BUSINESS BRIEFS
Oil prices fall to lowest level since April, at $107.89
Associated Press
NEW YORK — Oil prices closed at their lowest level in five months yesterday as a lower-than-expected drop in U.S. gasoline supplies gave traders more reason to believe that a cooling economy is forcing Americans to drive less.
Light, sweet crude for October delivery fell $1.46 to settle at $107.89 a barrel on the New York Mercantile Exchange. It was the lowest settlement price for a front-month contract since April 4.
Crude prices have fallen for five straight sessions, extending an almost two-month slide as traders shift their attention away from supply-threatening storms and back toward a stronger dollar and evidence of falling demand.
COMCAST APPEALS FCC WEB RULING
WASHINGTON — Comcast Corp. is appealing an FCC ruling that the company is improperly blocking customers' Web traffic, triggering a legal battle that could determine the extent of the government's authority to regulate the Internet.
In a precedent-setting move, a divided Federal Communications Commission last month determined that the company is violating a federal policy that guarantees unfettered access to the Internet.
Comcast challenged the FCC decision yesterday in the U.S. District Court of Appeals in Washington.
TOLL BROTHERS SAYS 3RD QT WAS A LOSS
LOS ANGELES — Toll Brothers Inc. said yesterday it swung to a loss in its fiscal third quarter as weak demand for new homes forced the luxury builder to mark down the value of its land and unsold homes.
But Chief Executive Robert Toll said he is seeing signs the market is stabilizing — the company had the lowest contract cancellation rate in more than two years, and more buyers are putting down deposits.
The Horsham, Pa.-based builder lost $29.3 million, or 18 cents a share, in the three months that ended July 31. That's a reversal from a profit of $26.5 million, or 16 cents a share, in the year-ago quarter.
YAHOO STOCK SINKS $1.01 TO 5-YEAR LOW
SAN FRANCISCO — Yahoo Inc.'s stock sank to its lowest level in nearly five years yesterday, magnifying the challenge facing the Internet company as its management tries to justify its rebuff of Microsoft Corp.'s $47.5 billion takeover bid.
Shares plunged $1.01, or 5.4 percent, to close at $17.75 — a price unseen since October 2003.
The downturn left Yahoo's market value nearly $13 billion below what shareholders would have received if the Sunnyvale-based company had accepted Microsoft's takeover offer of $33 per share in May. Microsoft sweetened the offer after Yahoo repeatedly rejected an initial bid of $31 per share made in January.
Yahoo's demands for more money eventually drove Microsoft away, angering many shareholders now worried that the company won't be able to push the stock price back above $30 anytime soon.
MEDIATOR TALKS TO BOEING, UNION
SEATTLE — Representatives from Boeing Co. and the machinists union met with a federal mediator yesterday as the clock ticked on an unusual two-day contract extension after union production workers soundly rejected a contract offer and voted to strike.
Members of the union representing 27,000 aircraft assembly workers at the aerospace giant voted overwhelmingly Wednesday to strike for an unprecedented second time in three years, then learned both sides had agreed to a 48-hour contract extension at the request of Washington Gov. Chris Gregoire and federal mediators.
Boeing spokesman Tim Healy said yesterday that the mediator was trying to help the two sides find middle ground, but he had no information on the progress of the talks.
Union spokeswoman Connie Kelliher said its representatives would not comment on the talks while they are under way.
