Arthur Andersen LLP’s scramble to shred Enron Corp.-related documents as dictated by its internal policy was a calculated effort to prepare for lawsuits and criminal probes, a federal prosecutor said Wednesday. Rusty Hardin, Andersen’s lead lawyer, countered that prosecutors “struck for quick gain” by indicting the 89-year-old firm two months after Andersen reported the shredding to the government in January and picked through documents to find seemingly incriminating messages regarding document destruction. U.S. District Judge Melinda Harmon gave prosecutors and defense attorneys four hours each to make their last arguments before jurors begin deciding Andersen’s fate.
Toys “R” Us will cut prices on about 200 popular items to better compete with Wal-Mart and Target, which sell the toys at cost or less to attract customers, the company’s top executive told shareholders at their annual meeting Wednesday. The Paramus, N.J.-based retailer of toys, children’s clothing and accessories also plans to resume featuring its talking giraffe mascot, Geoffrey, in advertising targeting parents who grew up with the character. It also will begin testing new business strategies as part of an effort to increase its toy market share, now about 17 percent, to 20 percent, as it nears the end of a costly restructuring and store remodeling plan that was partially responsible for losses in two of the last three quarters.
Albertsons Inc., the nation’s second-largest food and drug retailer, posted a first-quarter loss of $81 million, dragged down by restructuring costs of getting out of unprofitable markets. Excluding one-time items, the results announced Wednesday beat Wall Street expectations, which were raised two weeks ago after the grocery retailer said its turnaround was gaining momentum faster than anticipated. Albertsons also raised its full-year earnings estimate.
Foreign investment in the United States, after hitting record highs for three straight years, plunged by 60 percent in 2001, reflecting the U.S. recession and a sharp slowdown in mergers and acquisitions. The Commerce Department said that spending by foreigners to buy existing U.S. companies or set up new operations fell to $132.9 billion in 2001, down from an all-time high of $335.6 billion in 2000. The department attributed the big decline to the recession in the United States and economic weakness in many other major countries last year, as well as the sharp slowdown in mergers and acquisitions.
From Herald news services
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
