avery from selling its reflective sheeting products and to get monetary damages.

The two companies are longtime rivals and are among the largest competitors in the market for reflective sheeting used for signs, traffic cones and commercial vehicles, according to 3M spokeswoman Donna Fleming Runyon. She declined to say which company has the larger share of the market, which in the United States totals about $250 million.

The complaint noted that 3M and Avery have a history of filing patent-infringement suits against each other. Last month, Avery filed a suit in federal court in Delaware accusing 3M of infringing on an Avery patent for a label sheet design for easy removal of labels. 3M's most recent patent infringement jury trial in 2005 resulted in a verdict against Avery for infringing on a 3M patent on certain adhesives used for large-scale graphic films. 3M won an injunction to stop Avery from using the patented product plus undisclosed monetary damages.

In its latest suit, 3M said that Avery had told 3M it needed to obtain a license to two Avery reflective sheeting patents. "3M has reasonable apprehension and cause to be concerned that Avery will assert claims against it," the suit said. 3M is seeking a court order declaring the Avery patents invalid.