BC-Business News Preview


Associated Press

Posted on April 23, 2013 at 9:30 AM

Updated Tuesday, Apr 23 at 9:30 AM


Among the stories for Tuesday from The Associated Press:



WASHINGTON — Tax-free shopping on the Internet could be in jeopardy under a bill making its way through the Senate. The bill would empower states to require online retailers to collect state and local sales taxes for purchases made over the Internet. The sales taxes would be sent to the states where a shopper lives. By Stephen Ohlemacher

AP photo.


WASHINGTON — Parked around the airstrip at Lackland Air Force Base are more than a dozen massive C-5A Galaxy transport planes. There is no money to fly them, repair them or put pilots in the cockpits, but Congress rejected the Air Force's bid to retire them.

AP photos.



WASHINGTON — U.S. sales of new homes rebounded in March to a seasonally adjusted annual rate of 417,000. The increase added to evidence of a sustained housing recovery at the start of the spring buying season. The Commerce Department says that sales of new homes increased 1.5 percent. The gain brought the level higher than February's pace of 411,000, though below January's 445,000 — the fastest pace since July 2008. By Martin Crutsinger.


WASHINGTON — Ben Bernanke is intensifying speculation that this year will be his last as Federal Reserve chairman by deciding to skip the Fed's annual August conference in Jackson Hole, Wyo.


The trustee in the MF Global Holdings bankruptcy case has sued ex-CEO Jon Corzine and two other former executives, alleging that they "failed to act in good faith" while running the company.

AP photo.

— BAUCUS-RETIREMENT — Democratic officials say Sen. Max Baucus of Montana, the chairman of the powerful Senate Finance Committee, plans to retire. AP photo.


NEW YORK — Strong earnings from a range of U.S. companies are driving stock prices higher in the early going on Wall Street. Coach, Travelers and Lockheed Martin were among the winners shortly after the opening bell after the companies reported better results than analysts were expecting.

— OIL PRICES — The price of oil fell below $88 a barrel after a slowdown in China's manufacturing added to the outlook for subdued demand.



MINNEAPOLIS — Delta Air Lines is reporting its best first-quarter profit in more than a decade, as passengers paid more to fly. By Airlines Writer Joshua Freed.

AP photo.


Full planes were good to US Airways. The nation's fifth-largest airline posted a bigger adjusted first-quarter profit as it carried more passengers, and collected more from them. By Josh Freed.


WASHINGTON — As airlines prepare to begin flying Boeing's beleaguered 787 Dreamliners again, federal investigators are looking at how regulators and the company tested and approved the plane's cutting-edge battery system, and whether the government cedes too much authority to aircraft makers for safety testing.

AP photos.


— POLAND-BOEING-787 — Poland's national airline LOT says its Boeing 787s, which had been grounded for months due to battery problems, will resume flying in June and that it will seek compensation from the U.S. plane maker. AP photos.

— AUSTRALIA-VIRGIN-TIGER — Australia's competition regulator has approved the takeover by the nation's second-largest airline Virgin Australia of budget rival Tiger Airways Australia.


— EARNS-DISCOVER FINANCIAL— Discover Financial Services says its first-quarter net income rose 2 percent, boosted by loan growth.

— EARNS-DUPONT— The DuPont Co. said its net income more than doubled in the first quarter on a gain from the sale of its performance coatings unit and strong continuing results in its agricultural unit.

— EARNS-REYNOLDS AMERICAN — Reynolds American Inc. said its first-quarter profit jumped 88 percent as higher prices and lower expenses from a longstanding legal settlement offset a decline in cigarette sales.


— FEDEX-DELIVERY OPTIONS— FedEx will let recipients leave detailed instructions for their driver or reschedule a delivery to their home. The company says it also will charge $5 to reschedule the delivery day or location and $10 to request a 2-hour delivery window.

— BRITAIN-SABMILLER — SABMiller, the world's second-largest brewer, says it has made Alan Clark its chief executive three months earlier than planned because the previous chief, Graham Mackay, has been diagnosed with a brain tumor.



AT&T Inc. reports quarterly financial results after the market closes. By Peter Svensson.


SACRAMENTO, Calif. — A social media editor who has worked for two of the nation's largest news-gathering organizations is scheduled to appear in federal court Tuesday to face charges that he conspired with hackers to deface the website of the Los Angeles Times. Matthew Keys is expected to plead not guilty during the arraignment in Sacramento, his first court appearance since charges were filed last month.



MUMBAI, India — Low cost efficiency put India's outsourcing companies at the heart of global business and created a multibillion dollar industry that for years has skated over criticism it was eliminating white collar jobs in rich nations. Now, the industry's long-held fears of a backlash are being realized in its crucial U.S. market. Provisions in an overhaul of U.S. immigration law will close loopholes that allow outsourcing companies, Indian and American, to pay guest workers in the U.S. at rates often below wages for equivalently skilled Americans. By Kay Johnson.


BANGKOK — Thai convenience store giant CP All has made a $6.6 billion offer to buy discount-store operator Siam Makro in Asia's biggest takeover so far this year.

— JAPAN-ECONOMY— A leading international economic group says Japan's efforts to end two decades of stagnation are welcome changes that could spark a recovery, but rising national debt threatens its long-term growth and financial stability.

— CHINA-MANUFACTURING — A survey shows growth in China's manufacturing decelerated this month, adding to questions about the strength of the recovery in the world's second-largest economy.

— EUROPE-FINANCIAL CRISIS — Germany's foreign minister is defending the policy of budget consolidation in a number of European countries despite a blunt warning from a top European Union official that the 27-nation bloc's austerity drive "has reached its limits." AP photo.

— SPAIN-FINANCIAL CRISIS — Spain's recession continued in the first three months of the year, with the economy shrinking by 0.5 percent, its seventh quarterly contraction, the Bank of Spain said Tuesday. AP photos

— POLAND-UNEMPLOYMENT — Government figures show that Poland's jobless rate inched down to 14.3 percent in March from 14.4 percent the month before.

— GERMANY-HOTEL TAX — Berlin's city government has decided to put a 5 percent tax on tourist hotel stays from this summer, part of efforts to shore up the German capital's finances.

— LATIN AMERICA-GROWTH — The United Nations says the economy of Latin America and the Caribbean is expected to grow a lower-than-expected 3.5 percent this year.

— FINLAND-EARNS-STORA ENS — Hit by the declining paper market in Europe, Stora Enso has reported a first-quarter net loss of 16 million euros ($21 million) compared with a profit of 74 million euros a year earlier and says it will continue cutting costs.