Briefcase
From wire reports
Nike has strong quarter, exceeds expectations
BEAVERTON, Ore. – Nike Inc. says strong sales, tight inventory control and improved margins due largely to selling more goods at full price helped drive its second-quarter net income up 22 percent.
The world’s largest athletic shoe and clothing company reported Tuesday that it earned $457 million, or 94 cents per share, for the quarter that ended Nov. 30. That’s up sharply from the $375 million, or 76 cents per share, it earned a year earlier.
Nike exceeded analyst expectations of 88 cents per share.
Canadian bank buys Chrysler Financial
TORONTO – Toronto-Dominion Bank has agreed to buy Chrysler Financial, the automaker’s old lending arm, from private equity firm Cerberus Capital Management LP for $6.3 billion.
The deal announced Tuesday is the latest example of a healthy Canadian bank using its muscle to snap up U.S. institutions battered by the financial crisis.
Toronto-Dominion CEO Ed Clark said Canada’s second-largest bank is looking to accelerate growth in the U.S and that this deal makes it a top five North American auto lender.
New York-based Cerberus bought Chrysler Financial in 2007 as part of the $7.4 billion deal to take over Chrysler’s automaking business and lending business. Cerberus handed over control of Chrysler’s automaking operations to the government, when the automaker nearly ran out of cash and faced liquidation in 2008.
Boeing acquires aeronautics company
HELENA – Boeing has purchased a Helena-based aeronautics company that manufactures titanium and other hard-metal structures for several Boeing commercial aircraft.
Boeing announced Tuesday the acquisition of Summit Aeronautics Group.
Summit has 135 employees and makes parts for several Boeing planes.
Shares of Boeing rose 92 cents to close at $64 Tuesday, a 1.45 percent increase.
American Airlines withdraws from Orbitz
American Airlines pulled its flights from the Orbitz travel website on Tuesday in a dispute that could eventually affect the way travelers buy airplane tickets online.
The airline said its tickets sold previously on Orbitz are still valid. And American Airlines tickets can still be bought at the airline’s own website as well as other travel websites. American pulled its tickets from the Orbitz for Business site as well.
Airlines have traditionally paid sellers a commission. American also pays fees to the global distribution companies that provide the flight information.
American wants Orbitz to get that flight information directly from the airline, cutting out the global distribution systems. American has said that will reduce costs and also allow it to make more personalized offers to customers such as hotels and car rentals.