BUSINESS BRIEFS
Wilmington first to go all digital
Associated Press
WASHINGTON — Residents of Wilmington, N.C., will soon become laboratory rats in the nation's transition to digital TV.
The Federal Communications Commission plans to make the greater Wilmington area a digital-TV test market to work out any bugs before the entire nation goes all digital on Feb. 17.
All four commercial broadcasters in the Wilmington region — with a population of about 400,000 — have agreed to turn off their analog signals and broadcast in digital only starting Sept. 8.
BORROWING SEES GAINS IN MARCH
WASHINGTON — Consumer borrowing rose in March at the fastest pace in four months, more than double the increase of the previous month, in what was seen as a sign of rising economic stress.
The Federal Reserve reported yesterday that consumers increased their borrowing at an annual rate of 7.2 percent, compared with a 3.1 percent rate of increase in February.
The gain was larger than economists had been expecting and reflected strong borrowing on credit cards and also in the category that includes auto loans. The increase in consumer debt totaled $15.3 billion at an annual rate in March.
FIRST-QUARTER PRODUCTIVITY UP
WASHINGTON — Worker productivity rose by a better-than-expected amount in the first three months of the year while labor cost pressures eased.
The Labor Department reported yesterday that productivity, the amount of output per hour of work, increased at an annual rate of 2.2 percent in the first quarter. That was slightly higher than the 1.5 percent increase that had been expected.
In a sign that inflation could be easing, labor cost pressures slowed a bit. Unit labor costs rose at an annual rate of 2.2 percent, down from a 2.8 percent rise in the final three months of last year.
OIL APPROACHES $124 A BARREL
NEW YORK — Oil futures extended their seemingly relentless advance yesterday, rising to a record high near $124 a barrel as investors captivated by the market's upward momentum looked past the government's report of an increase in crude and gasoline supplies. At the pump, gas prices rose for the first time since last week.
Light, sweet crude for June delivery hit a trading record of $123.93 in after-hours activity on the New York Mercantile Exchange after settling up $1.69 at a record close of $123.53 a barrel.
PENDING HOME SALES HIT NEW LOW
NEW YORK — Pending home sales dropped to a new low in March, an industry group said yesterday, signaling the housing slump has yet to bottom out even as the spring sell season gets under way.
The National Association of Realtors' seasonally adjusted index of pending sales for existing homes fell to 83.0 from a downwardly revised February reading of 83.8, the index's previous low. The index stood at 103.9 in March 2007.
Wall Street economists polled by Thomson/IFR had predicted the index would slip to a reading of 83.8.
TOYOTA INCREASES U.S. CAR PRICES
TOKYO — Toyota Motor Corp., the world's second-biggest automaker by annual vehicle sales, is raising its prices on some U.S. models later this month amid increased worries about its profit growth in the American market.
The price increases, which will start in the middle of May, include a hike of $200 on the 2008 Yaris sedan, boosting the cost of the base model to $12,425, with higher prices for models with extra features.
The 2009 Camry will go up $200, to $18,920 for a model without any extras, the automaker's U.S. unit said in a statement released Friday.
The base hybrid Camry, introduced as a 2007 model in late 2006, will cost $300 more, at $25,650, Toyota said.
