Stocks waver…Coal bankruptcy…Sears adds restructuring expert
NEW YORK (AP) – Stocks have been wavering today between small losses and gains, with the market nearly even split between winners and losers. Raw-material producers sank sharply on worries that higher costs and weakening demand are eroding profits. But energy stocks climbed with the price of oil, and technology stocks recovered some of the sharp losses caused by last week’s rapid rise in interest rates. Treasury yields dipped in this week’s first day of bond trading following a holiday on Monday.
HELENA, Mont. (AP) – One of the oldest coal companies in the U.S. has filed for bankruptcy to deal with steep debt amid declining world demand. Englewood, Colorado-based Westmoreland Coal Co. filed for Chapter 11 bankruptcy protection Tuesday in U.S. Bankruptcy Court in Houston. Company officials say in a statement the filing is part of a restructuring agreement with an unnamed group of lenders. Company officials say operations won’t be interrupted and there are no expected staff reductions.
NEW YORK (AP) – Sears is adding a restructuring expert to its board, suggesting that the company may be preparing to take drastic actions to survive or to protect its remaining assets. The Hoffman Estates, Illinois, company, which also owns Kmart, said Tuesday it was bringing on board Alan Carr, managing member and CEO of Drivetrain LLC, a restructuring advisory firm. Sears said he has significant experience as a principal, investor and adviser leading complex financial restructurings.
JERUSALEM (AP) – Israeli Prime Minister Benjamin Netanyahu has nominated a University of Pennsylvania business school professor to be the next chief of Israel’s central bank. Netanyahu said Tuesday that Amir Yaron is “the most qualified for the position of Bank of Israel governor” and is “considered one of the world’s experts in financial economics.” Yaron, an Israeli national, is a professor of banking and finance who has taught at the Wharton School since 2009.
SEATTLE (AP) – Starbucks’ U.S. employees have a new benefit: subsidized backup care for children and adults. The company says employees will get up to 10 backup care days each year to use when regular care is unavailable. More than 180,000 employees will be eligible. In-home backup care for kids or adults will cost employees $1 per hour. Care in a childcare center costs $5 per day. Starbucks is partnering with Care.com, a company that connects people to caregivers. Starbucks will also offer its employees free senior care planning through Care.com.