Business briefs

Published: Wednesday, January 28, 2004 at 6:01 a.m.
Last Modified: Wednesday, January 28, 2004 at 1:32 a.m.

Stocks pull back after day of positive earnings

  • NEW YORK - Investors intent on preserving profits looked past positive earnings reports Tuesday and sent stocks sharply lower. Technology stocks saw steep declines on a disappointing outlook from chip maker Novellus Systems Inc.

    After the previous session's rally, when the Dow Jones industrial average reached its highest level in 31 months, not even solid results from five blue chip companies could stop the declines.

    The Dow closed down 92.59, or 0.9 percent, at 10,609.92.

    The broader gauges also closed lower. The Nasdaq composite index closed down 37.79, or 1.8 percent, at 2,116.04. The Standard & Poor's 500 index closed down 11.32, or 1 percent, at 1,144.05.

    SEC shuts down Orlando investment firm

  • ORLANDO - The Securities and Exchange Commission shut down Tuesday an investment firm it described as a Ponzi scheme and which once had more than a dozen NFL players as clients.

    In three years, Ware Enterprises and Investments Inc. attracted $16.5 million from more than 600 investors, primarily targeting blacks and Christians with ads that quoted the Bible and made religious references, the SEC said in a complaint.

    The firm was operated by Warren Ware, who didn't return a phone call to his office Tuesday.

    Kraft to cut 6,000 jobs, close down 20 plants

  • CHICAGO - Kraft Foods Inc. said Tuesday it will eliminate 6,000 jobs, or 6 percent of its work force, and close 20 plants worldwide over the next three years as part of a restructuring that follows more than a year of disappointing sales and earnings for the biggest U.S. food company.

    About 1,300 salaried positions in North America will be eliminated in the first quarter, with the remaining cuts occurring by 2007, the maker of Oreo cookies, Jell-O desserts and Oscar Mayer hot dogs said.

    CSX reports lower fourth-quarter income

  • JACKSONVILLE - CSX Corp. reported Tuesday that its fourth-quarter earnings fell about 10 percent, mainly on a restructuring charge stemming from the planned firing of up to 1,000 managers.

    In the three months ended Dec. 26, the railroad and transportation company posted earnings of $123 million, or 57 cents per share, compared to $137 million, or 64 cents a share, a year earlier. The quarter included a restructuring charge of $7 million, which decreased earnings by 4 cents a share.

    Excluding the charge, earnings were $130 million, or 61 cents per share. That beat the average estimate of analysts by a penny per share, according to Thomson First Call.

    NTT DoCoMo of Japan bids for AT&T Wireless

  • NEW YORK - NTT DoCoMo Inc. of Japan stepped forward Tuesday as the first potential buyer of AT&T Wireless Inc. to formally acknowledge its interest, increasing the likelihood that Cingular Wireless may encounter a bidding war to acquire the third largest U.S. cell phone company.

    The Japanese wireless company, which already owns 16 percent stake of AT&T Wireless, also disclosed in a federal filing that AT&T Wireless has apparently set a deadline of Feb. 13 for any would-be acquirers to submit offers.

    - Compiled from The Associated Press

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