IN BRIEF (Page 17)

AT&T jumps

AT&T Inc, the biggest US phone company, said fourth-quarter profit jumped 62 percent on savings from its $86 billion BellSouth Corp acquisition and sales of wireless handsets such as the iPhone.

Net income rose to $3.14 billion, or 51 cents a share, from $1.94 billion, or 50 cents, a year earlier, San Antonio-based AT&T said yesterday.

Defense firm rises

Lockheed Martin Corp, the world's largest defense company, said fourth-quarter profit rose 9.6 percent, beating analysts' estimates as increased sales of government computer services made up for lower deliveries of F-16 aircraft. The company raised its 2008 earnings forecast.

Net income rose $799 million, or $1.89 a share, from $729 million, or $1.68, a year earlier, Bethesda, Maryland-based Lockheed said in a statement yesterday. Sales were unchanged at $10.8 billion.

Lennar's loss

Lennar Corp, the largest US homebuilder, reported its third straight quarterly loss after a slump in demand reduced the value of real estate.

The net loss amounted to $1.25 billion, or $7.92 a share, in the fiscal fourth quarter ended Nov 30, the Miami-based company said yesterday in a statement. That compares with a loss of $195.6 million, or $1.24, a year earlier. Revenue fell 49 percent to $2.18 billion.

Hershey falls

Hershey Co, the largest US candy maker, said fourth-quarter profit plunged 65 percent after it cut jobs to counter higher dairy costs and a decline in market share.

The maker of Hershey chocolate bars unexpectedly forecast that earnings in 2008 will fall.

Net income declined to $54.3 million, or 24 cents a share, from $153.6 million, or 65 cents, a year earlier, the Hershey, Pennsylvania-based company said yesterday.

'Wishful thinking'

European Central Bank council member Axel Weber said investors' bets that the ECB will cut interest rates later this year may be "wishful thinking".

"We have a positive economic outlook and as long as that doesn't change I would say that rates are still on the accommodative side and in no way restrictive," Weber in Davos, Switzerland, yesterday. "There may be a certain wishful thinking" priced into investors' rate forecasts.

Target reached

Allianz SE, Europe's biggest insurer, said it reached its full-year profit target of 8 billion euros for 2007.

"Operating profit increased to more than 10.8 billion euros," the Munich-based insurer said in a statement distributed by the DAGP newswire yesterday. Allianz's banking unit had an operating loss of 450 million euros amid writedowns of 900 million euros on structured products.

Fiat up

Fiat SpA, Italy's largest manufacturer, boosted fourth-quarter profit 26 percent as it grabbed a greater share of the European car market and sold more trucks and tractors. The shares rose the most in six years.

Net income advanced to 570 million euros from 452 million euros a year earlier, Turin, Italy-based Fiat said yesterday in a statement. Profit beat the 545 million-euro median estimate of analysts surveyed by Bloomberg News. Sales gained 14 percent to 15.8 billion euros.

Price expectations

BASF SE, the world's largest chemicals maker, expects raw-material prices to increase this year and said the credit crisis in the United States hasn't yet affected its business there.

"We are growing - that's positive - and growth means commodity prices won't get cheaper," Chief Executive Officer Juergen Hambrecht said in an interview at the World Economic Forum in Davos, Switzerland yesterday.

Agencies

(China Daily 01/25/2008 page17)