Mortgage application volume jumped last week, fueled by borrowers seizing on lower rates to refinance home loans, the Mortgage Bankers Association said Wednesday. The trade group’s seasonally adjusted application index rose 2.9 percent to 841.4 in the week ended Dec 12. The index stood at a revised 817.7 a week earlier. Interest rates have been declining in recent weeks and are expected to fall further following the Federal Reserve’s move on Tuesday to cut its target interest rate to nearly zero. Refinance volume rose 6.5 percent last week, while purchase volume fell 4.5 percent.
Southwest mulls airport move
Southwest Airlines Co. may add flights to a third new major U.S. airport as early as next fall, as the low-cost carrier shifts its traditional focus on less-trafficked secondary airports. The carrier expects to begin service at Minneapolis in March, and is currently negotiating for gate locations at New York’s LaGuardia. The carrier expects to begin flights out of LaGuardia this summer. Southwest obtained 14 takeoff and landing slots from bankrupt ATA Airlines earlier this month.
Nike shares rise on overseas sales
Shoe and apparel company Nike Inc. says its profit grew 9 percent in the second quarter on strong sales overseas — and despite weak domestic sales. The Beaverton, Ore.-based company said Wednesday that its net income rose to $391 million, or 80 cents per share, compared with net income of $359.4 million, or 71 cents per share, in the same quarter a year earlier. The results slightly exceeded Wall Street’s expectations. Analysts polled by Thomson Reuters expected the company to earn 79 cents per share on sales of $4.73 billion. The company says its revenue grew 6 percent to $4.6 billion, from $4.3 billion last year.
Former Entellium CEO pleads guilty
The former CEO of the Entellium software company has admitted his role in a scheme to attract venture capital by falsely inflating revenue numbers. Parrish Jones pleaded guilty Wednesday in U.S. District Court to one count of wire fraud. Former Entellium chief executive Paul Johnston pleaded guilty last week. The pair admitted they grossly inflated their revenue figures to score more than $50 million from investors. Entellium, which makes Web-based programs that help companies track sales, filed for chapter 11 bankruptcy protection early this month.
Spokane Agilent plant to lay off 120
Agilent Technologies will lay off much of its remaining work force in the Spokane suburb of Liberty Lake next year. The company said 120 to 150 of its 220 workers will lose their jobs as the California-based company tries to stay competitive. Many of those jobs pay from $65,000 to more than $80,000. About 20 other Liberty Lake workers will be asked to move to a plant in Santa Rosa, Calif. Many of the workers design equipment for cell phone manufacturers such as Motorola and Ericsson. Originally part of Hewlett-Packard, the Liberty Lake plant became Agilent Technologies in 1999. It had more than 1,100 workers in 2001.
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