Business News Archives

“For 2008, our clear top priority is to accelerate our core product sales and profitability”

Resurgent beer sales helped lift Anheuser-Busch's profit 12 percent in the fourth quarter, but the brewer warned Thursday that rising costs could eat into earnings this year.

The maker of Budweiser and Bud Light said it earned $214 million, or 29 cents per share, in the three months ended Dec. 31, up from $191 million, or 25 cents, in the same period in 2006.

Net sales rose 8 percent to $3.7 billion after excise taxes were deducted.

Analysts polled by Thomson Financial had expected earnings per share of 32 cents. Read more

Consumer products maker Procter & Gamble Co. said Thursday that its earnings rose 14 percent in its fiscal second-quarter as strong sales growth and cost-cutting measures more than offset higher commodity costs.

The results prompted the company to raise its outlook for the full year.

P&G also said it will separate its coffee business into an independent company. Cincinnati-based Folgers Coffee Co., which had sales of about $1.6 billion in 2007, will employ about 1,250 employees at four sites in the United States. Jamie Egasti, current president of coffee and global snacks at P&G, was named chief executive of Folgers Coffee. Read more

“They definitely moved the ball”

A bid on the largest portion of public wireless airwaves, now being auctioned by the federal government, reached $4.7 billion on Thursday, triggering a provision to allow any device or software to work on that ... via Rapid City Journal

“This company has just done an unbelievable job”

This year isn't looking quite as sweet for Amazon.com shareholders as 2007. Despite a possible recession in the U.S. economy, the Web retailer said it expects sales to rise briskly again in 2008. But the gains won't translate as readily to bottom-line growth.

'A lot of old Amazon bears are going to be growling,' said Tim Boyd, an analyst at American Technology Research.

And growl they are. Shares of Amazon.com Inc. plunged $8.92, or 12 percent, to $65.29 in extended trading Wednesday. Read more

“In rich suburban areas they're getting broadband”

In 2004, President Bush pledged that all Americans should have affordable access to high-speed Internet service by 2007. A report to be released Thursday by the administration says it has succeeded _ mostly.

'Networked Nation: Broadband in America' is an upbeat assessment of the administration's efforts to spur growth and competition in the high-speed Internet market. Critics said the report's conclusion is too rosy.

The report was prepared by the National Telecommunications and Information Administration, an agency within the Commerce Department that acts as the president's principal adviser on telecommunications and information policy issues. Read more

“At this tenuous time, they did not want to disappoint the markets”

WASHINGTON : The Federal Reserve on Wednesday cut a key interest rate for the second time in just over a week, reducing the federal funds rate by a half point. via International Herald Tribune

“We are confident that our actions will get us back on track in redefining the customer experience and further expanding the differentiation between us and others in the coffee business”

Starbucks Corp. said Wednesday its fiscal first-quarter profit rose by less than two per cent, and it detailed plans to open fewer domestic stores and more overseas to revitalize the coffee house chain. via CBC News

“We are not happy with 0.6 percent GDP growth”

The economy nearly stalled in the fourth quarter with a growth rate of just 0.6 percent, capping its worst year since 2002. via Myrtle Beach Online

Kraft Foods Inc. , the nation's biggest food and beverage maker, said Wednesday its fourth-quarter profit fell 6 percent due to higher dairy prices and one-time costs. via New York Times

“Despite some development program challenges, we are a strong company growing stronger and we expect continued improvement in our financial results in 2008 and beyond”

Boeing Co. said Wednesday its fourth-quarter profit rose 4 percent on higher commercial airplane deliveries and strong growth in defense earnings, beating Wall Street's expectations despite ongoing concerns over delays in its 787 Dreamliner program.

The world's second-largest commercial airplane maker increased its guidance for 2008 earnings, citing productivity improvements.

Net income for the last three months of 2007 was $1.03 billion, or $1.36 per share, up from $989 million, or $1.29 per share, in the fourth quarter of 2006. That was 4 cents per share better than the consensus estimate of analysts polled by Thomson Financial. Read more

WASHINGTON - The Federal Bureau of Investigation on Tuesday said it is investigating 14 companies for possible fraud or insider trading violations in connection with loans made to risky borrowers, and ... via Azcentral.com

Countrywide Financial Corp., the nation's largest mortgage lender, said Tuesday it swung to a loss in the fourth quarter due to rising loss provisions and impairment charges.

Countrywide lost $422 million, or 79 cents per share, during the fourth quarter, compared with earnings of $622 million, or $1.01 per share, during the same period the previous year.

Analysts polled by Thomson Financial, on average, forecast a loss of 30 cents per share for the quarter.

Countrywide set aside $924 million for credit losses during the fourth quarter, compared with reserves of $73 million during the final quarter in 2006. Read more

“The critical question for us going forward is how Yahoo is going to grow its advertising business in what's likely to be a very tough market”

Yahoo Inc. today reported a 23% drop in fourth-quarter profit and said it would lay off 1,000 employees, about 7% of its workforce, as it tries to mount another comeback. via Chicago Tribune

“My feeling is if they don't cut by a half point, they risk undoing the good they did last week with the three-quarter point cut”

Individuals and businesses are likely to see their borrowing costs drop further as the Federal Reserve weighs another interest-rate reduction to bolster a sagging economy. via SF Gate

“It does appear that we're seeing a new batch of properties enter the process”

The number of U.S. homes that slipped into some stage of foreclosure in 2007 was 79% higher than in the previous year, a real estate tracking company said Tuesday. via Fox News

“Our utilities benefited from continued efficient operation, implementation of new rates in five of our 11 states and more favorable weather than we had in 2006”

American Electric Power Co., one of the nation's largest power generators, said Tuesday that its fourth quarter profit rose 28 percent, helped by favorable weather, higher rates across much of its service area and marketing efforts that resulted in long-term supply deals.

AEP said it earned $231 million, or 58 cents per share, for the quarter ended Dec. 31 compared with $181 million, or 46 cents per share, in the year ago quarter. Revenue rose 10 percent to $3.3 billion from $3.0 billion last year. Read more

“Quarter one has started very, very strong and that we have more demand for our glass than we have the ability to supply”

Corning Inc. said Monday its fourth-quarter profit rose 11 percent, beating Wall Street expectations, on heavy demand for auto pollution filters and glass used in flat-screen televisions and computers.

Earnings climbed to $717 million, or 45 cents a share, in the October-December period from $646 million, or 41 cents a share, in last year's fourth quarter.

Excluding asbestos litigation and other one-time items, Corning earned $643 million, or 40 cents a share. Analysts polled by Thomson Financial expected net profit of 39 cents a share on sales of $1.546 billion. Corning had predicted earnings in a range of 38 cents to 40 cents a share before special items. Read more

“No matter which way you look at it, the December new home sales report is simply awful”

Sales of new homes fell last year by 26 percent, the steepest drop since records began in 1963, the Commerce Department said on Monday. via New York Times

CME Group and Nymex Holdings confirmed on Monday that they were in preliminary talks about a purchase of Nymex by CME in a deal potentially worth $11.3bn. The two exchanges have agreed to a 30-day exclusive ... via Financial Times

“Our strategic initiatives, anchored by McDonald's three-tiered menu of premium, core and dollar menu options, position us well to grow sales and build customer loyalty in 2008 and beyond”

Fast-food chain McDonald's Corp. said Monday its fourth-quarter profit climbed 3 percent due to income tax benefits and another period of strong sales at stores open at least a year.

Net income rose to $1.27 billion, or $1.06 per share for the quarter ending Dec. 31. That's up from $1.24 billion, or $1 per share, during the same period last year.

Excluding income tax benefits of 33 cents per share, the company earned 73 cents per share, beating analysts' consensus estimate of 71 cents per share, according to a Thomson Financial poll. Read more

Embattled department store retailer Sears Holdings Corp. said Monday that its president and chief executive would step down Feb. via The Associated Press

The French trader accused by Societe Generale bank of causing the biggest trading fraud by a single person could face preliminary charges of forgery, breach of trust and fraud, a Paris prosecutor said Monday.

The prosecutor, Jean-Claude Marin, also for the first time gave an inkling of what motivated the trader, Jerome Kerviel. He said the 31-year-old did not seek personal profit but wanted to be 'an exceptional trader.' Read more

“People are also worried about contagion in Europe. If the U.S slows down, will it trigger a slowdown in Europe?”

Asian stocks tumbled Monday as traders took their cues from Wall Street, where persistent worries about a possible U.S. recession caused another decline in share prices Friday. via CBC News

“The market appears to have hit bottom last week but it's still not in a position to keep rising, considering various events pending such as the Fed rate decision”

Shares in Asia fell on Monday, with Japan down around 2.5 percent and Hong Kong down more than 3 percent, as concerns over the health of the U.S. economy returned to haunt stock markets, sending investors to ... via Reuters UK

“It used to be easy to find jobs. Now it is hard.”

JAKARTA, Indonesia : Thousands of mourning Indonesians thronged the home of former dictator Suharto, many crying as they kneeled in prayer and filed slowly past his sheet-clad body. via International Herald Tribune

“Any dumping will drop the price”

PARIS : A rogue trader who cost France's Societe Generale bank more than $7 billion by making bad stock market bets had been gambling on a much larger scale, officials said - tens of billions of dollars of the ... via International Herald Tribune

“You could see a restart to some of the behavior that was so prevalent just a couple of years ago, where borrowers were relying on home equity lines of credit and other inexpensive forms of credit to fund their discretionary spending”

Lowering interest rates _ the Federal Reserve's tool for bracing the wobbly economy _ is not without risk.

Fed Chairman Ben Bernanke and his colleagues are expected to cut rates by as much as one-half of a percentage point at their regularly scheduled meeting this week. It would follow up a rare three-quarter-point reduction, ordered last week at an emergency session Bernanke convened after stocks worldwide plummeted, intensifying fears the U.S. was on the brink of a recession or had fallen into one. Read more

“The empire doesn't accept alternatives”

Venezuelan President Hugo Chavez urged his Latin American allies on Saturday to begin withdrawing billions of dollars in international reserves from U.S. banks, warning of a looming U.S. economic crisis. via San Jose Mercury News

“Almost everyone who earns income will receive some benefit”

Most taxpayers could expect a rebate of up to $600 starting in mid-May under the economic aid plan set to go through Congress within weeks. via New York Post

“There is no justice, no democracy.”

KUALA LUMPUR, Malaysia : Malaysian police detained at least 40 activists Saturday in a crackdown on a planned opposition-led protest over inflation ahead of national elections expected within weeks. via International Herald Tribune

The Federal Communications Commission is proposing $1.4 million in fines against 52 ABC stations for showing a bare fanny on TV. via WHNS

A trader blamed by the French bank Societe General for a massive fraud was taken into custody on Saturday, judicial officials said.

Financial police in Paris were to question Jerome Kerviel as part of a probe into Societe Generale's announcement Thursday that the 31-year-old trader was behind a fraud costing the bank $7.14 billion, judicial officials said. They spoke on condition of anonymity because the investigation is ongoing.

Skeptics from Kerviel's neighbors to France's prime minister have questioned whether a single futures trader could have managed such large sums. Adding to the mystery, the bank said Kerviel may not have made any personal gain from his unauthorized trades. Read more

“It was going to put mobile messaging in the hands of lots of people”

Millions of fingers scurrying over mobile electronic devices probably paused this week as news emerged of a trove of text messages containing flirty and sexually explicit chat between Detroit Mayor Kwame Kilpatrick and a top aide. Even those engaging in more wholesome dialogue would be wise to wonder: Do text messages disappear _ like oral conversations _ or are they permanently logged somewhere for potential retrieval _ like e-mail usually is?

For standard consumer text-messaging technology, the answer is largely that they disappear. But Kilpatrick's and Chief of Staff Christine Beatty's devices employ less-fleeting technology. Read more

“We're saying that together, we make the strongest team to pursue the next generation bomber for the Air Force”

The Boeing Co. and Lockheed Martin Corp. are teaming up to bid on the anticipated U.S. Air Force Next Generation Bomber program, even before requirements have firmed up, the companies said Friday. via The Associated Press

“Without a doubt, it is a global industry”

Construction-equipment maker and economic bellwether Caterpillar Inc. said Friday that it expects resilient overseas economies to drive strong sales and profit growth this year, even as the United States teeters toward recession.

The company said its fourth-quarter earnings rose 11 percent on strong international sales, helped along by a weak U.S. dollar that makes American products more affordable.

Peoria, Ill.-based Caterpillar's earnings report followed similar, good-new-, bad-news reports from other major manufacturers this month, all of them struggling at home but riding a wave of growth abroad. Read more

“People are waiting to see what happens with the economy before making big decisions.”

Harley-Davidson Inc. says riders concerned about the economy are throttling big purchases, like the company's classic motorcycles, sending its profit down 26.3 percent in the fourth quarter.

Sales in the U.S. were down 14.2 percent in the quarter, the company said Friday. That outpaces the domestic heavyweight motorcycle market's fall of 9 percent.

CEO Jim Ziemer called the retail environment 'challenging' for this year and said dealers report consumers are worried about the direction of the economy. They're holding off on larger purchases, like Harley-Davidson motorcycles, which start at $6,695 but can often cost more than $20,000 fully loaded. Read more

Top bidders put up a total of more than $2.4 billion on Thursday in the opening round of the Federal Communications Commission's auction of coveted U.S. government-owned airwaves. via Reuters RSS Reuters.com

Is it reasonable to think that today's stock market, increasing unemployment rate, and the affect of the subprime mortgage crisis on our banking system will end in a crash like the one in 1929? Is another ...

Defense contractor Lockheed Martin Corp. on Thursday said profits rose 10 percent in the fourth quarter, as gains in its space, information technology and electronic systems units made up for a dip in sales of fighter jets.

Lockheed reported a profit of $799 million, or $1.89 per share, compared to a year-earlier profit of $729 million, or $1.68 per share. Net sales were flat at $10.84 billion.

Analysts polled by Thomson Financial, on average, expected earnings of $1.69 per share on sales of $10.73 billion. Read more

Ford Motor Co. said Thursday its loss narrrowed to $2.8 billion in the fourth quarter and $2.7 billion for the year amid continued weakness in North America.

Ford President and Chief Executive Alan Mulally said the company's operations are improving but the outlook for U.S. sales in 2008 is grim.

Mulally said the company will be adjusting production and making further cost reductions in North America, including a new round of buyouts for its 54,000 U.S. hourly workers.

Details of the buyout program were expected later Thursday. Read more

French bank Societe Generale has uncovered a $7.14 billion fraud that, combined with a write-down from its subprime exposure, will force it to seek $8.02 billion in new capital, the bank said.

France's second-largest bank by market value after BNP Paribas SA said it detected the fraud at its French markets division the weekend of Jan. 19. A trader at the futures desk had taken 'massive fraudulent directional positions in 2007 and 2008 beyond his limited authority,' SocGen said.

The trader, who was not named, used his knowledge of the group's security systems to conceal his positions through a series of elaborate fictitious transactions, a SocGen statement said. Read more

“Despite the strong rebound from the lows, we are not yet out of negative momentum”

Oil futures were lower Wednesday, extending overnight declines despite the U.S. Federal Reserve's surprise cut in its key interest rates.

Many investors doubt the Fed's emergency move will stave off a serious slowdown that would dampen demand.

Light, sweet crude for March delivery lost 84 cents to $88.37 a barrel in electronic trading on the New York Mercantile Exchange by midday in Europe. It fell 71 cents to settle at $89.21 a barrel in the floor session overnight.

The contract for February delivery fell 72 cents in the floor session to settle at $89.85 a barrel. It expired at the close of trade. Read more

EBay warned that results for the current quarter and year would fall below Wall Street expectations, spoiling strong 2007 year-end results and the planned departure of long-serving Chief Executive Meg Whitman. via Reuters UK

General Motors and Toyota were in a virtual dead heat as the world's biggest carmaker last year. via Financial Times

Delta Air Lines Inc., the nation's No. 3 carrier, reported Wednesday it was hampered by high fuel prices in the fourth quarter but was able to post a narrower loss on a solid increase in sales.

For the three months ending Dec. 31, Atlanta-based Delta said it lost $70 million, or 18 cents a share, compared to a loss of $1.98 billion for the same period a year earlier. The airline did not provide a per share figure for the prior year, when it was in bankruptcy.

Excluding reorganization items, Delta said it lost $105 million in the fourth quarter. It did not provide a comparable per-share figure. Read more

“Our primary focus is on improving profitability and enhancing our product portfolio in this business.”

SCHAUMBURG, Illinois : Cell phone maker Motorola Inc. on Wednesday said net profits fell sharply in the fourth quarter, and it warned that the recovery in its struggling handset unit will take longer than ... via International Herald Tribune

“It was paper for many, many years. It's not really a hardship.”

The Whole Foods Market chain said Tuesday that it would stop offering plastic grocery bags, giving customers instead a choice between recycled paper or reusable bags. via New York Times

In a loss for wireless communications providers, the Supreme Court on Tuesday let stand a lower court ruling preventing the industry from listing taxes and other government fees as separate line items on ... via FindLaw

“We view the current perceptions of Ambac's business by both the market and ratings agencies as underestimating Ambac's strengths and future potential”

Ambac Financial Group Inc. swung to a deep fourth-quarter loss after taking a $5.21 billion write-down, and is reviewing ways to raise capital, the troubled bond insurer said Tuesday.

The New York firm booked a loss of $3.26 billion, or $31.85 per share, versus a profit of $202.7 million, or $1.88 per share, in the year-ago period.

The company took a loss of $5.21 billion, or $33.14 per share, on the book value of certain financial instruments, called credit derivatives. These help insure bond buyers against losses if the bond issuer defaults or the assets underlying the bond lose value. Read more

Tags: FCC , Sony , North America O 1 Remember the white PlayStation 3 Sony released a couple of months ago to the territories of Japan? If the recent info we picked is accurate, then we just might be seeing ... via Xbox 360 News Coverage 24

Bank of America Corp. said Tuesday its fourth-quarter earnings fell by 95 percent and Wachovia Corp. reported its earnings tumbled 98 percent, with both banks citing the lending crisis.

Net income at Bank of America declined to $268 million, or 5 cents per share, in the three months ended Dec. 31 from $5.26 billion, or $1.16 per share, a year ago.

Wachovia said Tuesday its fourth-quarter earnings tumbled due to a $1.7 billion reduction in the value of certain portfolios and $1.5 billion set aside to cover bad loans. Read more

Oil prices fell Tuesday amid global market turmoil and mounting concerns that the U.S. economy may be heading into a recession that would likely dampen crude demand.

Prices were also affected by the continued tumble of global stock markets Tuesday, the second day of sharp global declines.

'Investors are factoring in the rising prospect of a U.S. recession,' said Victor Shum, an energy analyst with Purvin & Gertz in Singapore. 'That's why we're seeing such a substantial sell-off in the stock markets.' Read more

“Today it's because of disappointment that the U.S. stimulus (package) is too little, too late and investors feel it won't help the economy recover.”

Asian stock markets plunged Monday following declines on Wall Street last week amid investor pessimism over the U.S. government's stimulus plan to prevent a recession.

India's benchmark stock index was down a stunning 10.9 percent in afternoon trading, while Hong Kong's blue-chip Hang Seng index plummeted 5.5 percent, its biggest percentage drop since the Sept. 11, 2001, terror attacks.

Investors dumped shares because they were skeptical about an economic stimulus plan President George W. Bush announced Friday. The plan, which requires approval by Congress, calls for about $145 billion worth of tax relief to encourage consumer spending. Read more

“It appears that all of TWC's efforts went into figuring out ways to avoid putting MASN on the air”

Time Warner Cable must carry a regional sports network that includes professional baseball and North Carolina collegiate athletics among its programming, a federal arbitrator has ruled. via Triangle Business Journal

“In an environment of a global consolidation of the mining industry, VALE has been maintaining a dialogue with Xstrata Plc management”

Brazilian mining giant Vale said on Monday it has held takeover talks with Anglo-Swiss rival Xstrata, which analysts said could lead to deal worth more than $100 billion . via Reuters UK

“It is quite difficult to take an optimistic attitude toward the U.S. market”

A top Nissan executive said Monday that selling cars in the United States is going to be tough this year because of a likely U.S. economic slowdown amid problems in the credit and housing markets as well as a stronger yen.

Automakers and analysts are predicting that this year's U.S. auto sales could drop to their lowest level in a decade to about 16 million vehicles or lower.

Nissan Motor Co. Chief Operating Officer Toshiyuki Shiga said he was still hopeful that Nissan's new products will attract customers. Read more

LONDON : Northern Rock will issue government-guaranteed bonds to repay the tens of billions in emergency loans from the Bank of England, Britain's Treasury said Monday in a statement to the London Stock ... via International Herald Tribune

“I have no information on this issue”

A major Chinese insurer has announced plans to raise up to $22 billion (euro15.0 billion) for acquisitions at a time when U.S. and European banks, battered by mortgage losses, want infusions of Asian capital to replenish their balance sheets.

Ping An Insurance Co.'s plan comes amid a boom in China's financial markets. Its size would rival China's biggest initial public offering to date, which raised $21.9 billion in October 2006 for Industrial & Commercial Bank of China.

Ping An will raise the money by selling new shares and bonds on Chinese markets, the company said on its Web site in a statement dated Friday. The company raised 39 billion yuan ($5 billion) in an IPO last February on Chinese markets. Read more

“People are certainly nervous about a potential recession in the U.S. spilling over to the rest of the world”

Asian shares fell broadly Monday morning following declines on Wall Street last week amid investor pessimism over the U.S. government's plan to prevent a recession.

A contraction in the American economy would likely hurt profits at Asian exporters, although increased trade and investment within the region has made Asia less dependent on the U.S. than in the past.

Investors sold off shares, appearing to be unimpressed by the economic stimulus plan President Bush announced Friday. The plan, which requires approval by Congress, calls for about $145 billion worth of tax relief to encourage consumer spending. Read more

For the second time in 15 months, the editor of the Los Angeles Times has been fired for refusing to impose budget cuts ordered by his publisher. via Chicago Tribune

Allstate Corp. said Friday that a Florida state appeals court has stayed a regulator's order that would have barred the big Northbrook insurance concern from writing new business in Florida. via Chicago Tribune

U.S. Energy Secretary Samuel Bodman has told Saudi Arabia's oil minister today that OPEC should increase oil output. via CBC News

Thousands of canisters of highly radioactive waste from the world's most nuclear-energized nation lie, silent and deadly, beneath this jutting tip of Normandy. Above ground, cows graze and Atlantic waves crash into heather-covered hills.

The spent fuel, vitrified into blocks of black glass that will remain dangerous for thousands of years, is in 'interim storage.' Like nearly all the world's nuclear waste, it is still waiting for the long-term disposal solution that has eluded scientists and governments in the six decades since the atomic era began. Read more

The government will back a plan to covert its lending to Northern Rock into bonds, a source familiar with the matter said, potentially tying itself to the bank for years but avoiding full-scale nationalisation. via Reuters UK

“He's looking to turn it around by using a different approach”

Sears Holdings Corp. plans to reorganize into several companies in another bid to pull the ailing 121-year-old retailer out the doldrums. via CBC News

“We have averted a possible strike that could have had a crippling effect on the lives of millions of Americans.”

Amtrak reached a deal with nine labor unions, averting a possible strike at the end of this month, the passenger railroad announced Friday. via Chicago Business

“We're two countries at very different points along the adoption curve”

The Chinese government said Friday its Internet population has soared to 210 million people, putting it on track to surpass the U.S. online community this year to become the world's largest.

The official China Internet Network Information Center, also known as CNNIC, said the online population grew 53 percent, from 137 million reported at the same time last year. According to the government's Xinhua News Agency, China is only 5 million behind the United States online, a figure consistent with some American estimates. Read more

“The worries about the U.S. economic slowdown, and of oil demand slowing down in the U.S. and other parts of the world, continue to weigh on the market.”

Oil prices extended their decline fell Friday on worries that a flagging U.S. economy could curb demand for crude oil.

Light, sweet crude for February delivery fell 23 cents to $89.90 a barrel in electronic trading on the New York Mercantile Exchange by midday in Europe.

The contract fell 71 cents to settle at $90.13 on Thursday.

In London, March Brent crude rose 24 cents to $88.99 a barrel on the ICE Futures exchange.

Concerns about the economy were stoked by a U.S. Commerce Department report Thursday that construction of new homes fell nearly a quarter in 2007, the largest drop in 27 years. Also, a Philadelphia Federal Reserve survey of regional manufacturing activity registered a negative 20.9 from a revised reading of negative 1.6 in December, coming in well short of expectations. Read more

“Within this context, technology that assists our customers in mitigating risk in exploration and development projects, increasing recovery factors and improving operational efficiency will remain at a premium”

Oilfield services company Schlumberger Ltd. said Friday net profit rose 22 percent in the fourth quarter, driven by demand in the Eastern Hemisphere and Latin America.

Schlumberger reported a net profit of $1.38 billion, or $1.12 per share, compared to a year-earlier profit of $1.13 billion, or 92 cents per share. Revenue rose to $6.25 billion from $5.35 billion a year earlier.

Analysts surveyed by Thomson Financial on average expected quarterly profit of $1.13 per share on revenue of $6.14 billion. Read more

“They're trying to keep ahead of a business ... that seems to be springing new leaks faster than they can plug them”

Sprint Nextel rep