Ford plans to pay back $4 billion of its debtFord Motor Co., the only Detroit automaker to avoid bankruptcy protection, said it will reduce its huge debt by another $4 billion as it continues to show signs of financial strength. The Dearborn, Mich., automaker will pay $3.8 billion in cash to a United Auto Workers trust fund that pays retiree health care bills, and it will pay out $255 million in dividends on preferred securities that had been deferred as the automaker worked its way through financial troubles. The company now will make quarterly payments on the securities.
Woot's deal of the day: Itself, to AmazonAmazon.com Inc. has agreed to purchase Woot, a website that sells just one product each day. In a joke-laden message on the company blog, Woot CEO Matt Rutledge said the deal won't change how the site is run -- "with a wall of ideas and a dartboard." Financial terms were not disclosed. Amazon spokesman Craig Berman said the deal will be final by the end of September. The purchase of Woot -- with its jocular product descriptions and focus on selling one product every 24 hours -- may indicate that Amazon is interested in using quirkier methods to reach customers.
Rising exports boost Japan's manufacturersMajor Japanese manufacturers -- riding high from a booming Asia -- haven't felt this good in two years. A key central bank report showed business confidence among Japan's biggest manufacturers improved for a fifth straight quarter, thanks to a global recovery that has bolstered demand for the country's exports. The Bank of Japan's quarterly "tankan" survey of business sentiment showed the main index for large manufacturers stood at 1. Three months ago it hit minus 14.
Toyota reports faulty enginesToyota Motor Corp. said Thursday about 270,000 vehicles sold worldwide, including Lexus sedans, have faulty engines, but it did not say whether it would recall the autos. The world's biggest automaker said the defective engines could stall while the vehicles were moving. About 180,000 of the autos were sold outside of Japan. They include luxury Lexus sedans and popular Crown models. Kyodo News agency and Fuji TV, without giving sources, said Toyota would recall 270,000 vehicles.
Microsoft dropping its Kin phoneJust 48 days after Microsoft began selling the Kin, a smart phone for the younger set, the company discontinued it because of disappointing sales. "It's an absolute failure," said Charles S. Golvin, an analyst with Forrester Research. It was a swift turnabout for the Kin, which Microsoft took two years to develop and whose release was backed with a hefty ad budget. The Kin was aimed at young users and emphasized access to social networks like Facebook and Twitter.
Boeing to buy combat engineering firm ArgonBoeing Co. is buying combat engineering firm Argon ST Inc. for about $775 million, reflecting a shift by defense contractors seeking to accommodate a Pentagon that now wants high-tech intelligence tools as much or more than big guns and heavy armor. The Pentagon is cutting some big weapons meant for conventional wars out of the budget while it shops for technology better suited to fight against shadowy insurgent groups in places like Iraq and Afghanistan.
Biotech firm Celgene to buy cancer-drug firmBiotechnology company Celgene Corp. said it is expanding its array of cancer treatments with a deal to buy Abraxis BioScience Inc. for $2.9 billion in cash and stock. Celgene, based in Summit, N.J., said the transaction could add $1 billion to its annual sales by 2015. The company is hoping it will be able to "re-energize" sales of Abraxis' only approved drug, the breast cancer treatment Abraxane, and also win approval for Abraxane as a treatment for skin, lung, and pancreatic cancer.
FROM NEWS SERVICES
