BUSINESS BRIEFS
House OKs extra jobless benefits in embattled plan
Associated Press
WASHINGTON — The House yesterday approved an extra three months of jobless benefits for all unemployed Americans, knowing the plan's chances are slight in the Senate and almost nonexistent at the White House.
After failing to get a veto-proof two-thirds margin by three votes on Wednesday, Democrats got an exact two-thirds margin yesterday with a 274-137 vote — the amount needed to overcome a threatened presidential veto.
The Labor Department reported yesterday that the number of people filing new claims for unemployment benefits last week increased by 25,000 from the week before. The unemployment rate in May jumped to 5.5 percent, up from 5 percent in April. It was the biggest one-month gain in 22 years.
But the White House already has threatened to veto the bill, and Senate Democrats have said they won't try and force their Republican colleagues to consider the House legislation.
YAHOO ABANDONS MICROSOFT HOPES
SAN FRANCISCO — Yahoo Inc.'s efforts to revive takeover talks with Microsoft Corp. have reached a dead end, setting the stage for the Internet pioneer to turn over a piece of its advertising platform to online search leader Google Inc.
The news disclosed yesterday caused Yahoo shares to plunge 10 percent as investors abandoned hope that Microsoft would renew a nearly five-month quest to buy the Sunnyvale-based company.
Yahoo later announced it had hired Google to sell some online ads in hopes of boosting its profit.
While a stock sell-off is never welcome news for any company, Wall Street's disenchantment comes at a particularly bad time for Yahoo and its board of directors.
Yahoo is trying to fend off a shareholder mutiny led by activist investor Carl Icahn, who has vowed to replace the company's board because of the way the directors handled the Microsoft negotiations.
LEHMAN BROTHERS FIRES 2 TOP EXECS
NEW YORK — Lehman Brothers Holdings Inc. shook up its management yesterday, removing two top executives in a concession that attempts to quell Wall Street anger over recent losses have failed.
The nation's fourth-largest investment bank said Chief Financial Officer Erin Callan and Chief Operating Officer Joseph Gregory have been removed from their positions, days after the investment bank announced a $3 billion quarterly loss.
Investors were shaken after the company disclosed Monday it needed $6 billion of fresh capital to offset that loss, its first since going public in 1994.
STIMULUS CHECKS BOOST RETAIL SALES
WASHINGTON — Retail sales jumped by the largest amount in six months in May as 57 million economic stimulus payments helped offset the headwinds buffeting consumers.
The Commerce Department reported yesterday that retail sales soared 1 percent last month, the biggest increase since November.
A wide variety of retailers enjoyed a good month, including the biggest increase at department stores and other general merchandise stores in a year.
EXXON MOBIL TO QUIT RETAIL GAS
HOUSTON — Exxon Mobil is getting out of the retail gasoline business, a market where profits have gotten tougher because of high crude oil prices.
The world's largest publicly traded oil company said yesterday it will sell its 820 company-owned stations and another 1,400 outlets operated by dealers to gasoline distributors across the U.S.
The Irving-based company didn't disclose financial details but said the transition will take place over a number of years.
ACTORS BRACE FOR SLOW NEGOTIATIONS
LOS ANGELES — The Screen Actors Guild says negotiations with Hollywood studios could extend beyond June 30, the day its contract is set to expire.
SAG executive director Doug Allen said in a e-mail yesterday to The Associated Press the union is hoping for an agreement soon but is prepared to keep negotiating into July.
The union has yet to call for a strike authorization vote by members.
