Microsoft Corp. officials lauded the proposed settlement of the landmark antitrust case Wednesday, telling shareholders they can now focus on other aspects of the software giant’s business. “For many years, I’ve hoped to be able to get up and say what I can say this morning, which is that we have come to a settlement with the Department of Justice in the antitrust case,” chairman Bill Gates said to applause from shareholders gathered at the state convention center in downtown Seattle for the company’s annual meeting.
Worker productivity posted the best showing in more than a year in the third quarter. But the improvement came at a price. Businesses, coping with the economic hard times, slashed worker hours by the largest amount in a decade and eliminated jobs. The Labor Department reported Wednesday that productivity – the amount of output per hour of work – rose at an annual rate of 2.7 percent in the July-September quarter, compared with a 2.2 percent growth rate in the previous quarter. Businesses responded to slumping sales by sharply cutting back on their payrolls. That caused the total number of hours worked to drop at a faster pace than output, thus creating the rise in productivity.
Enron Corp. is reportedly in negotiations with rival energy marketer Dynegy Inc. to receive a much needed infusion of $2 billion that could lead to a merger between the two companies. The two Houston-based companies could unveil a formal transaction as early as today, but the situation is still very fluid, The Wall Street Journal and CNBC reported Wednesday. Dynegy spokesman Steve Stengel said the company would not respond to “rumor and speculation.” Enron could not be immediately reached for comment. The news came after Enron’s stock price tumbled by 25 percent early Wednesday on reports the company was having trouble attracting a large investor to allay concerns about its financial health.
Bridgestone/Firestone Inc. will pay $41.5 million in a settlement to head off lawsuits by states over defective tires the company recalled more than a year ago. Each of the 50 states, the District of Columbia, Puerto Rico and the Virgin Islands will get $500,000, according to a copy of the settlement obtained by The Associated Press. There are no restrictions on how the money can be spent. Nashville, Tenn.-based Bridgestone/Firestone will spend $5 million on a consumer education campaign and $10 million to reimburse attorneys’ fees for the states.
From Herald news services
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