NEW YORK >> Earnings at big U.S. companies are on track to tumble 6.4 percent in the first quarter, the worst since the financial crisis. That also would be the third straight decline in profits while revenue is on pace to fall for the fifth quarter in a row.
Much of the blame lies in plunging oil prices and a sagging global economy. The beleaguered U.S. energy sector, which includes giants like Exxon Mobil and Chevron, is expected to report an overall loss, according to S&P Global Market Intelligence, something that hasn’t happened since the firm began collecting data in 1999.
Target criticized for transgender restrooms
NEW YORK >> Consumer backlash is growing against Target’s stance on what type of restrooms its transgender customers and employees can use.
Two weeks ago the Minneapolis-based retailer issued a statement that said customers and employees can use the restroom or fitting room that “corresponds to their gender identity.” The move made Target the first major retailer to take such a prominent position on the issue, and won praise from supporters of transgender rights. But Target’s position also has sparked criticism on social media.
One online petition started by a group called The American Family Association, a conservative Christian advocacy group, calls for a boycott of Target stores. And customer surveys from two research firms separately show that Target’s reputation has taken a hit.
Philips to launch IPO for lighting division
THE HAGUE, Netherlands >> Royal Philips NV announced Tuesday that it is spinning off its lighting division in an initial public offering so it can focus on its future as a health technology provider.
The listing on Amsterdam’s Euronext exchange will involve the company selling at least 25 percent of its stock in Philips Lighting, which had sales of $8.7 billion in 2015, Philips said. Philips aims to sell the remaining shares in its lighting division over the coming years. The price of the stock and timing of the IPO were not announced.
J&J ordered to pay $55M in cancer suit
ST. LOUIS >> Johnson & Johnson has been ordered to pay $55 million to a woman who claims its talcum powder caused her ovarian cancer, the second such judgment against the manufacturer in three months.
The ruling in St. Louis late Monday comes amid ongoing debate about the link between the bathroom staple and deadly disease that is often detected too late for treatment. Some studies suggest that women who regularly use talc face up to 40 percent higher risk of developing ovarian cancer. Meanwhile, New Jersey-based Johnson & Johnson cites other medical evidence showing its products such as Johnson’s Baby Powder and Shower to Shower are blameless.
Tampa Bay Times purchases main rival
ST. PETERSBURG, Fla. >> Florida’s largest newspaper, The Tampa Bay Times, said Tuesday it has purchased its main competitor, the Tampa Tribune, ending a decades-long newspaper rivalry.
Times chairman and CEO Paul Tash said he intends to create one financially secure, locally owned daily newspaper in the Tampa Bay region. Tash did not disclose the purchase price.
The Times bought the paper from Revolution Capital Group, which bought the Tribune in 2012 for $9.5 million.
MetLife fined $20M for annuities switches
WASHINGTON >> MetLife has been fined $20 million for misleading customers in switching them from variable annuities contracts into more expensive ones.
The Financial Industry Regulatory Authority said Tuesday the decision was its largest fine related to variable annuities, popular yet complex investments that have grabbed the attention of regulators in recent years.
FINRA also ordered MetLife Securities Inc. to return $5 million to customers “for making negligent material misrepresentations and omissions” on applications for switching into new variable annuities contracts. Tens of thousands of customers were affected, the regulators said.
On the Move
HomeStreet Bank has promoted Lynn Ruth to assistant vice president and branch manager for its Pearl City Branch on Kaahumanu Street. She has more than 25 years’ experience in banking and credit union operations, including joining HomeStreet Bank in 2002 and serving as personal banker and most recently business development officer for Oahu.
Bank of Hawaii has promoted Margaret Dang to executive vice president and director of experience from senior vice president and manager of the Employee and Client Experience Group. She has 29 years‘ experience working in BOH and held a variety of management positions in the Human Resources Division, including quality and staff development manager.
