Home » Archive for October, 2012

Fiat Lowers Earnings Targets Due to European Economy

Fiat announced sharp cuts in performance targets for the next two years. The Italian based automaker said that because of languishing sales throughout the European region, due to austerity measures, up to 33% of the projections for profit by the company could be cut for 2014. The downturn taking place across the continent forced Fiat CEO Sergio Marchionne to focus more on bolstering operations throughout Europe instead of purchasing more stock in Chrysler, the U.S. automaker. Fiat currently owns a stake of 58.5% in Chrysler. Marchionne leads both... 
 

Profits fall by 83% at Burger King

Burger King has reported its first earnings since it went public again. The company earned just over $6.6 million, but that was down from third quarter earnings of last year that were $38.8 million. Burger King Worldwide, one of the largest hamburger chains in the country, said its net income in the third quarter fell by an astronomical figure of 83%. The hamburger chain was one of just a few publically traded companies that released quarter earnings reports during the shutdown of Wall Street due to Hurricane Sandy. Burger King’s profit of $6.6... 
 

China Suspends Construction at Petrochemical Complex after Protests

Officials in eastern China have stopped the construction at a petrochemical complex after it was met by protests by residents who claimed that it would pollute the region. Municipal officials in Ningbo city said that the planned expansion of the complex would be temporarily placed on hold while a scientific review of its environmental impact was being conducted. The officials didn’t say when the study would be made or when it would be completed. The petrochemical complex in Ningbo’s coastal Zhenhai district is owned by a subsidiary of Sinopec,... 
 

Economy grows during third quarter

The U.S. economy grew during the third quarter by 2%, which was higher than economists had predicted. The growth was propelled by the rise in consumer spending, an increase in government spending on defense and more home construction. Economists had predicted the economy would grow by 1.8% on an annualized basis, but the gross domestic product was up by 2%. During the second quarter, between April and June, the rate of the GDP increase was 1.3%. The gross domestic product is the value of services and goods that are produced in the economy. A Wall... 
 

Ford Cuts Jobs in Europe

Ford motor announced another round of job cuts in Europe as well as plant closures Thursday as a way to stop regional losses that the auto manufacturer expects to be above $3 billion in the next two years. The company told British unions that it would close its Southampton van factory and a connected stamping plant in Dagenham in mid-2013. It would result to the slashing of 1,400 jobs and end vehicle manufacturing by Ford in the country. The action came a day after Ford announced that it would shut down a car plant in Genk, Belgium in 2014. Ford... 
 

Record Revenue by Apple still below Wall Street Expectations

Apple on Thursday announced it had record revenue during the third quarter thanks in part to the huge success of its iPhone. However, for the second straight quarter, iPad sales were lower than what had been expected by Wall Street. Apple also said the forecast for the holiday would be less profitable. In the past six weeks the company has rolled out a significant number of new products including new iPods, new iPhones, new larger iPads, new smaller iPads and even a new MacBook Pro.   During its quarterly earnings call on Thursday, Apple executives... 
 

Nokia Launches Inexpensive Lumia for Emerging Markets

Finnish mobile phone manufacturer Nokia is attempting to make a comeback. Part of its plan of attacking emerging markets was launched today when it unveiled the new Lumina 510, its most inexpensive smartphone with the Windows operating system. The new Lumia 510 has a 4-inch display and is available in yellow, cyan, red, black and white. It will be on sale starting in November in South America, Asia Pacific, starting first with China and India. The phone will operate on a Widows 7.5 platform and will have a retail price tag of $199. That is compared... 
 

Lawsuit Claims Wal-Mart Broke Overtime Laws

Wal-Mart Stores Inc. is facing a lawsuit that claims that the world’s biggest retailer and its staffing agencies broke federal minimum wage and overtime laws when it required temporary workers to appear early for work, stay late to complete their tasks, and work through breaks without compensation. The proposed class action lawsuit was filed Monday in the US District Court of Illinois Eastern Division. According to the suit, QPS and Labor Ready, two of the staffing agencies that Wal-Mart utilizes in the Chicago area, failed to give workers assigned... 
 

Caterpillar Says Sales will Grow Slower in 2013

The largest maker in the world of mining and construction equipment, Caterpillar Inc. has forecasted that sales growth during 2013 would slow down and be less than in the last three years, as a deceleration of the global economy takes place. The company said that its profit for 2012 would be between $9.00 and $9.25 per share based on revenue of close to $66 billion. That is compared to a forecast in July for earnings of $9.60 per share on S68 billion in sales. Sales in 2013 would be between 5% less to 5% more that results of 2012, said company officials.... 
 

AMD to Cut Jobs Due to Decline in PC Sales

Chip manufacturer AMD announced that it would slash 15 percent of its workforce due to the declining PC sales that resulted in the reduction of its revenues. The company said that the cuts were necessary and expected to be completed by the end of 2012. The job cuts would save AMD around $20 million in the fourth quarter and $190 million in 2013. The announcement came along with the release of the company’s third quarter earnings. It showed sales dropped 25 percent compared to the same period last year. According to CEO Rory Read, the PC industry... 
 

Another Quarterly Loss Posted By Nokia

Nokia, based in Finland, reported on Thursday another quarterly loss. The latest loss for the smartphone maker was its sixth consecutive quarterly loss. The company also announced that its cash reserves had nearly been depleted. This underlines how much Nokia is relying on high sales from the new line of mobile devices it has that will be hitting store shelves sometime in November. Net losses for the company’s third quarter totaled $1.27 billion, compared to an $87 million loss during the same quarter one year ago. However, the loss was narrower... 
 

Strong Dollar Results to Lower Coca-Cola Earnings

Coca-Cola released its third quarter earnings report and it said that its revenue was below the expectations made by Wall Street. It was the result of the declines in Europe and Asia, where it sold more lower-priced drinks due to economic uncertainties that the company expects to continue until 2013. The world’s biggest soft drink maker owns the brands Sprite, Fanta and Minute Maid. It said that its profit and revenue were hurt by the stronger dollar that decreased the value of its overseas sales. Its earnings went up 4 percent, which was in line... 
 

A123 Systems Files for Chapter 11

A123 Systems, which received a grant of $249 million from the government of the U.S., announced on Tuesday it was filing for bankruptcy protection. The announcement gives Republican presidential nominee Mitt Romney yet another reason to take aim at the White House administration’s subsidies program for green energy. The U.S. Energy Department allotted over $90 billion for a number of different programs for clean-energy through the stimulus package of the White House administration. Of that total, nearly $813 million was given to different energy... 
 

Business as Usual during this Weekend’s Carmageddon

The 405 Freeway in western Los Angeles is set to be closed this weekend but it was met with little worries from workers and businesses in the area. They said that it wouldn’t be a problem as people will find a way to get around it. Last year, city officials warned about the hyper-gridlock that didn’t happen. They repeated the warning this year as it urged people to stay away and shop locally. But San Fernando Valley and Westside merchants said that their customers are smarter this year. The first Carmageddon occurred in July 2011. Businesses... 
 

Alcoa Warns, Market Opens Down

Stocks on Wall Street opened lower on Wednesday as another round of the quarterly earnings season started with Alcoa warning of slower consumption of aluminum, which underscores the widespread concern over growth worldwide. Other large businesses such as Chevron and Cummins Inc, the engine maker, also warned over slow growth. Alcoa said that stronger demand from producers of autos and airplanes help the largest aluminum producer in the U.S. to report results from the third quarter that were better than Wall Street expectations. Nevertheless, Alcoa... 
 
Advertisement
Advertisement
© 2006-2015 Leoncheng.