Daily Briefing

AUTOMOTIVE

GM cuts back auto show presence

General Motors Corp. says it is scaling back its presence at the Los Angeles Auto Show next week. Spokesman Scott Fosgard says GM planned to unveil a new Buick model, and Vice Chairman Bob Lutz was going to attend the show’s media previews Nov. 19 and 20. But Fosgard said the new model will be unveiled at the Detroit auto show in January, and no executives will travel to Los Angeles. The show is open to the public Nov. 21-30.

AVIATION

AirAsia removes fuel surcharge

Malaysia’s AirAsia abolished fuel surcharges on all its flights and said it will give away half a million free tickets next year in an attempt to lure travelers amid the global slowdown. AirAsia Chief Executive Tony Fernandes said the region’s biggest budget carrier will offer 500,000 free seats for travel between June 22 and Oct. 24 on all its domestic and international destinations.

Slow economy hits Lufthansa

Deutsche Lufthansa AG, Europe’s second-biggest airline, said planes were less full last month as the slowing economy deterred business and leisure travel. The load factor, or the proportion of seats filled, fell 2.5 percentage points from a year earlier to 78.8 percent in October, the Cologne, Germany-based carrier said.

Chilean carrier to buy four 767s

Chile’s largest airline says it is purchasing four Boeing 767 aircraft for $636 million. LAN Airlines SA has told the stock regulation agency that the accord signed with Boeing includes an option for the purchase of two more similar aircraft in 2013.

Boeing contract talks extended

Contract talks covering nearly 21,000 Boeing Co. engineers, scientists and technical workers have been extended because of unresolved economic and other issues. Boeing negotiators were planning to issue the company’s best and final offer to the Society of Professional Engineering Employees in Aerospace on Tuesday. Late Monday, both sides said it would take until at least today to complete the talks.

EARNINGS

InterContinental, TJX see profits fall

> TJX, which operates the T.J. Maxx and Marshalls stores, said profit slipped 5 percent ($235.8 million or 54 cents per share) as unfavorable exchange rates and a tough economy crimped results for the discount fashion retailer.

> InterContinental Hotels Group PLC, the owner of the Holiday Inn hotel chain, reported a 28 percent fall ($91 million) in net profit and warned that there had since been a sharp deterioration in market conditions.

FINANCIAL

Exclusive club files for bankruptcy

A spokesman for the Yellowstone Club says the exclusive resort for the super-rich has filed for bankruptcy after failing to secure financing for an expansion. The members-only club in Montana’s Gallatin Mountains boasts a private ski hill and golf course and counts former Vice President Dan Quayle and Microsoft co-founder Bill Gates among its members.

Libor lowest since 2004

The London interbank offered rate, or Libor, that banks charge each other for three-month loans in dollars dropped to the lowest level since October 2004. The rate slid 6 basis points to 2.18 percent, the lowest level since Oct. 29, 2004, according to British Bankers’ Association data. It was the 22nd consecutive decline.

GAMBLING

Las Vegas Sands prices offering

Las Vegas Sands has priced a public offering of 181.8 million common shares at $5.50 each in a move to raise $1 billion. It also is selling preferred stock and warrants to the family of Chairman and CEO Sheldon Adelson, as the troubled casino operator struggles to avoid defaulting on $5.2 billion worth of debt. In addition, the Las Vegas-based company is selling nearly 5.2 million preferred shares and warrants to buy 86.6 million common shares at $6 each.

GOVERNMENT

Costa Rica finally approves CAFTA

Costa Rica is finally ready to join the Central American Free Trade Agreement. The country signed the accord in 2004 along with the rest of Central America, the United States and the Dominican Republic. But its implementation has been stalled for four years by opposition lawmakers.

China reports trade surplus up

China’s trade surplus set a new record in October but export growth weakened, adding to pressure on the economy as Beijing launches a multibillion-dollar stimulus package, according to data. China’s October global trade gap swelled by 30 percent to $32.5 billion, hitting a new high for a third straight month, the national customs agency reported. The surplus with the United States rose 13.6 percent to $17.5 billion, while that with Europe rose 12.2 percent to $15.6 billion.

LAYOFFS

Volvo to cut 1,000 jobs worldwide

Swedish truck and bus maker Volvo AB said it will lay off 1,000 staff at its powertrain unit in Sweden and the United States as the global financial crisis continues to weigh on the demand for heavy vehicles. The layoffs will affect 900 workers in the Swedish cities Skovde, Goteborg and Koping, as well as 100 in Hagerstown, Md.

Altria to cut jobs amid uncertainty

Altria Group has started to cut jobs to alleviate the risk from the widespread economic turmoil. A spokesman declined to say how many cuts would be made. Richmond, Va.-based Altria owns Marlboro-maker Philip Morris USA. A spokesman confirmed the cuts and said the company is deciding how many cuts it will make between now and February.

White & Case fires 70 lawyers

White & Case, the New York-based law firm with about 2,400 attorneys, fired 70 lawyers and 100 staff members in anticipation of “a significantly weakened global economy” next year and because of a slowdown in attrition. The firm expects a “strong 2008” and is “exercising prudent business judgment” by reducing legal and non-legal staff worldwide by about 3 percent or telling employees they are at risk of being fired, White & Case said.

LEGAL

Callaway wins patent lawsuit

Callaway Golf said it has won a court order permanently halting sales of Acushnet Co.’s Titleist Pro V1 golf balls, which Callaway argued infringed on patents that it holds. Carlsbad, Calif.-based Callaway said the U.S. District Court in Wilmington, Del., has granted the company’s request for a permanent injunction on sales of Acushnet’s current line of the Titleist Pro V1 balls, effective no later than Jan. 1. At Callaway’s request, professional golfers will be allowed to use the balls through the end of this year.

MEDIA

Two newspapers may shut down

The publisher of The Herald of New Britain and the Bristol Press has told employees that the two Connecticut newspapers could go out of business by January unless buyers step forward. Both daily newspapers, which date back to the late 1800s, are owned by the Journal Register Co. Edward Gunderson, publisher of The Herald and the Press, told staff in a memo that “in the event that there is no buyer, then we anticipate the facility will be shut down.”

RESTAURANT

Starbucks delays expansion plans

Starbucks Corp. Chief Executive Officer Howard Schultz backed away from his goal of opening 40,000 stores after the world’s largest chain of coffee shops reported fourth-quarter profit that plunged 96 percent. Sales at stores open at least 13 months, a key measure of retail performance, declined 8 percent in the United States, more than Starbucks expected, as consumers paying higher gasoline and grocery prices cut back on premium coffee.

RETAIL

Shoppers remain leery in November

The nation’s consumers —- spooked by mounting layoffs and dwindling retirement funds —- continued to keep their wallets closed into November, according to a key measure of retail sales. According to the International Council of Shopping Centers-Goldman Sachs Index, same-store sales dropped 1 percent for the week ended Saturday compared with the previous week.

Wal-Mart links with Army Reserve

Wal-Mart Stores Inc. has signed on to an Army Reserve program that allows the company and the Army to work together to recruit and train people interested in serving in the military and working for the giant retailer. Wal-Mart, the world’s largest private employer, has more than 1.4 million U.S. employees.

SUGAR

Florida revises deal with cane producer

The state of Florida has agreed to pay the nation’s biggest producer of sugar cane $1.34 billion under a revised deal to obtain vast tracts of farmland to restore the Everglades. The amount to be paid U.S. Sugar is significantly less than the $1.75 billion price tag initially projected for the state of Florida. The deal no longer includes the company’s high-tech mill, railroad lines or a citrus processing plant.

TECHNOLOGY

Google offers Gmail with video

Google Inc. is introducing new tools that will convert its free e-mail service into a video and audio channel for people who want to see and hear each other while they communicate. Activating the features will require a free piece of software as well as a Webcam, which are becoming more commonplace as computer manufacturers embed video equipment into laptops. Once the additional software is installed, Gmail users will be given the option to see and hear each other without leaving the e-mail application.