In brief: Ambassadors records loss

Spokane-based Ambassadors Group, Inc. announced Wednesday first-quarter losses of $6.8 million and 35 cents per share, compared with losses of $5.3 million and 28 cents a share in the first quarter of 2009.

“Our revenue model continues to be highly seasonal, and the first quarter represents a low point of our revenue seasonality,” said Jeff Thomas, Ambassadors Group CEO in a release.

The company arranges travel and education trips for students and professionals.

Tom Sowa

Goldman CEO to testify in D.C.

New York – Goldman Sachs is taking its fight against a government civil fraud case to Capitol Hill.

Goldman CEO Lloyd Blankfein will testify before a Senate panel Tuesday in what are expected to be his first public comments on the Securities and Exchange Commission’s lawsuit charging that the bank defrauded two investors, according to a person familiar with the plans.

A 31-year-old Goldman employee at the center of the lawsuit, Fabrice Tourre, is also expected to be questioned at the hearing, according to media reports.

Blankfein will answer questions before the Senate’s Permanent Subcommittee on Investigation, which is investigating the role of major banks in the subprime mortgage crisis.

Associated Press

Starbucks posts earnings gain

Seattle – Starbucks Corp.’s second-quarter profit rose more than eight-fold, as more customers visited its U.S. cafes – and spent more when they did, company executives said Wednesday.

Meanwhile, the company’s effort to shore up its international business, cut costs and boost sales in venues other than its own stores helped the Seattle company earn a better-than-expected $217.3 million, or 28 cents per share, for the three months ended in late March.

During the same period last year, Starbucks earned just $25 million, or 3 cents per share, weighed down by hefty charges. Its revenue rose 9 percent to $2.53 billion, up from $2.33 billion.

Associated Press

Air stocks fall on AMR report

Dallas – The parent of American Airlines posted a huge first-quarter loss and dragged other airline stocks down with it on Wednesday.

AMR Corp., the parent of American Airlines, the nation’s second-largest airline, said it lost $505 million, or $1.52 per share.

AMR shares tumbled 79 cents, or 9.2 percent, to close at $7.77. Other airline stocks also fell, from a modest 1.2 percent decline at Southwest Airways Co. to Delta’s 4.5 percent drop and US Airways’ slide of 5.3 percent.

Associated Press