Briefcase
General Motors expands IPO by almost a third
DETROIT – General Motors Co. will expand its initial public offering by 113 million common shares, said a person briefed on the matter.
The person says the U.S. government will sell most of the additional shares. The move would expand the IPO by 31 percent. Shares are still expected to be priced at around $33 each when they are sold on Thursday. The person did not want to be identified because he is not authorized to speak publically about the sale.
Associated Press
Home Depot limits expenses to boost company income
NEW YORK – Americans are primping their lawns and maintaining their homes but holding back on large-scale remodeling, Home Depot’s third-quarter net income results showed Tuesday.
The largest U.S. home-improvement retailer said keeping a tight lid on expenses helped its third-quarter net income rise 21 percent, despite a lackluster 1 percent revenue increase.
The results mirror Monday’s report from smaller rival Lowe’s Cos., which said its net income rose 19 percent with a revenue increase of only 2 percent. Together, the reports show many homeowners remain unwilling or unable to undertake bigger projects until the unemployment rate, stuck at 9.6 percent, improves and the economy shows more concrete signs of growth.
Associated Press
Global sales help Wal-Mart boost income over last year
NEW YORK – Wal-Mart posted net income of $3.44 billion, or 95 cents per share. That’s up from $3.14 billion, or 81 cents per share, a year ago. Total revenue rose 2.6 percent to $101.2 billion.
Cost-cutting and global sales helped push Wal-Mart’s profit, but it’s facing weak business at U.S. Walmart stores amid a tough economy.
The company raised its annual earnings forecast.
Associated Press
Companies preparing to up exports of coal to Asia
SEATTLE – The coal industry is maneuvering to ramp up its U.S. exports to Asia from the West Coast, with the first of several potential port expansions along the Columbia River pending before officials in Washington state.
Australian-based Ambre Energy asked Cowlitz County commissioners Tuesday to approve a port redevelopment that would let it export 5 million tons of coal annually. That would almost equal all U.S. coal exports to Asia in 2009.
Other coal port expansions are proposed in Longview and Woodland.
The fuel would come from the Powder River Basin of Wyoming and Montana, where Ambre has been in discussions to buy an idle mine.
A decision on the company’s redevelopment plan is expected next week. It is opposed by environmental groups and the Yakama Indian Nation.
Associated Press
Fiat will return to U.S. with new subcompact model
AUBURN HILLS, Mich. – Italian automaker Fiat returns to the U.S. market next month after a 30-year absence with the Fiat 500, a cute subcompact that has been popular in Europe. Fiat will unveil the car at the Los Angeles Auto Show today.
Fiat left the U.S. market in 1983 because of a reputation of poor quality. But Fiat says most U.S. buyers aren’t familiar with the brand or its history.
Fiat will introduce a convertible version of the 500 in 2011 and electric and performance versions in 2012. More cars will follow.
Associated Press