Top Headlines - part 74
BUSINESS February 2, 2012 | 11:41 AM
- Amgen to buy Micromet for $1 billion
- Amgen interested in Micromet oncology treatments, namely leukemia drug blinatumomab
- Roche and Celgene also seeking biotechnology acquisitions
Amgen Inc., one of the largest biotechnology firms in the world, has struck deal for over $1 billion to purchase Rockville, MD-based biotechnology firm Micromet. For $11 a share, Amgen will add Micromet pharmaceuticals such as blinatumomab, a leukemia drug in Phase 2 trials, to its repertoire of oncology treatments.
Blinatumomab is presently being tested for effectiveness at curbing non-Hodgkin’s lymphoma and lymphoblastic leukemia. June 2011 trials found 9 out of 12 patients on the drug went into full remission from acute lymphoblastic leukemia.Read more »
BUSINESS February 1, 2012 | 4:36 PM
- Starbucks invests $80 million in joint venture with Tata Global Beverages
- Coffee purchases in India account for $667 million in sales annually
- Tata exports to 85 countries and has $83.3 billion in revenue
Starbucks is forming a joint venture with Tata Global Beverages, a Tata Group company, to open cafes in India, starting in September 2012 in Delhi and Mumbai.
The joint venture, known as Tata Starbucks Ltd., will be responsible for the operation of Indian Starbucks Cafes, and the cafes will be co-branded “Starbucks Coffee: A Tata Alliance.”Read more »
WORLD January 31, 2012 | 2:23 PM
- BP denied right to collect payment from Transocean to help fund $40 billion needed to clean up Gulf Oil spill
- BP required to indemnify Transocean for compensatory damages
- Chevron fined $50 million, drilling license suspended due to recent oil spill in Brazil
A US district court judge has ruled that BP Plc cannot collect funds from Swiss-based offshore drilling contractor Transocean Ltd. as reimbursement for billions used to clean up the 2010 Gulf of Mexico oil spill. BP filed a lawsuit in April 2011 alleging Transocean was responsible for paying part of the $40 billion needed for clean up and economic losses.
Judge Carl Barbier wrote in his 30-page decision: “BP is required to indemnify Transocean for compensatory damages asserted by third parties against Transocean related to pollution that did not originate on or above the surface of the water, even if the claim is the result of Transocean’s strict liability.”Read more »
BUSINESS January 30, 2012 | 9:59 AM
- Airfares predicted to rise in 2012, though how much remains unclear
- Many airlines cutting back flights, reducing available seats
- Price of oil most important factor in airfare cost fluxuation
Considering the current state of the economy, travel and tourism industry analysts say airfares will go up in 2012, though it is hard to pin point just how much they will rise.
Looking at the past, airline prices are always going up. “After all, the airlines attempted to raise prices 22 times in 2011 (and nine of those attempts were successful),” says Rick Seaney, CEO of FareCompare. “The one thing everyone wants to know is whether fares will keep going up. We have seen plenty of increases in 2011, but will that continue?"Read more »
FINANCE January 27, 2012 | 12:37 PM
- Roche puts forth another offer to buy Illumina at $44.30 per share
- Offer 50 times greater than Illumina’s earnings between Sept. 2010 - Sept. 2011
- Bid part of Roche’s plan to increase cancer drug sales
Swiss-owned pharmaceutical giant Roche has plans to take over San Diego-based Illumina Inc, which focuses on gene-sequencing. The announcement comes after Illumina rejected previous offers from Roche to negotiate a buyout.
Roche proposes to purchase all Illumina common stock at a price of $44.30 per share, which places Illumina’s value at $5.7 billion. According to Bloomberg, this is 32 times greater than the $1.39 per share predicted by analysts this year.Read more »
BUSINESS January 26, 2012 | 2:01 PM
- Verizon loses profit in fourth quarter due to higher pension, iPhone subsidy costs
- Verizon profit margins set to rise as existing customers upgrade to new 4G LTE network
- Apple reports fourth quarter earnings of over $46 billion
In a recent earnings report, Verizon Communications stated a loss of slightly over $2 billion in fourth quarter 2011. According to the cellular giant, the loss was primarily due to both one-time charges of $3.4 billion for severance, pension and benefits, and increased subsidy costs for iPhone sales.
However, Verizon's wireless division reported a revenue surge, with more than half of its smartphone sales being iPhones.Read more »
BUSINESS January 25, 2012 | 2:52 PM
- Digital music sales totaled $5.2 billion last year
- Downloads account for 32% of global sales
- Rise attributed to anti-piracy laws
Although it is mostly on the decline, there is a glimmer of hope for the music industry: according to a report released by the International Federation of the Phonographic Industry (IFPI) globally sales fell by about 3% in 2011, but digital download sales are up by 8%.
Globally, digital download sales totaled $5.2 billion and accounted for 32% of total music sales. In the US, downloads are 52% of total revenue.Read more »
BUSINESS January 24, 2012 | 2:07 PM
- GM sold over $9 million vehicles in 2011, up 8% increase from 2010
- GM reports sales of over $8 billion for 2011 only 2 years after bankruptcy filing
- GM R&D Labs working with Israel-based Future Labs on interactive rear window glass
Less than three years after filing for public bankruptcy, automobile giant General Motors (GM) has regained it's 2007 title as the world’s top selling automaker – taking it back from Japanese rival Toyota Motor Corp.
Up nearly 8% from 2010, GM sold over 9 million vehicles in 2011, which is 1 million more than Toyota sold. Toyota seized the top selling title from GM in 2008; however, in light of recent natural disasters in Japan and Thailand, Toyota remains in a rebuilding stage as their sales fell an estimated 6% in 2011.Read more »
BUSINESS January 24, 2012 | 1:27 PM
- Visitors to Egypt dropped 24% in third quarter 2011 compared to 2010
- Egypt sets strategies to show visitors it is a safe place to visit
- Egypt’s Tourism Minister confident that 2012 can be a return to a tourism boom
The new-found freedom and democratic governments brought to millions of people in North Africa and the Middle East has cost a heavy price in another currency: visitors.
It is particularly the case in long-time, traditionally tourist-dependent Egypt. "Tourism in Egypt has historically been one of the top foreign income sources in the country, but as a result of the tensions and violence in 2011, visitors went elsewhere, leading to a backlash on the Egyptian economy, where some 20% of the country work in the tourism sector,” says Bikya Masr, a state-owned Egyptian newspaper.Read more »
ECONOMY January 23, 2012 | 9:26 AM
- Factory output grew 0.9% last month
- World Bank reduces 2012 growth forecast to 2.5% from 3.6%
- US factories hire 23,000 workers — best job growth since July
American factory output of vehicles, computers and construction material grew last month, resulting in a 0.9% increase in output, according to data released by the Federal Reserve.
Total industrial production, including mines, utilities and factories, grew 0.4% last month. Fourth quarter industrial output was up 3.1% annually for a tenth quarter of consecutive growth.Read more »