FedEx is predicting a little more holiday cheer this year. The company, based in Memphis, Tenn., forecasts it will ship 13 million packages on Dec. 14, which it expects to be its busiest day this year. That would be up more than 8 percent from the total of about 12 million packages shipped on its peak day last year. That was the busiest day ever for FedEx, due in part to a growing partnership with the U.S. Postal Service and the exit of rival DHL from the U.S. market. UPS expects to release a prediction later this month.
Clearwire seeks $1.5B in financing
Investors in Clearwire Corp. Tuesday said they are pumping an additional $1.5 billion into the company so it can keep building out its nationwide wireless data network. Sprint, which owns 51 percent of Clearwire, is putting up $1.176 billion. Comcast Corp., the country’s largest cable company, is investing $196 million, and Time Warner Cable Inc. and Bright House Networks are adding $103 million and $19 million, respectively. Shares of Kirkland, Wash.-based Clearwire rose 19 cents, or 2.8 percent, to $6.99 in midday trading. The company will offer senior notes worth at least $1.45 billion to pay off its credit facility.
2 ex-Bear Stearns execs acquitted
Two former Bear Stearns hedge-fund managers have been acquitted of lying to investors about the implosion of the subprime mortgage market. A Brooklyn jury found Ralph Cioffi and Matthew Tannin not guilty Tuesday on all counts of conspiracy and fraud. It was the first criminal case to hit Wall Street amid the housing market meltdown. Prosecutors claimed the pair hid warning signs their funds were about to implode. Prosecutors alleged the fraud cost 300 investors about $1.6 billion. The domino effect nearly led to the demise of Bear Stearns itself. The firm barely avoided bankruptcy in a rescue buyout by JPMorgan Chase &Co.
Adobe to cut about 680 full-time jobs
Adobe Systems said Tuesday it is cutting 680 full-time jobs, or about 9 percent of its work force, to align costs with its fiscal 2010 budget. Adobe Systems Inc., the maker of Photoshop, Flash and Acrobat software products, said it will record pretax charges of $65 million to $71 million as a result of the cuts. The job cuts relate only to Adobe employees before the company, based in San Jose, Calif., bought Omniture Inc. in October. Adobe also cut 9 percent of Omniture’s work force when that deal closed.
Energy Department raises price outlook
The government said Tuesday that oil prices should average about $77 a barrel this winter, 10 percent more than its estimates issued last month. Oil prices have jumped about $10 per barrel in the same time period. Oil prices should continue to climb to $81 a barrel by December 2010. Crude contracts closed at $79.05 a barrel Tuesday on the New York Mercantile Exchange.
Herald wire services
Herald wire services