News of job cuts drives Dow down
NEW YORK - News of layoffs at Motorola sent the stock market down sharply Friday as investors grew more pessimistic about the prospects of a quick turnaround for the economy and company earnings.
Pharmaceutical and financial stocks advanced, but not enough to offset the broader downturn that began early on reports Dell Computer was also pondering layoffs.
"The focus is on the near term," said Robert Streed, portfolio manager at Northern Select Equity.
The Dow Jones industrial average closed down 99.10 at 10,781.45, a nearly 0.8 percent loss for the week. The Nasdaq composite index was pushed down 91.09 to 2,470.97, a 7.1 percent weekly loss.
The Standard & Poor's 500 index fell 17.77 to 1,314.76, ending the week down 2.6 percent. All three major indexes are now within a handful of points of where they started 2001.
Court rejects Delta rehearing
ATLANTA - The 11th U.S. Circuit Court of Appeals on Friday denied a request by the Air Line Pilots Association to rehear a three-judge panel's opinion that Delta Air Lines Inc. is entitled to an injunction against pilots who have stopped requesting overtime.
The previous ruling, delivered Jan. 18, instructed U.S. District Judge Willis Hunt Jr. to grant Delta the injunction. But its practical effect remains unclear because the pilots' contract classifies overtime as voluntary.
Judge Hunt's courtroom deputy said the judge would address the issue next week.
British company will buy Barney
LONDON - Barney, the chubby purple dinosaur loved by millions of children, will be bought by the British.
In a union of preschool heavyweights, Britain's HIT Entertainment PLC announced Friday that it will acquire Allen, Texas-based Lyrick Corp., home of Barney, for $275 million.
The deal is expected to help London-based HIT expand the international presence of its characters, including Kipper the Dog, Angelina Ballerina the dancing mouse and stubby construction worker Bob.