Burger King plans to launch a massive new coffee line as it tries to overhaul its breakfast menu and boost its slumping business. The nation’s No. 2 burger chain will add Starbucks Corp.’s Seattle’s Best Coffee to all its U.S. restaurants in a phased roll-out that begins this summer, executives said Tuesday. The move takes a page from rival McDonald’s Corp.’s success with its McCafe line of coffee drinks, which have been credited with boosting its performance. The deal also adds a new wrinkle to the coffee wars because McDonald’s coffee campaign has been seen as taking aim at Starbucks.
Dubai’s economy still major concern
As world markets warily eye Greece’s financial crisis, investors are once again focusing on unresolved questions surrounding how deeply indebted Dubai will pay its bills. In one indication of the re-emerging concerns, Morgan Stanley said the cost to insure against a Dubai default this week shot to the level it was at the peak of the city-state’s debt crisis in November, before neighboring Abu Dhabi pumped in emergency bailout funds. A major cause for concern is the lack of clear information since the sheikdom shocked global markets late last year with plans to restructure its chief conglomerate Dubai World and delay repaying $26 billion in debt. Talks with creditors, which include big international banks such as HSBC and Standard Chartered, are ongoing.
Feds want to know if Toyota acted swiftly
The Transportation Department demanded documents related to Toyota’s massive recalls in the United States on Tuesday to find out if the automaker acted swiftly enough. Toyota, meanwhile, said it will idle production temporarily at Texas and Kentucky plants over concerns the recalls could lead to big stockpiles of unsold vehicles. The legal documents demand that Toyota tell the government when and how the company learned of the safety defects in millions of vehicles over the entrapment of gas pedals by floor mats and sticky accelerators. The documents were delivered to Toyota on Tuesday and the company must respond within 30 to 60 days or face fines.
Kraft Food’s profits triple in quarter
Kraft Foods Inc. said Tuesday its fourth-quarter profit more than tripled on strength in developing markets and continued benefits from its restructuring plan to focus more on its money-making products. The food maker, which is buying British candy maker Cadbury, said it expects long-term earnings growth at the high end of its previous guidance. Kraft, whose brands include Maxwell House, Oreo cookies and its namesake cheese, said profit surged to $710 million, or 48 cents per share, for the period ended Dec. 31. That’s up from $178 million, or 12 cents per share, a year ago. Analysts expected a smaller profit of 45 cents per share, according to Thomson Reuters.
From Herald news services
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
