Retail sales rose in March at the fastest clip in three months, helped by warmer weather and an early Easter. Analysts cautioned that sales were likely to slow in April, given the recent surge in gasoline prices that will leave consumers with less money to spend on other items. For March, sales rose by 0.7 percent, the Commerce Department reported Monday.
ICOS buyout hurts Lilly profits
Drug maker Eli Lilly and Co. started 2007 strong by beating Wall Street estimates and raising its own expectations, despite reporting net income that sank 39 percent compared to last year’s first quarter. The company said its first-quarter performance was affected by charges related to restructuring and the January acquisition of Bothell’s ICOS Corp., the maker of the Cialis anti-impotence drug. The $2.3 billion buyout cost 29 cents per share.
Wal-Mart moves to Fortune top spot
Wal-Mart Stores Inc. dethroned Exxon Mobil Corp. to win back first place on the 2007 Fortune 500 list based on 2006 income. The big retailer posted a more than 11 percent increase in revenue to $351.1 billion and profits of $11.3 billion, according to the magazine’s annual ranking of the nation’s largest companies.
Internet radio dealt setback on royalties
Internet radio broadcasters were dealt a setback Monday when a panel of copyright judges threw out requests to reconsider a ruling that hiked the royalties they must pay to record companies and artists. A broad group of public and private broadcasters objected to the new royalties.
Investors to buy lender Sallie Mae
A group of investors announced plans Monday to buy Sallie Mae, taking the nation’s largest student lender private in a $25 billion deal that comes as some regulators call for tougher standards and lower federal subsidies for the $85 billion college loan industry. The sale price represents a nearly 50 percent premium for Sallie Mae’s previously sagging stock before takeover rumors emerged late last week.
Barbie dolls’ decline hurts Mattel profits
Mattel Inc. reported lower first-quarter profit Monday but beat Wall Street revenue expectations with strong sales, despite a decline in demand for Barbie dolls in the U.S. Profit slipped 60 percent from the year-ago period, which benefited from a hefty $57 million foreign tax settlement. The world’s largest toy maker said earnings fell to $12 million, or 3 cents per share, from $30.2 million, or 8 cents per share, during the same period of 2006. Analysts surveyed by Thomson Financial were expecting a loss of 5 cents per share.
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