|
AP Business NewsBrief at 7:50 a.m. EDT
(Associated Press Via Acquire Media NewsEdge) AP Source: Chrysler lender talks break offDETROIT (AP) _ Talks between Chrysler LLC's lenders and the Treasury Department to reduce the automaker's $6.9 billion in secured debt and keep it out of bankruptcy protection have disintegrated, a person familiar with the talks said early Thursday. Chrysler's fate was in the hands of about 40 hedge funds that hold about 30 percent of its debt. Although four banks holding 70 percent of the debt had agreed to erase it for $2 billion, the hedge funds were holding out for a better deal.
Dow Chemical 1Q profit drops 97 percentNEW YORK (AP) _ Dow Chemical posted a 97 percent drop in first-quarter profit on Thursday due to job cuts and a steep drop in sales, though results easily beat Wall Street expectations. The company earned $24 million, or 3 cents per share, compared with $941 million, or 99 cents per share, a year earlier.
Kodak posts wider 1Q loss, suspends dividendROCHESTER, N.Y. (AP) _ Eastman Kodak says its loss widened to $353 million in the first quarter on plunging sales and restructuring charges. The photography products maker is suspending its cash dividend on common stock and is requiring U.S. employees to take a one-week leave without pay before the end of the year.
Comcast 1Q profit up 6 percent on new customersPHILADELPHIA (AP) _ Comcast Corp., the nation's largest cable TV provider, said Thursday that first-quarter earnings rose by 6 percent as the company signed up throngs of new customers for its digital cable, phone and high-speed Internet services. The Philadelphia-based company earned $772 million, or 27 cents per share, compared with a profit of $732 million, or 24 cents per share, in the same period a year ago. Revenue rose by 5 percent to $8.84 billion.
World markets rally on Fed's US assessmentLONDON (AP) _ World stock markets rose sharply Thursday even though the World Health Organization warned that a swine flu pandemic was imminent, as investors warmed instead to the Federal Reserve's suggestion that the worst of the recession in the U.S. may be over. By mid morning London time, the FTSE 100 index of leading British shares was up 63.15 points, or 1.5 percent, at 4,252.74 while Germany's DAX rose 89.66 points, or 1.9 percent, to 4,794.22. The CAC-40 in France was 47.76 points, or 1.5 percent, higher at 3,164.70.
Cigna 1Q profit more than triplesPHILADELPHIA (AP) _ Health insurer Cigna Corp. says its profit more than tripled in the first quarter, taking a smaller hit from a discontinued business than a year ago. Cigna says it earned $208 million, or 76 cents per share. But profit from continuing operations declined to 69 cents per share. Revenue rose 4 percent, to $4.77 billion from $4.57 billion.
US stock futures rise ahead of economic dataNEW YORK (AP) _ Stocks are set to extend their rally as investors hoped for reassuring readings on jobless claims, personal spending and manufacturing. In premarket trading Thursday, stock futures rose sharply ahead of the economic data. The reports are not supposed to show a strong turnaround. Economists predict that new claims rose modestly last week, while income and spending dipped slightly in March. And they forecast a slight rise in the Chicago purchasing managers' April index.
Oil jumps above $51 on optimism recession slowingVIENNA (AP) _ Oil rose above $51 a barrel Thursday as investors took heart from optimistic comments from the U.S. Federal Reserve that the worst recession in decades may well be easing. The rebound came despite a build-up in U.S. stocks reflecting continued lagging demand.
Lewis out as Bank of America chairman, remains CEOCHARLOTTE, N.C. (AP) _ Ken Lewis has lost his role as Bank of America's chairman, and now he'll have to prove to shareholders that he should keep his post as the troubled bank's CEO. After months of rancor following Bank of America Corp.'s acquisition of troubled investment bank Merrill Lynch & Co., shareholders voted at the company's annual meeting to separate the jobs of chairman and CEO. Lewis will remain the CEO of the bank, while board member Walter E. Massey, president emeritus of Morehouse College in Atlanta, will become Bank of America chairman.
Starwood 1Q profit drops, but results top StreetWHITE PLAINS, N.Y. (AP) _ Starwood Hotels & Resorts says its first-quarter profit plunged 81 percent, but adjusted results beat analysts' estimates as deep cost cuts helped offset softening travel demand. Like others in the sector, Starwood Hotels & Resorts Worldwide Inc. has been slashing expenses as business and leisure travel wanes during the recession.
Newmont Mining 1Q profit tumbles 48 percentDENVER (AP) _ Newmont Mining, one of the world's largest gold producers, says its first-quarter profit tumbled 48 percent, primarily driven by lower realized gold and copper prices. The Denver-based company reported quarterly earnings of $189 million, or 40 cents per share, compared with $365 million, or 80 cents per share, during the same period last year.
Japan's factories showing signs of lifeTOKYO (AP) _ Japan's struggling manufacturers are showing signs of life: The government said Thursday that industrial production rose for the first time in six months in March. What's more, the outlook is encouraging. Factory output _ pivotal in this export-oriented economy _ is projected to rise 4.3 percent this month and another 6.1 percent in May.
Ericsson posts 35 percent drop in 1Q profitSTOCKHOLM (AP) _ Wireless equipment maker LM Ericsson on Thursday reported a 35 percent fall in first-quarter net profit due to weak results from its handset unit Sony Ericsson and higher restructuring costs. The Stockholm-based company said net profit in the quarter was 1.7 billion kronor ($210 million) compared with 2.6 billion kronor in the same period a year ago.
Obama doesn't wield heavy stick on banksWASHINGTON (AP) _ Effective lobbying by bankers and voter frustration with taxpayer-funded "bailouts" have kept President Barack Obama from making good on his promise to wield a heavy stick against a financial industry blamed for derailing the economy. Without pressure from the new president to do otherwise, the Senate on Thursday was poised to reject legislation that would let bankruptcy judges rewrite mortgages to lower homeowners' monthly payments.
Credit card legislation nearing successWASHINGTON (AP) _ Legislation to rein in credit card practices and eliminate sudden rate hikes and late fees that have entangled millions of American consumers is getting closer to becoming law, bolstered by presidential pressure and the backdrop of economic calamity. Measures before the House and Senate are designed to enhance protections for credit card customers. The House bill, which was being put to a vote Thursday, would prohibit so-called double-cycle billing and retroactive rate hikes and ban the issuance of credit cards to people under 18, but wouldn't take effect until a year after enactment. Another requirement in the bill, that customers receive 45 days notice before their interest rates are increased, would go into effect in 90 days.
(c) 2009 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.
[ Back To cable.tmcnet.com's Homepage ]
|