Business News - part 43
BUSINESS November 8, 2012 | 3:11 PM
- Ericsson to cut 1,550 jobs in Sweden; restructuring to cost $600 million
- Ericsson earlier this year predicted compound growth between 2% - 8% through 2014
- Competitors Nokia and Alcatel-Lucent also facing job cuts
The world’s biggest manufacturer of mobile-phone networks Ericsson AB will cut 1,550 positions in Sweden in response to a drop in profit.
Ericsson and other wireless carriers have been hurt by competition from China and the sluggish economy.Read more »
BUSINESS November 7, 2012 | 6:08 PM
- Suzuki files for Chapter 11 bankruptcy protection in US
- Suzuki to continue to service vehicles and honor warranties; sales will stop when inventory runs out
- Suzuki to focus vehicle sales on emerging markets, especially India.
Japanese automaker Suzuki Motor Corp. will cease selling cars in the world’s second-largest market, the United States, where it has failed to make a profit. Its American subsidiary filed for Chapter 11 bankruptcy protection and, as of end September, had $233 million in assets and $346 million in debt.
The company cited a number of factors that influenced its decision to stop selling in the US market, including the strength of the yen, its limited number of models (all of which are compact cars) and local safety regulations.Read more »
BUSINESS November 6, 2012 | 11:30 AM
- Japanese automakers take top seven spots in US Auto Reliability Survey
- American automakers near bottom of list; Ford ranked 27 out of 28 brands
- Ford vehicles facing technology issues
Toyota Motor Corp. sells the most reliable cars in the US, according to the annual Auto Reliability Survey conducted by magazine Consumer Reports.
The top seven manufacturers on the list are Japanese, with Toyota in the lead. Jaguar ranked at the bottom of the 28 brands surveyed, with US automaker Ford Motor Co. placing just before it at number 27.Read more »
BUSINESS November 5, 2012 | 5:12 PM
- Disney buys Lucasfilm to add popular live action and animated characters
- Disney estimates Lucasfilm to generate $860 million in sales in 2012
- New Star Wars trilogy scheduled to be released in 2015
Entertainment giant Walt Disney Co. has agreed to purchase production company Lucasfilm, owner of the Star Wars and Indiana Jones franchises, for $4.05 billion in an effort to reinvent the company by adding popular live action and animated characters.
The deal also includes Lucasfilm special effects business Industrial Light & Magic, and LucasArts, which produces video games. The acquisition of LucasArts should help boost Disney’s ailing interactive unit.Read more »
BUSINESS November 5, 2012 | 2:50 PM
- UBS posts $2.31 billion third-quarter loss
- Bulk of job cuts in London, US; to be completed by 2015
- UBS under investigation linked to London Interbank Offered Rates
Switzerland's largest bank UBS AG plans to cut 10,000 jobs – or 15% of its global workforce – by 2015 as part of a strategy to increase profit and save $3.6 billion. The move comes after the bank posted a third-quarter loss of $2.31 billion.
UBS currently employs 64,000 employees in 57 countries, down from 83,500 in 2007. The majority of the job cuts will be in London and the United States. Some 2,500 cuts will be made in Switzerland where UBS is headquartered.Read more »
BUSINESS October 31, 2012 | 4:17 PM
- Pascal Soriot, AstraZeneca’s new leader, expected to combat decline in sales and pre-tax profit caused by expiration of drug patents
- Most critical losses through to 2016 include best-selling drugs Crestor, Seroquel and Nexium
- Recovery plan includes annual strategy review, outsourcing of product development and acquisitions
Global pharmaceutical company AstraZeneca is looking to the leadership of new chief executive Pascal Soriot to counter the company’s decline in revenue and pre-tax profits as reported in the third quarter.
Poor financial results, including a 56% decrease in net profit and a 19% decrease in sales, largely reflect the expiration of significant drug patents and entrance of cheaper generic brands into the market.Read more »
BUSINESS October 30, 2012 | 10:49 AM
- First Yahoo acquisition under new CEO Marissa Mayer
- Yahoo to become mainly mobile company
- Stamped app to be scrapped in favor of new Yahoo app
Yahoo Inc has acquired the smartphone application maker Stamped as part of its push to build a customized lineup of products and services for smartphones, tablet PCs and other mobile devices.
The purchase of the New-York based start-up is new Yahoo chief executive officer Marissa Mayer’s first M&A venture since she defected from arch-rival Google three months ago to help revive the internet pioneer and transform it into a mainly mobile company.Read more »
BUSINESS October 29, 2012 | 11:59 AM
- Newell Rubbermaid to cut 1,900 jobs
- Rubbermaid restructuring expected to save $180 million to $225 million annually
- Savings from reorganization to be used to grow brands, boost sales in foreign markets
Consumer products manufacturer Newell Rubbermaid Inc. will cut 1,900 jobs and reorganize the company as part of a restructuring plan aimed at saving money for reinvestment.
The company plans to eliminate 10% of its workforce by mid-2015, and departments will be reorganized with several executives replaced.Read more »
BUSINESS October 26, 2012 | 11:25 AM
- Procter & Gamble sees drop in net sales of close to 4% over July-September 2012
- New products and productivity measures to be implemented to help regain market share
- Competitors Kimberly-Clark and Colgate cutting jobs
The world’s largest consumer-products manufacturer Procter & Gamble Co reported a drop in net sales of close to 4% from July-September 2012 over the same period last year.
In light of this, the company has laid out a turnaround plan aimed at regaining market share in key categories, with new products to be introduced and productivity measures to be implemented.Read more »
BUSINESS October 25, 2012 | 11:40 AM
- Pfizer buys NextWave to offer more diverse portfolio of high-quality medicines
- Pfizer selling off nutritional and animal health businesses to focus on developing new prescription drugs
- NextWave ADHD drug Quillivant XR approved by FDA, expected to be available in US by January 2013
Pfizer Inc., the world’s largest drug manufacturer, has agreed to purchase emerging specialty pharmaceutical company NextWave Pharmaceuticals Inc. for $680 million as part of its strategy to focus on developing new drugs.
Specifically, NextWave manufactures an attention deficit hyperactivity disorder drug, called Quillivant XR.Read more »