ADVERTISING

MasterCard to bring back Mr. Bill

MasterCard executives have found a new poster boy for the angst-ridden economy: Mr. Bill. The small clay figure that appeared in "Saturday Night Live" short films three decades ago —- being dismembered, pulverized and humiliated to his falsetto cries of "Oh, nooooo!" —- will be the latest star of MasterCard's "Priceless" campaign. He is being revived as a debit card holder who gets roughed up in his daily routine but keeps on going.

AUTOMOTIVE

Luxury brands leave Ford stable

Detroit —- Ford Motor Co. officially unloaded its Jaguar and Land Rover businesses Monday —- netting the cash-strapped automaker a $1.7 billion boost that's a mere third of what it paid for the two luxury brands. India's Tata Motors Ltd. said it had completed the purchase of the brands in a deal first announced March 26.

Battery leakage hurts GM hybrids

General Motors Corp. said Monday that a battery flaw is holding back sales of Saturn and Chevrolet gasoline-electric models. Production is behind schedule because GM is replacing about 9,000 nickel-metal-hydride battery packs, spokesman Tom Wilkinson said. Fluid within the batteries was leaking.

DEALS

Wyndham to buy two hotel brands

Wyndham Worldwide Corp. will acquire Atlanta-based US Franchise Systems Inc., including its Microtel Inns & Suites and Hawthorn Suites hotel brands totaling more than 29,000 rooms, from a unit of Global Hyatt Corp. Terms weren't disclosed.

ECONOMY

Fed official sees 'gradual' recovery

Dennis Lockhart, president of the Federal Reserve Bank of Atlanta, said the economy is poised for "gradual" recovery after a slow first half, with inflation likely to moderate from "uncomfortable" levels. Still, he said it's too soon to "breathe easy." "I believe the second quarter may be somewhat better than some earlier dire forecasts," Lockhart said Monday in a speech in Jacksonville. "The federal government's economic stimulus should provide some boost to household spending in the second and third quarters. On balance, I'm expecting a weak first half followed by some improvement in the second half as the drags on growth I mentioned earlier gradually diminish." The comments suggest Lockhart agrees with Fed policy-makers' apparent plans to pause interest rate cuts.

FINANCIAL

Rates mixed in Treasury auction

Washington —- Interest rates on short-term Treasury bills were mixed in Monday's auction, with rates on three-month bills dropping and rates on six-month bills rising to the highest level in more than three months. The Treasury Department auctioned $24 billion in three-month bills at a discount rate of 1.820 percent, down from 1.870 percent last week. Another $24 billion in six-month bills was auctioned at a discount rate of 1.950 percent, up from 1.920 percent last week. Separately, the Federal Reserve said Monday that the average yield for one-year Treasury bills, a popular index for making changes in adjustable-rate mortgages, rose to 2.16 percent last week from 2.09 percent.

LEGAL

Dow settles with two former execs

Midland, Mich. —- Dow Chemical Co. said Monday that it has settled all litigation between the company and two former executives who were fired for participating in unauthorized buyout discussions. J. Pedro Reinhard and Romeo Kreinberg acknowledged participating in discussions that were not authorized by nor disclosed to Dow's board concerning a potential leveraged buyout of the company and agreed they should have informed the chief executive and the board.

Money-laundering rulings issued

Washington —- The Supreme Court on Monday ruled against the government in two money-laundering cases, making it more difficult for prosecutors to use an important weapon in the war on drugs and organized crime. In a unanimous decision, Justice Clarence Thomas said that a money-laundering case cannot be proved merely by showing that funds were concealed while being transported. In a separate 5-4 decision, the court said that money-laundering refers to profits of an illegal operation, not gross receipts. The court's interpretation is a narrow one opposed by law enforcement agencies. Justice Antonin Scalia said the narrow definition will not unduly burden authorities, who must show only that a single instance of unlawful activity was profitable. Providing the crucial tie-breaking vote, Justice John Paul Stevens refused to go as far as Scalia, saying Congress favored a broader interpretation of the law in cases involving organized crime syndicates.

Microsoft bid for Yahoo in 2007

Microsoft Corp. offered $40 a share for Yahoo Inc. in January 2007, according to court papers unsealed in a lawsuit over Yahoo's refusal to accept the bid. Lawyers for Yahoo investors said company officials "gave the back of their hand" to Microsoft's efforts to negotiate a buyout, according to papers unsealed Monday in Delaware Chancery Court. Some Yahoo shareholders seek to hold Chief Executive Jerry Yang and other directors liable for failing to accept the offer. Microsoft withdrew a $33-a-share bid for Yahoo on May 3 because the two couldn't agree on a price.

Class-action lawyer given prison term

Los Angeles —- Melvyn Weiss, the co-founder of a law firm known for securities class-action suits, was sentenced Monday to 30 months in prison for his role in a lucrative lawsuit kickback scheme targeting some of the largest corporations in the nation. U.S. District Judge John F. Walter also ordered Weiss, 72, to pay $9.7 million in forfeitures and $250,000 in fines.

Brocade settles backdating case

Brocade Communications Systems Inc. agreed Monday to pay $160 million to resolve a securities class-action lawsuit over the company's stock options backdating practices, the largest settlement to date for an options manipulation case. The accord resolves lawsuits filed against Brocade in 2005 after the company restated financial results because of misreported stock-based compensation. Gregory Reyes, the company's former chief executive, was convicted of fraud for backdating hundreds of employee grants in 2001 and 2002 and sentenced to 21 months in prison and a $15 million fine.

MEDIA

Jewelry network sued by buyer

Knoxville —- A California woman has filed a $5 million lawsuit against Knoxville-based Jewelry Television, accusing the home-shopping channel of false advertising. Marliese Weed claims in the lawsuit filed in U.S. District Court in San Diego that Jewelry Television sold gemstones described as rare and expensive red or green andesine labradorites. Weed said the items were actually colorless or yellow common feldspar that had been chemically treated. The lawsuit is seeking class-action status, estimating thousands of customers purchased the questionable gemstones. In a statement, Jewelry Television acknowledged Monday that it has discovered that one of its sources for the gemstone treated the stones. The company says it shared that information with its customers, feels it acted responsibly and that "the true facts will vindicate us."

Global circulation of papers surges

Goteborg, Sweden —- Global newspaper circulation is rising, buoyed by demand in Asia and South America —- belying predictions of the demise of print journalism, officials said Monday at the start of an international newspaper conference. Circulation of paid newspapers rose 2.6 percent worldwide in 2007, with the biggest jumps in India and China —- now the largest market for newspapers with 107 million copies sold daily, according to a report by the World Association of Newspapers. However, readership continued to slip in the United States and Europe.

RETAILING

Starbucks eyes more store closings

Starbucks Corp., the world's largest chain of coffeeshops, may close more than the 100 U.S. cafes it announced in January. The company has "100 stores in sight" and an "eye on other stores," Chief Financial Officer Peter Bocian said Monday at the Lodging, Gaming, Restaurant & Leisure Conference held by Goldman Sachs Group in New York.

Chick-fil-A opens Turner Field stores

Chick-fil-A loyalists can now get their fill at Atlanta Braves games. The Atlanta-based chicken sandwich chain opened two outlets Monday night at Turner Field. The restaurants are located at the club level near Section 329 and the field level near Section 139. The Turner Field Chick-fil-As, just like all other locations, will be closed on Sundays.

TECHNOLOGY

Best Buy tests recycling program

Best Buy Co. is letting people dispose of their old computers, cameras and phones for free under a recycling program at 117 stores. Consumers will be able to recycle two items a day per household as part of a test program at locations in Baltimore, San Francisco and Minnesota, Best Buy said Monday in a statement.

TRADE

U.S. loses appeal on cotton subsidies

Geneva —- The United States lost its final appeal Monday in a billion-dollar trade dispute with Brazil over subsidies to U.S. cotton growers. A World Trade Organization appeals panel reversed parts of an earlier ruling made last December but found that on the whole the U.S. payments breach global commerce agreements. Brazil can now ask the WTO to authorize retaliatory trade sanctions on the United States that could run into the billions of dollars.

S. Korea delays U.S. beef imports

Seoul, South Korea —- The South Korean government said Monday that it was delaying the planned resumption of U.S. beef imports, after a request from the ruling party and large weekend street protests. Agriculture Ministry spokesman Kim Hyun-soo offered no details, including how long the delay would last.

TRANSPORTATION

Airline group now predicts '08 loss

Istanbul, Turkey —- Citing high oil prices and the slowing economy, the International Air Transport Association on Monday sharply lowered its industry forecast for 2008, saying it now expects a collective loss of at least $2.3 billion. In March, the group had forecast a profit of $4.5 billion. In 2007, the industry reported a profit of $5.6 billion, the first since the Sept. 11, 2001, terrorist attacks. At its annual meeting, the association urged governments to roll back regulations that they argue are damaging the industry at a time when many carriers are in a "desperate" situation.

Northwest pilots want pay parity

Northwest Airlines' pilots union leaders want immediate pay parity for Northwest pilots in a merger with Delta, the union's leadership told its members in a message. But Delta management has indicated it will propose "a phase-in of pay increases," the union said in the message Friday. The union also said it will hold a meeting in St. Paul, Minn. this week and is expecting an appearance by Delta President Ed Bastian and Delta's executive vice president of human resources, Mike Campbell, on Thursday. Delta pilots ratified a contract last month that would take effect if the airlines complete the merger. That contract includes 4 percent to 5 percent annual pay raises and an equity stake in the combined company. Delta spokesman Kent Landers said the company "will continue to treat people fairly."

U.S. to register travelers online

Washington —- Travelers who don't need visas to enter the United States will be required to register online with the U.S. government at least three days before they visit, a security regulation set to begin next year. Homeland Security Secretary Michael Chertoff will announce the rule today, The Associated Press reported, following the first report in The Financial Times of London. Required online registration will begin in January and will be valid for a two-year period. Those needing to register will be travelers from the 27 countries whose citizens are not required to obtain visas for U.S. entry.