BUSINESS BRIEFS
Takeover rumors drive up French bank's shares
Associated Press
PARIS — Shares of Societe Generale SA, France's second-biggest bank, rose the most in five years in Paris trading on speculation that BNP Paribas SA is considering a takeover.
BNP, the country's largest bank, is holding preliminary internal discussions about a possible bid after Societe Generale's announcement last week $7.2 billion of losses from unauthorized bets, the Wall Street Journal reported. First Hawaiian Bank is a unit of San Francisco-based BancWest Corp., which is owned by BNP Paribas.
Traders speculated that President Nicolas Sarkozy's government is seeking a French partner for the bank to ward off any potential foreign bids. Prime Minister Francois Fillon told Parliament yesterday that the government will ensure that Societe Generale remains in French hands.
GOOGLE'S PROFIT MISSES THE MARK
SAN FRANCISCO — Google Inc.'s fourth-quarter profit missed analyst expectations, signaling the crumbling U.S. economy has dented the Internet search leader's moneymaking machine.
The Mountain View-based company said yesterday that it earned $1.21 billion, or $3.79 per share, during the final three months of 2007. That's up 17 percent from net income of $1.03 billion, or $3.29 per share, in the same period a year earlier.
If not for stock awards given to its employees, Google said it would have made $4.43 per share — a penny below the average estimate among analysts polled by Thomson Financial.
CONSUMERS CUT BACK ON SPENDING
WASHINGTON — Buffeted by soaring fuel prices and tighter credit, consumers increased their spending at the weakest pace in six months. In other signs of trouble, applications for unemployment benefits last week soared by the largest number since Hurricane Katrina.
The Commerce Department reported yesterday that consumer spending edged up just 0.2 percent in December — the year's peak shopping season. That was down sharply from a 1 percent gain in November.
Meanwhile, the Labor Department reported that the number of laid-off workers filing applications for unemployment benefits increased by 69,000 to 375,000 last week.
ANHEUSER-BUSCH PROFIT UP 12%
ST. LOUIS — Anheuser-Busch Cos. Inc., the nation's largest brewer, said yesterday that a resurgence in beer sales helped push its profit up 12 percent in the fourth quarter.
The maker of Budweiser, Bud Light and other beers earned $214 million, or 29 cents per share, in the three months ended Dec. 31, up from $191 million, or 25 cents per diluted share, in the same period in 2006.
Net sales after excise taxes are deducted rose 8 percent to $3.7 billion from $3.4 billion.
While the sales climbed overall in 2007, Anheuser-Busch's core brands of Budweiser and Bud Light continue to lag, said Benj Steinman, publisher of Beer Marketer's Insights.
Growing overseas sales and revenues from imports that Anheuser-Busch distributes are the only forces driving up sales, he said.
HIGHER SALES, COST CUTS, PROFIT P&G
CINCINNATI — Consumer products maker Procter & Gamble Co. said yesterday its earnings rose 14 percent in its fiscal second quarter as strong sales growth and cost-cutting measures more than offset higher commodity costs.
The results prompted the company — which manufacturers products including Tide detergent, Olay skin care and Gillette shavers — to raise its outlook for the full year.
P&G also said it will separate its coffee business into an independent company.
Cincinnati-based Folgers Coffee Co., which had sales of about $1.6 billion in 2007, will employ about 1,250 employees at four sites in the United States.
