The mortgage servicing industry will need to make “substantial” investments to improve the foreclosures process, Federal Reserve Governor Daniel Tarullo said Wednesday. “Fixing the problems in the mortgage servicing industry may also require thinking about some fundamental structural changes to the current mortgage system,” Tarullo said in prepared remarks to Congress. Get the full story »
Airbus to revamp aviation’s A320 workhorse
An Airbus employee works on the electrical wiring in a Airbus A320 aircraft at the Airbus SAS plant in Saint-Nazaire, France. (AP)
European planemaker Airbus plans to upgrade its best-selling A320 medium-haul jets from 2016 with new engines offering 15 percent fuel savings, as it fends off upstart competitors.
Airbus said on Wednesday it would invest just over $1.3 billion in the “A320neo” project to improve efficiency and cut harmful emissions and noise. Get the full story »
Cyber Monday sales top $1B for first time
Americans jumped on deals and promotions offered online on Cyber Monday, spending $1 billion and making it the busiest online shopping day ever, according to new data. Get the full story »
Chicago Community Trust names 10 fellows
The Chicago Community Trust has named 10 leaders of non-profit organizations focusing on the arts, literacy, policy and research as its fellows for 2011.
The group includes six emerging leaders, who will receive up to $30,000 each, and four experienced leaders, who will receive up to $60,000 apiece, with the awards to be used for professional development. Get the full story »
Google ready to launch e-books venture
Google Inc. is in the final stages of launching its long-awaited e-book retailing venture, Google Editions, a move that could shake up the way digital books are sold.
The long-delayed venture — Google executives had said they hoped to launch this summer — recently has cleared several technical and legal hurdles, people close to the company say. It is set to debut in the U.S. by the end of the month and internationally in the first quarter of next year, said Scott Dougall, a Google product management director. Get the full story »
Repaired Boeing 787 flies back to Seattle
The Boeing 787 that made an emergency landing in Laredo, Texas, because of an electrical fire during a test flight is safely back in Seattle. Get the full story »
Mortgage demand drops as rates climb
Applications for U.S. home mortgages dropped last week as interest rates rose to the highest level since mid-August, driving down applications for refinancing, an industry group said on Wednesday. Get the full story »
FCC to take up net neutrality at December meeting
U.S. telecommunications regulators plan to tackle at a Dec. 21 meeting contentious Internet traffic rules intended to prohibit broadband providers from blocking or slowing some traffic.
The Federal Communications Commission announced on Wednesday a tentative agenda for its next meeting that included an order to adopt regulations “to preserve the open Internet as a platform for innovation, investment, competition and free expression.” Get the full story »
Dec. 1, 2010 at 5:30 a.m.
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Filed under: The day ahead in business
Reports: Third-quarter productivity data, 7:30 a.m.; ISM manufacturing index for November, 9 a.m.; Construction spending for October, 9 a.m.; Federal Reserve Beige Book, 1 p.m.; Automakers release vehicle sales for November.
Misc.: Deadline for the president’s debt commission to issue its report to Congress.
Reports: Google to offer up to $6B for Groupon
Groupon CEO Andrew Mason with Mayor Richard Daley, Aug. 31, 2010. (Brian Cassella/ Chicago Tribune)
Google Inc. is reportedly closing in on a deal to buy online discount-coupon sensation Chciago-based Groupon for up to $6 billion in its largest-ever acquisition, signaling a willingness to use some of its huge cash hoard to buy growth.
A deal, reported by several media, would give Google an important window into a fast-growing $91 billion local advertising market.
But Google’s shares fell 4.5 percent, partly on concern it may shell out too much for a business likely to face increasing competition. Reports of the deal came as the European Union announced plans to investigate Google’s search practices. Get the full story »
CFE extends trading hours for VIX Futures
The CBOE Futures Exchange, a subsidiary of CBOE Holdings Inc., said on Tuesday that it has changed the daily opening time for the trading of futures on the CBOE Volatility Index. VIX effective Dec. 10, pending regulatory approval. Get the full story »
Novartis to cut 1,400 sales positions from U.S. unit
Swiss drugmaker Novartis AG said Tuesday it will eliminate 1,400 U.S. sales jobs by Jan. 1.
The company said it will cut the jobs from the sales force of its general medicines business, as sales at that business will be hurt after the patent on its high blood pressure drug Diovan expires. Novartis said it plans to focus more resources on its primary care and specialty care businesses.
Bank of America shares fall on WikiLeaks fears
Bank of America Corp. stock fell Tuesday afternoon on speculation that it might be the target of a WikiLeaks document release early next year.
It’s official: Motorola to split into 2 companies
Motorola Inc. said Tuesday it will officially split into two companies on Jan. 4, 2011.
The separation is a long time coming, as the Schaumburg-based technology company first announced the decision in March 2008. The complexity of the break-up and the global recession had slowed the process, which involved dividing up not just employees, but assets such as intellectual property and ownership of the Motorola brand. Get the full story »
Yes, Netflix a bandwidth hog; but who should pay?
A movie selected from among Netflix's "Watch Instantly" titles begins to download on a home computer screen in New York, Nov. 22, 2010. (AP Photo/James H. Collins)
Netflix is clogging up the Internet. There’s a debate raging about who should pay for it — but ultimately, it’s going to be you.
The latest skirmish is a fracas between Comcast, which connects users to the Internet, and Level 3, which signed a deal three weeks ago to host and deliver Netflix’s streaming videos to networks like Comcast’s. Comcast ultimately delivers those videos to its paying broadband customers.
Get the full story »
