Supervalu makes cuts
Supervalu, the parent company of Save-A-Lot stores in Akron, said it is cutting 700 positions at grocery stores at a subsidiary in New England, two weeks after it posted a loss for the second quarter and said it was considering selling the company.
The company said Friday that the job cuts will take place at 169 Shaw’s and Star Market stores. Shaw’s, with about 17,000 staffers, is one of the oldest supermarkets in the U.S., dating to the 1860s.
Supervalu Inc., based in Eden Prairie, Minn., fired its CEO in July after closing stores and suspending its dividend. Supervalu has about 125,000 employees overall.
TIRE & RUBBER
Cooper profits up
Cooper Tire & Rubber Co. reported record third-quarter profit that exceeded analysts’ estimates. The Findlay-based company’s stock is up about 44 percent this year. The second-largest U.S. tire maker posted a fourfold jump in quarterly net income to $74.1 million, or $1.17 a share, from $17.3 million, or 27 cents, a year earlier.
The average of six estimates compiled by Bloomberg was for per-share profit of 83 cents. Cooper said its third-quarter results benefited as tire sales rose and its raw-material costs fell 13 percent from the previous three months.
Meggitt sees slowdown
Meggitt Plc, the largest provider of wheels and brakes for combat aircraft, said it expects revenue growth to slow next year even as support sales in commercial aerospace should start picking up. The company has wheel and brake operations in Akron.
Meggitt expects “mid-single digit” percentage growth in 2013, compared with about 10 percent this year, the British-based company said.
The confirmed outlook for 2012 reflects the first full year inclusion of revenue from Pacific Scientific Aerospace, maker of generators and electronic motors for aircraft and the disposal of an environmental control unit that generated $20 million in sales last year.
Meggitt said it is starting to see the effects of lower sales from reducing U.S. military activities in Iraq and Afghanistan. In the trading statement covering July through October, the company said it also had to cope with “ongoing aftermarket softness” and the appreciation of the Swiss franc.
Sales to commercial aircraft makers are “very encouraging,” the company said, with Airbus SAS and Boeing Co. pushing output to record levels. Higher aircraft utilization rates also suggest “a resumption of aftermarket growth during 2013,” the company said.
The stock has risen 9 percent this year with its market value of shares times share price showing $4.9 billion.
The Pentagon said on Nov. 1 that Meggitt received a $9.5 million contract to exercise a contract option for wheel assembly brakes and other items.
FTC ends Rachel calls
“Rachel from Cardholder Services” may not be calling you anymore. A federal court order temporarily halted operations at five telemarketing firms that the Federal Trade Commission said illegally dialed up consumers with millions of prerecorded messages — often saying they were from “Rachel.”
“ ‘Rachel from Cardholder Services’ is public enemy No. 1,” FTC Chairman Jon Leibowitz said in a statement. The FTC receives 200,000 complaints a month about robocalls. The agency has shut down companies responsible for 2.6 billion telemarketing calls since such calls were outlawed in 2009, but that’s a drop in the bucket, FTC said.
The agency says it can’t trace or block about 59 percent of phone spam because the calls route through a tangle of automatic dialers, caller ID spoofing and voice-over-Internet protocols.
The problem is so bad that earlier this month the FTC offered a $50,000 prize to anyone who could come up with a way to stop telephonic spam. The contest runs until Jan. 17.
The FTC said the “Rachel” telemarketing companies, all based in Arizona and Florida, told consumers that they could drastically reduce their credit card interest rates if they paid initial fees.
Compiled from staff and wire reports