US-BUSINESS Summary
Stocks could sputter with Black Friday eyed
NEW YORK - U.S. stocks could sputter next week as volumes dry up in holiday-shortened trading and with a slew of economic reports likely to illustrate the recovery is still fragile. Investors will also get a glimpse of how holiday shopping could shape up with Black Friday, which traditionally marks the start of the season as retailers slash prices to tempt shoppers. It will be difficult for the economic recovery to make much headway without a pick-up in consumer spending as it accounts for two-thirds of the economy.
Nestle may consider a bid for Cadbury: report
ZURICH bid by Kraft Foods Inc <KFT.N> and a potential move by Hershey <HSY.N>, Bloomberg reported on Sunday. Nestle is still weighing its options and may decide against a bid, Bloomberg said, citing two unnamed people with knowledge of the matter.
Ciena takes Nortel unit auction to 2nd day: sources
NEW YORK - The auction for Nortel Network's optical networking and carrier ethernet business went into a second day on Saturday, after Ciena <CIEN.O> called for a break in the auction late on Friday, two sources said. Last month Nortel Networks Corp, the bankrupt Canadian telecommunications equipment maker, said that Ciena's cash-and-stock bid, worth some $526 million, would be the stalking horse offer for these assets.
Hershey mulls $17 billion solo bid for Cadbury: source
PHILADELPHIA - U.S. chocolate maker Hershey Co <HSY.N> is considering launching a bid of at least $17 billion for British chocolatier Cadbury Plc <CBRY.L> as it seeks to trump a hostile offer by Kraft Foods Inc, a source familiar with the matter said on Friday. Hershey has lined up deal funding from Bank of America <BAC.N> and JP Morgan Chase & Co <JPM.N> to make a solo offer for Cadbury, but is also still weighing a joint bid with Italy's Ferrero Spa, the source said.
Bank of America CEO Lewis may delay retiring: report
NEW YORK - Bank of America Corp <BAC.N> Chief Executive Kenneth Lewis has said he would consider postponing his retirement if directors need more time to find a successor or smooth the transition to the next CEO, the Wall Street Journal reported on Friday. Citing a person close to the executive, the newspaper said Lewis's willingness to stay at the Charlotte, North Carolina-based bank beyond his planned December 31 retirement date is the latest sign of the difficulties directors have faced in finding a replacement.
GE-Vivendi talks over NBC Universal stalled: report
NEW YORK - Talks between General Electric <GE.N> and Vivendi <VIV.PA> over the future of NBC Universal have stalled, the New York Times reported on Friday night. Citing people involved in the discussions, the newspaper said the two sides appear to be at least $500 million apart on how to value NBC Universal, which GE is hoping to sell to Comcast <CMCSA.O>, the cable television company.
Time Warner, News Corp reported interested in MGM
NEW YORK - News Corp, Time Warner Inc and Qualia Capital LLC are interested in buying Hollywood's Metro-Goldwyn-Mayer film studio, home of the James Bond movies, Bloomberg News reported on Friday. Citing people with knowledge of the situation, the report said the companies have not yet examined the studio's finances and their level of interest will depend on price.
U.S. Q3 seen revised down on widening trade deficit
WASHINGTON - The U.S. economy's return to growth in the third quarter was less brisk than previously thought as the trade deficit worsened and companies still aggressively cut inventories, a Reuters survey predicted. The poll of 66 economists forecast real gross domestic product growth would be revised down to an annualized rate of 2.9 percent from the 3.5 percent pace reported by the government last month.
Paulson's golden investors have to commit $10 million
BOSTON - Investors tempted to put money into star hedge fund manager John Paulson's new gold portfolio will have to commit at least $10 million and leave the money locked up for at least one year, according to a prospectus. In return, Paulson & Co, one of the world's biggest and most successful hedge fund firms, says it can deliver returns that top gold prices, at a time analysts are betting that rising demand will make the metal even pricier.
Black Friday deals may not signal retail comeback
CHICAGO - When the U.S. holiday shopping season kicks off on the day after Thanksgiving, retailers can expect to see millions of less frightened but even more bargain hungry customers cross their thresholds. Industry experts expect a strong turnout on Black Friday, which falls on November 27 this year, as deep discounts lure shoppers after more than a year of subdued spending. But they caution it will not mean a bumper holiday season in the weeks leading up to Christmas since consumers still remain cautious.