Top Headlines - part 66
BUSINESS May 22, 2012 | 5:16 PM
- Delta expects refinery purchase to save $300 million, provide 80% of US fuel needs
- Questions around if Delta can successfully manage refinery venture
- Airlines cope by raising ticket prices, cutting jobs, reducing destinations
With rising fuel prices a major factor in rising airfares, airlines need to be get creative to remain profitable; Delta Air Lines has done just that by purchasing an oil refinery in Pennsylvania.
The US-based airline paid $150 million to Conoco Phillips for the 185,000 barrel-per-day-capacity facility in a deal Reuters calls “the most audacious move yet by an airline trying to save money on fuel costs.”Read more »
BUSINESS May 21, 2012 | 3:05 PM
- US Department of the Interior clears $5 billion power line project
- Project aims to begin distributing power by 2017
- Project should transmit 7,000 MW of electricity or enough to power 2 million homes
Proposals for a $5 billion power transmission line serving wind farms off the United States East Coast have overcome an administrative obstacle, clearing the way for the next stage of the review process.
The US Department of the Interior found that the Atlantic Wind Connection project poses no conflict of interest with other activities in the area, allowing the Google-backed venture to proceed with its request for environmental approval.Read more »
BUSINESS May 16, 2012 | 1:55 PM
- Canon to use robots to reduce manufacturing costs
- Automation viewed as wave of the future for Japanese manufacturers
- If successful, Canon to be first manufacturer to fully automate digital camera production
Canon Inc., the world’s largest digital camera manufacturer, plans to fully automate its digital camera plants over the course of the next two years. The move is aimed at helping Canon cut overall manufacturing costs.
Japanese manufacturers have faced a number of challenges resulting from the value of the yen. In recent years, many have moved their facilities overseas to increase production and efficiency.Read more »
BUSINESS May 15, 2012 | 9:19 AM
- Procter & Gamble to move skin care, cosmetics, personal-care businesses to Singapore
- Move part of restructuring plan aimed at saving company $10 billion by 2017
- Asia-Pacific holds nearly half of global skin care market value, which totals almost $97 billion
The world's largest household products manufacturer Procter & Gamble plans to move its skin care, cosmetics and personal-care units from its company headquarters in Cincinnati, Ohio, to Singapore over the next two years, with the goal of capturing business in emerging markets.
P&G is the latest in a number of European and American companies relocating to Asia to take advantage of the growing Asia-Pacific market. According to Euromonitor International, Asia-Pacific holds nearly half of the skin care market’s global value, which is at close to $97 billion.Read more »
BUSINESS May 14, 2012 | 12:02 PM
- Nissan net profit up 145%
- Nissan operating profit up 33%; forecast to rise 28% over coming year
- Nissan sees record sales of 4.8 million vehicles for last year
Nissan’s profits for the January to March quarter 2012 rose sharply, buoyed by record sales in major markets, which saw it outdo Japanese rivals Honda and Toyota.
The country’s second-largest automaker posted a quarterly operating profit of 118.1 billion yen ($1.48 billion), marking a 33% hike over the same period last year; net profit rocketed up 145%.Read more »
BUSINESS May 11, 2012 | 2:46 PM
- App Center announced as company prepares initial public offering
- Rising number of mobile device users contributing to slowing revenue
- 200 social apps on Facebook each have over 1 million users
Facebook is set to open a new online store where users can purchase apps and games, in a bid to maximize the company’s revenue from its enormous user base.
The announcement of the App Center from the social networking giant coincides with the company’s preparations for an initial public offering, which would value it at around $77 billion to $96 billion.Read more »
WORLD May 10, 2012 | 4:11 PM
- Bailout puts Tokyo Electric Power Co under temporary state control
- 10-year restructuring plan includes cost cutting measures, new management and increased energy costs
- Japanese public distrustful of nuclear power in the wake of the Fukushima Dai-ichi nuclear plant meltdown in 2011
The Japanese government has agreed to pay Tokyo Electric Power Co., one of the world’s largest utilities, a $12.5 billion bailout as part of a 10-year restructuring plan that will save TEPCO from bankruptcy; it also places TEPCO under temporary state control.
TEPCO has been in financial crisis since the March 11/11 Fukushima Daiichi nuclear plant meltdown, which followed a 9.0 magnitude earthquake. The company still owes billions of dollars in compensation claims and must pay cleanup expenses. It is expected to take decades to stabilize the Fukushima reactors and cleanup the area.Read more »
BUSINESS May 9, 2012 | 2:48 PM
- SlideShare one of LinkedIn’s most popular applications
- SlideShare buy marks LinkedIn’s fifth acquisition in two years
- LinkedIn to expand mobile technology in hopes of attracting advertisers, members to its subscriptions services
The world’s largest professional networking website LinkedIn has struck a deal to purchase presentation website SlideShare for close to $119 million, a move that is expected to be mutually beneficial.
SlideShare is already one of LinkedIn’s most popular applications, according to an analyst with Needham & Co. It is not entirely clear how the two companies will integrate beyond how they are currently.Read more »
BUSINESS May 4, 2012 | 2:59 PM
- Only 15% of purchases made by Wal-Mart target audience paid for by credit card
- Wal-Mart first major retailer to offer “pay-in-cash” option for online purchases
- 25% of US households have little or no access to credit cards, bank accounts
US retail giant Wal-Mart Stores has introduced a new payment option to cater to more of its customers: shoppers on Walmart.com can now “pay with cash” instead with credit cards or debit cards.
The new payment option was tested in a handful of US stores before being launched nationwide. Joel Anderson, president and CEO of Walmart.com, says: "We are going to touch a segment of the American public who hasn't been able to participate online without going through a lot of hoops."Read more »
FINANCE May 4, 2012 | 10:02 AM
- PF Chang saw price increases drive away customers
- PF Chang marks largest food chain acquisition since Burger King was purchased in 2010 for $3.3 billion
- Buyout latest in series of restaurant chains purchased by investors
PF Chang’s China Bistro Inc, the largest US full-service Asian restaurant operator, has agreed to a takeover by private equity firm Centerbridge Partners LP for $1.1 billion.
PF Chang’s accepted the deal after four quarters of slumping sales, where the chain had difficulty competing against competitors that offer both quality food items and low prices.Read more »