Nortel Networks’ chief financial officer resigned abruptly Monday amid questions about personal investments he made in a 401(k) retirement plan just ahead of corporate announcements that caused significant swings in the company’s stock price. Terry Hungle, who was named CFO late last year, allegedly transferred about $78,500 from a stock fund invested primarily in Nortel shares prior to announcing bad news about the company and transferred an even larger amount back in later prior to announcing good news.
DuPont Co. is creating a separate textiles and interiors subsidiary and plans to separate it from the rest of the huge chemicals company by the end of 2003, officials said Monday. The new subsidiary, DuPont Textiles &Interiors, will include the Stainmaster carpet, Antron nylon carpet, and Lycra fiber businesses. DuPont Textiles &Interiors will be the world’s largest integrated fibers company with annual sales estimated at $6.5 billion, or about 23 percent of total DuPont sales last year.
The “odds are very close” that United Airlines mechanics will vote today to reject a contract in favor of a strike, union President Thomas Buffenbarger said. Buffenbarger, president of the International Association of Machinists, said Monday he thinks a majority of the 13,000 mechanics will vote against United’s offer because it contains insufficient retirement benefits, includes no job security and delays retroactive pay.
FedEx Corp., the world’s largest cargo airline, said Monday that earnings for the third quarter may beat expectations in part because of increased use of its cheaper ground delivery services in the weakened economy. FedEx had predicted earnings for the quarter that ends Feb. 28 to range between 25 cents per share and 35 cents per share, but the company now expects to be at the top of that range. Analysts surveyed by Thomson Financial/First Call had been forecasting earnings of 34 cents a share. FedEx may be benefiting from a diversion of freight from United Parcel Service, as the Atlanta-based nation’s largest package delivery service continues contract negotiations with the Teamsters union, said analyst Ed Wolfe of Bear Stearns.
Herald staff and news services
Talk to us
> Give us your news tips.
> Send us a letter to the editor.
> More Herald contact information.
