On Friday September 10, 2010, 5:47 pm EDT
Nokia dumps CEO, turns to
Microsoft exec
HELSINKI (AP) -- Nokia
Corp. is replacing CEO Olli-Pekka Kallasvuo with Microsoft executive Stephen
Elop as the world's top maker of mobile phones aims to regain lost ground in
the fiercely competitive smart phone market.
The choice of a North
American executive to lead a Finnish company reflects the increasing dominance
of U.S. and Canadian companies in the evolution of the phone business.
Apple Inc.'s iPhone has set
the standard for today's smart phones, while Research In Motion Ltd.'s
BlackBerrys are the favorite of the corporate set. More recently, Google Inc.'s
Android software has emerged as the choice for phone makers that want to
challenge the iPhone.
Analysts welcomed the
choice of the 46-year-old Canadian, who has worked closely with Nokia at
Microsoft and at Macromedia Inc. developing software for Nokia phones. He has
also held top posts at Juniper Networks Inc. and Adobe Systems Inc. At
Microsoft, he headed the Business division, which makes Office software.
Stocks continue September
rally; Dow gains again
NEW YORK (AP) -- Stocks
edged higher Friday, extending a rally that began nearly two weeks ago, as
investors hold on to their newfound optimism about the economy.
The Dow Jones industrial
average rose 47 points in very light trading. It was the seventh day of gains
out of the past eight for the index. Treasury prices eased as traders became
more willing to take on risk.
Stocks have shaken off the
doldrums of August and marched steadily higher in September thanks to a series
of encouraging signals on the economy. The latest came Friday morning with a
report that wholesale inventories shot up in July, a sign of confidence that
retail sales will pick up.
Obama: Voter anger could
hurt Dems in elections
WASHINGTON (AP) -- Facing
big Democratic losses in November, President Barack Obama blamed Republicans
and election-year politics Friday for thwarting his efforts to do more to spur
a listless national economy. He challenged Congress to quit squabbling and
quickly approve "what we all agree on" -- a reprieve for expiring tax
cuts for the middle class.
Obama said his economic
programs were helping, but "the hole the recession left was huge and
progress has been painfully slow."
Noting the stubbornly high
jobless rate, Obama acknowledged that many voters in the Nov. 2 midterm
elections probably will blame him for economic hard times and could take it out
on congressional Democrats.
SEC expands stocks under
'circuit breakers'
WASHINGTON (AP) -- Federal
regulators on Friday expanded the number of stocks covered by new "circuit
breakers" that can pause volatile trading, a program in response to the
panicked May 6 market plunge.
The Securities and Exchange
Commission approved expansion of the six-month pilot program of circuit
breakers for stocks in the Standard & Poor's 500 index. Now all stocks in
the Russell 1000 index also will be covered.
The program, which began in
mid-June, briefly halts trading of stocks that make big price swings. Trading
of covered stocks that rise or fall 10 percent or more within a five-minute
span is halted for five additional minutes.
US widens probe of HP
bribery allegations
NEW YORK (AP) -- U.S.
investigators have widened their probe of alleged kickbacks paid to Russian
authorities by employees of a Hewlett-Packard Co. subsidiary in Germany.
Authorities in Russia,
Germany and the U.S. have been looking into alleged bribes totaling $11 million
paid to secure a $44.5 million contract that ran from 2001 until 2006.
Now, the U.S. Securities
and Exchange Commission is also investigating governmental and
"quasi-governmental" transactions in Russia dating to 2000, according
to a quarterly financial statement the computer maker filed Thursday.
HP says it is cooperating
with the investigation, which so far has not produced any allegations aimed at
the company itself.
China's August trade
surplus 2nd highest this year
BEIJING (AP) -- China's
trade surplus hit its second-highest level this year in August, likely fueling
U.S. demands for Beijing to ease currency controls.
Export growth weakened as
global demand cooled while import growth rebounded in a new sign the slowdown
in the world's second-biggest economy might be less severe than expected,
government figures showed Friday.
The $20 billion trade
surplus will fuel demands by Washington and others for Beijing to ease controls
they say keep its yuan undervalued and give Chinese exporters an unfair price
advantage. American lawmakers hold hearings this month and some are pushing for
sanctions as they face pressure to create jobs ahead of November elections.
New GM CEO's pay package
worth $9 million
DETROIT (AP) -- New General
Motors Co. CEO Daniel Akerson will get up to $9 million in salary and stock,
the same pay package granted to his predecessor, Ed Whitacre.
Akerson, a former
telecommunications industry and private equity executive, will receive $1.7
million in annual salary, $5.3 million in short-term stock payable over the
next three years, and another $2 million in stock that's part of the company's
long-term executive compensation plan.
The automaker, which is
60.8 percent owned by the U.S. government, disclosed the pay package in a
filing on Friday with the Securities and Exchange Commission. It is identical
to what the company disclosed for Whitacre in February.
Wholesale inventories rise
1.3 percent in July
WASHINGTON (AP) --
Inventories held by wholesalers surged in July by the largest amount in two
years while sales rebounded after two straight declines.
The Commerce Department
said Friday that wholesale inventories rose 1.3 percent in July, the best
performance since July 2008 and triple the increase economists had expected.
Sales at the wholesale level increased 0.6 percent, double what had been expected
and the best showing since April.
Businesses restocking
depleted store shelves has been a major driver of the economy since late last
year and the strong gain seen in July should help alleviate fears that the
country could be in danger of slipping into another recession.
Smithfield to sell its half
of Butterball
RICHMOND, Va. (AP) -- Pork
producer Smithfield Foods is selling its stake in the Butterball turkey joint
venture, becoming a pure-play pork producer as it continues focusing on its
more profitable packaged meat business.
Butterball, a major name in
the turkey world, annually sells 1 billion pounds of turkey -- 20 percent of
all turkeys produced in the U.S.
Smithfield said Friday that
its partner, Maxwell Farms, will buy the company's 49 percent interest for
about $175 million and then sell a 50 percent stake in the venture to Seaboard
Corp. for $177.5 million in cash, according to a filing with the Securities and
Exchange Commission.
By The Associated Press
The Dow Jones industrial
average rose 47.53, or 0.5 percent, to close at 10,462.77.
Broader indexes also rose.
The Standard & Poor's 500 index rose 5.37, or 0.5 percent, to 1,109.55,
while the Nasdaq composite index rose 6.28, or 0.3 percent, to 2,242.48.
Benchmark oil for October
delivery rose $2.20 to settle at $76.45 a barrel on the New York Mercantile
Exchange.
In other Nymex trading in
October contracts, heating oil rose 3.60 cents to settle at $2.1044 a gallon,
gasoline added 3.77 cents to settle at $1.9731 a gallon. Natural gas gained 11.5
cents to settle at $3.883 per 1,000 cubic feet.
In London, Brent crude rose
69 cents to settle at $78.16 a barrel on the ICE Futures exchange.