Business

<< Previous   of   Next >>   ADVERTISEMENT   CONTACT THE HERALD Mike Benbow, Business Editor benbow@heraldnet.com   Published: Friday, August 29, 2008 Business Briefly: No raises due for big brass at Starbucks Chairman and Chief Executive Howard Schultz and other executives at Starbucks Corp. won't receive salary increases in the next fiscal year, according to an internal memo sent this week. The move is part of the Seattle-based coffee chain's effort to cut spending. All U.S. workers at the vice president level and above will not get raises for the coming fiscal year that starts at the end of September, the memo said. The memo first appeared on www.­starbucksgossip.com and a Starbucks spokeswoman confirmed its authenticity. The memo also said that, based on Starbucks's year-to-date performance, the company doesn't appear likely to hit the financial targets that trigger management payouts. EgyptAir to buy two Boeing 777s Boeing says EgyptAir has ordered two 777s. The order worth $529 million at list prices previously had been attributed to an unidentified customer. The airline is upgrading its widebody, long-haul fleet. Boeing says the business class seats in the new 777s will recline into beds. Dell's profit shortfall hammers stock price Computer maker Dell Inc. said Thursday its fiscal second-quarter profit fell 17 percent, hurt in part by lower prices and restructuring charges. The earnings were short of Wall Street estimates, and Dell shares plunged. For the three-month period that ended Aug. 1, Dell's earnings dropped to $616 million, or 31 cents per share, from $746 million, or 32 cents per share in the same period last year. Excluding amortization and business realignment charges, Dell said it would have earned 33 cents per share. Analysts surveyed by Thomson Reuters had forecast a profit of 36 cents per share. Investors sent Dell shares down $2.54, or 10 percent, to $22.67 in after-hours trading. Earlier, the stock dropped 42 cents to close at $25.21. Online discounter offers cheap shipping With gas prices high and consumers stretching shopping dollars, competition is heating up online for deals -- and a discount retail site hopes to fan the flames by shipping orders for $1.95. Chicago-based Enable Holdings Inc. plans to launch RedTag.com today and sell retailers' excess inventory at a fixed price. Its shipping charge will undercut a similar site, Overstock.com Inc., which charges $2.95 for standard ground shipping. "We're willing to take less for shipping because we think you'll buy five more items from us," said Enable Holdings' Chief Executive Jeffrey Hoffman. Banks increase borrowing from Fed Banks borrowed more over the past week from the Federal Reserve's emergency lending program, while Wall Street firms passed for the fourth straight week. A Fed report released Thursday said commercial banks averaged $18.47 billion in daily borrowing over the past week. That compared with a daily average of $17.51 billion in the previous week. For the week ending Aug. 27, Wall Street firms didn't take out any loans, the fourth straight period of no action. Their borrowing, however, averaged as high as $38.1 billion a day in early April. From Herald staff and news services

1. Emory’s owner fears fire was arson 2. Monroe honking case makes it to state Supreme Court 3. Vatican ponders the souls in space 4. 81 veterans' names, 81 meaningful lives honored in Snohomish 5. Hope dims that Olympics will boost region 6. Student hit in crosswalk to return 7. Smokey Point to celebrate end of roadwork 8. Death on Edmonds waterfront ruled a suicide 9. Help for young moms may continue 10. Semifinal slate sealed on ‘Dancing With Stars’ 2 - Top 10 Stories Most Talked about 3 - Top 10 Stories Most Emailed

• Bazaar Fever • Hawks proud of historic season • Olson always put Edmonds first • Honoring student veterans • ‘Wheedle' author comes to Lynnwood bookshop • Mavs build early lead en route to easy win • Prep football games of the week (state playoffs) • Tears of laughter, tears of grief • Death on Edmonds beach likely a suicide • Boeing will build, flight test and deliver 787s in South Carolina to spe ... • Snohomish County EDC promoting job growth in key industry clusters • $4 million grant to advance brain tumor research has Everett links • Providence medical center construction tops off its 12-story steel frame ... • Tulalip affordable housing project to be financed by KeyBank, Raymond Ja ... • Arlington's Lak of Ink has a growing following for Luke Kooyman's creati ... • Bank of the Northwest formed • Cascade Bank earns $1.6 million