Companies to pledge help for long-term jobless

Lockheed Martin is among the companies that say they have signed on to best practices aimed at minimizing hiring discrimination against the jobless.

WASHINGTON (CNNMoney)

President Obama, in his State of the Union address Tuesday, is expected to announce the initiative, which will ask companies to sign on to "best practices" that will help minimize hiring discrimination against people who have been out of work for many months or longer.

Lockheed Martin, (LMT, Fortune 500) Xerox (XRX, Fortune 500), Deloitte and Siemens AG (SI) confirmed their pledges to CNNMoney. The White House didn't comment on the effort.

As the economy slowly recovers from the recession, the number of workers who have not found a job for at least six months or more has grown.

The causes of the long-term unemployment problem are complex, and discrimination hard to prove. But some researchers have found that discrimination plays a role. Some companies have even posted blatant job ads saying jobless need not apply.

Obama proposed in 2011 that Congress prohibit discrimination based on unemployment at companies with more than 15 workers. Bills were introduced in the Senate and House, but little progress was made.

Since then New Jersey, Oregon, the District of Columbia and New York City have all passed laws banning discrimination against the jobless.

The latest White House effort sidesteps gridlock in Congress, which has declined to extend federal benefits for millions of Americans losing extended unemployment insurance.

Life without benefits gets tougher for jobless

Labor experts and advocates for the unemployed question how enforceable or effective such a pledge would be.

"It's a great first step," said Maurice Emsellem, director of the Access and Opportunity Program at National Employment Law Project, which advocates for the unemployed. "It can't just be about voluntary compliance and fair standards. You have to go further than that."

-- CNN's Brianna Keilar contributed to this piece.

First Published: January 28, 2014: 9:19 AM ET

22.17 | 0 komentar | Read More

Stocks mixed as investors remain cautious

NEW YORK (CNNMoney)

The Dow and S&P 500 moved modestly higher in early trading, while the Nasdaq edged lower.

U.S. stocks fell Monday for a fifth consecutive day, continuing the slide from the previous week.

But for now, a sense of calm seems to be prevailing, as the currencies of some troubled emerging markets have stabilized. Investors are also tapping the brakes ahead of the Federal Reserve's policy announcement Wednesday.

Earnings season is in full swing: Shares of Apple (AAPL, Fortune 500), a prominent member of CNNMoney's Tech 30 Index, tumbled after the tech giant reported weaker-than-expected fourth quarter iPhone sales.

Pfizer (PFE, Fortune 500) bounced after the drugmaker reported better-than-expected earnings, though sales fell short of estimates.

Ford (F, Fortune 500) shares rose after the automaker topped earnings forecasts and said it would pay record profit sharing to its UAW members.

American Airlines Group (AAL), the child of the recently completed merger between American Airlines and U.S. Airways, reported a fourth quarter profit that beat estimates.

After the close, results are due from Yahoo (YHOO, Fortune 500).

Related: Fear & Greed Index swallowed by extreme fear

Emerging markets in turmoil: Emerging markets have returned to center stage over the past few days as protests and wild currency fluctuations led to a sweeping sell-off.

Turkey's central bank will hold an emergency meeting Tuesday afternoon in an effort to halt the lira's steep decline. And India surprised investors with a rate hike to combat rising prices.

Related: Is this an emerging markets crisis?

The turmoil has been sparked, in part, by the U.S. Federal Reserve's plans to reign in the flow of cheap money. The markets expect the Fed to announce a further cut to its bond-buying program Wednesday, which could prompt a withdrawal of cash from vulnerable emerging markets.

"With all this [turmoil] in the background and ahead of tomorrow's Fed policy meeting in which most in the market now expect a further reduction of the bond-buying program by $10 billion, it's a no-brainer that asset allocators around the world are shedding their emerging market holdings," said Ishaq Siddiqi, a market strategist at ETX Capital in London.

Related: CNNMoney's Tech30

In economic news, the Case-Shiller 20-city home price index rose slightly, signaling that the housing market remains strong but is showing signs of topping out.

European markets edged higher in afternoon trading while Asian markets ended mixed.

First Published: January 28, 2014: 9:46 AM ET

22.17 | 0 komentar | Read More

Home prices show signs of topping out

NEW YORK (CNNMoney)

The annual measure of home prices still increased 13.7% in November, but that was only narrowly better than the rise posted in October.

The housing recovery was one of the stronger aspects of the economy last year, boosting household wealth and home construction.

But with mortgage rates climbing steadily since hitting record lows in May, it's clear the housing recovery is starting to lose some steam.

"While housing will make further contributions to the economy in 2014, the pace of price gains is likely to slow during the year," said David Blitzer, chairman of the index committee at S&P Dow Jones Indices.

Calculator: How much house can you afford?

But housing experts say that more modest price increases are probably a good thing for the housing market. The rapid increases of the last year are not sustainable, they said.

"Sellers used to seeing huge price gains month after month may feel some whiplash as that slows down," said Stan Humphries, chief economist for sales tracker Zillow. But more modest price increases mean "the housing market is still a long way from normal, but it's getting there."

The Case-Shiller index chronicles prices across the nation's 20 largest metropolitan areas. Fourteen of those markets posted double-digit percentage gains over the last year, but only nine posted any month-over-month gain.

Related: Top 10 cities people are moving to

The improvement in housing was driven by pent-up demand for home purchases, combined with lower unemployment and a drop in foreclosures. Mortgage rates have been climbing steadily of late but remain low by historical standards, making housing prices far more affordable than they were at the height of the bubble last decade.

National prices are still nearly 20% below peak levels reached in mid-2006, according to Case-Shiller.

First Published: January 28, 2014: 9:15 AM ET

22.17 | 0 komentar | Read More

India pulling old money to fight counterfeiters

Counterfeit money is a growing problem in India.

LONDON (CNNMoney)

In a statement issued Thursday, the Reserve Bank of India said it will withdraw all banknotes issued before 2005 from the banking system by March 31. Banks will have to exchange the affected bills when requested.

Related: India headed for 8% growth

A spokesperson for the central bank, Alpana Killawala, told CNN the move will help feed newer and more secure banknotes into the financial system.

"There are many new features that didn't exist in those old notes," Killawala said. The central bank has called on the public "not to panic" and emphasized the affected banknotes are still legal tender.

Related: $1.2M gold haul found on a plane in India

The cash-reliant society has a rising problem with fake money.

A report published by the central bank last year found the number of counterfeit notes has jumped in recent years.

Central banks around the world are moving to introduce plastic currencies to boost protection against fraud. The U.K. will start issuing polymer banknotes in 2016.

More than 25 countries already use polymer bills, including Australia, Mexico and Canada. Plastic notes are more durable and are cheaper to produce over time.

--CNN's Elizabeth Joseph contributed to this report.

First Published: January 23, 2014: 8:28 AM ET

22.16 | 0 komentar | Read More

No. 1 Toyota fends off GM and VW in global sales race

A Toyota dealership in China, which is the world's largest market for car sales.

NEW YORK (CNNMoney)

On Thursday, Toyota (TM) reported it sold 9.8 million passenger vehicles, up about 2% from 2012 and just ahead of the 9.7 million cars and trucks sold at No. 2 General Motors (GM, Fortune 500) and 9.5 million sold at Volkswagen AG.

GM and VW both narrowed the gap with Toyota, however. GM reported a 4% gain in and VW's passenger car sales rose 5%.

Related: Top 10 luxury cars in China

Toyota also set a 2014 sales goal of 10.1 million passenger cars. It forecasts it sales in Japan to decline and its overseas sales to rise.

Still, Toyota has a large lead in Japanese sales over its global rivals. But it trails GM and VW in China sales and lags GM and Ford Motor (F, Fortune 500) in U.S. sales.

Experts say that overall business will improve this year in both China and the United States, the two largest markets.

U.S. vehicle sales are expected to top 16 million for the first time since 2007, up from 15.6 million in 2013.

Sales in China, which last year became the first country to hit 20 million vehicles, are expected to reach 22.6 million vehicles in 2014, according to forecaster IHS Global.

First Published: January 23, 2014: 8:17 AM ET

22.16 | 0 komentar | Read More

Dow falls 160 points on earnings fears

Click the chart for more market data.

NEW YORK (CNNMoney)

The Dow fell more than 160 points, while the S&P 500 and Nasdaq were both down nearly 1%. If the Dow finishes the day lower, that would be the third straight day of declines.

Stocks have been off to a rocky start in 2014 while bonds have outperformed. After last year's big rally, investors are looking for signs the economy will be strong enough to keep the bull market going. And so earnings have come squarely in focus.

Related: Fear & Greed Index swings into neutral

Shares of Nokia (NOK) tanked after the cell phone and networking equipment maker reported a bigger than expected loss and drop in sales. Microsoft (MSFT, Fortune 500), which is in the process of buying the device business of Nokia, will report its earnings after the bell. In addition to results investors will be looking for information on Microsoft's CEO succession plans.

McDonald's (MCD, Fortune 500) was slightly higher Thursday after it reported a modest gain in income but revenue that fell short of forecasts. But it was just one of two Dow stocks that were higher in early trading. UnitedHealth (UNH, Fortune 500) was the other.

Shares of IBM (IBM, Fortune 500) fell after it announced a deal early Thursday to sell part of its server business to Chinese computer maker Lenovo (LNVGF) for $2.3 billion. IBM fell on Wednesday as well following a weak earnings report.

Facebook (FB, Fortune 500)shares dropped Thursday after a report Wednesday calling the social media giant's longevity into question by comparing it to Myspace. Facebook had been on a tear, but investors have pulled back in recent days as they gear up for the company's earnings next week.

But there were some big winners even as the broader market sank. Two stocks in CNNMoney's Tech 30 Index were rising on good earnings news and other developments.

Netflix (NFLX) jumped 16% after the company reported its biggest quarterly gain in subscribers in three years.

Related: CNNMoney's Tech 30

Shares of eBay (EBAY, Fortune 500) popped after the online auction site said Wednesday that investor Carl Icahn took a small stake in the company and submitted a proposal to spin out PayPal into a separate business. eBay said it had no plans to follow through on Icahn's plan. CEO John Donahue called it a "distraction" on the company's earnings conference call.

But Apple (AAPL, Fortune 500) shares were a bit lower after gaining Wednesday following Icahn's disclosure that he had increased his stake in the company by $500 million. The activist investor has been publicly campaigning for Apple to return more cash to shareholders in the form of a $150 billion buyback.

The major European markets were mixed in afternoon trading while Asian markets finished lower on disappointing report on manufacturing activity in China.

First Published: January 23, 2014: 9:47 AM ET

22.16 | 0 komentar | Read More

The bulls are back!

NEW YORK (CNNMoney)

The Dow Jones industrial average, the S&P 500 and the Nasdaq were all higher in early trading. U.S. markets were closed Monday for Martin Luther King, Jr. Day.

BlackBerry (BBRY) shares jumped in early trading amid ongoing hopes the smartphone maker's new CEO John Chen will turn the company around. After last year's drubbing, BlackBerry is the best performing stock in CNNMoney's Tech30 Index so far in 2014.

Related: Top stock picks from top pros

Stocks have been off to a rocky start in 2014. After last year's spectacular rally, investors are looking for signs the economy will be strong enough to keep the rally going. But with little economic data on the agenda this week, investors are turning their attention to the latest quarterly reports from big U.S. corporations.

Tuesday morning kicked off with results from Johnson & Johnson (JNJ, Fortune 500), Verizon (VZ, Fortune 500) and Delta (DAL, Fortune 500). Those three companies all posted earnings that topped forecasts.

IBM (IBM, Fortune 500) will report its results after the closing bell. A spate of company earnings will follow later this week from heavyweights such as Microsoft (MSFT, Fortune 500) and Netflix (NFLX).

Related: Fear & Greed Index still shows greed

Overall, earnings are expected to be up 5.9% in the fourth quarter for the companies in the S&P 500, according to FactSet Research. A few weeks ago, the forecast was for earnings growth of 6.3%, but the estimate was revised lower this week due to disappointing reports, including lower profits in the energy sector.

European markets posted slight gains in morning trading. Asian markets rose Tuesday, supported by China's central bank injecting billions into the financial system to boost liquidity.

Related: Big banks to stop offering payday-like loans

Chinese stocks were also supported by a spate of initial public offerings, which come after Beijing ended a 14-month IPO ban.

First Published: January 21, 2014: 9:47 AM ET

22.16 | 0 komentar | Read More

IMF warns of deflation risk

DAVOS (CNNMoney)

The IMF on Tuesday upgraded its 2014 forecast for economic growth in the United States and most other major developed economies.

Global growth should accelerate to 3.7% from 3% last year, thanks to the recovery in advanced economies. That's a slight increase from its October projection.

But it rang alarm bells about low inflation.

"Risks to activity associated with very low inflation in advanced economies, especially the euro area, have come to the fore," the IMF said.

A negative shock to the economy could turn low inflation into deflation, which risks a downward spiral of activity as consumers postpone spending in anticipation of cheaper prices in the future.

Related: Europe's lost generation

The U.S. should grow by 2.8% this year, up from 1.9% in 2013, as strengthening domestic demand gets a boost from smaller spending cuts as a result of the recent budget deal.

Recovery from recession in the eurozone will remain uneven, the IMF said, raising its forecasts for growth in Germany and Spain, but trimming Italy and leaving France unchanged.

The European Central Bank cut interest rates in November after inflation sank to 0.7%. ECB President Mario Draghi said earlier this month that he's ready to use all the tools at the bank's disposal should prices take another turn lower.

The biggest upgrade to the IMF's October forecast was for the U.K., where cheap central bank money has helped drive a sharp recovery in consumer and business confidence.

Japan will also do better than expected, with growth seen broadly unchanged at 1.7% as a temporary fiscal stimulus package offsets the impact of a rise in consumption tax.

Emerging markets should grow on average by just over 5% in 2014, up from 4.7% last year. But the headline forecast is unchanged since October and reflects a mixed picture.

Related: Global recovery feeds growing inequality

The IMF has upgraded its China forecast to 7.5%, while cutting its projection for Russia to 2% from 3%. Growth in Brazil should come in around 2.3%, unchanged from 2013.

Stronger global growth is beginning to feed through into job creation but not fast enough to keep pace with the growth in the labor force.

The International Labor Organization said Tuesday almost 202 million people were unemployed in 2013, an increase of almost 5 million over 2012. East and South Asia accounted for most of the increase.

The World Economic Forum, which hosts its annual meeting in Davos this week, has warned that rising inequality and unemployment are two of the top three risks the global economy faces.

First Published: January 21, 2014: 9:32 AM ET

22.16 | 0 komentar | Read More

Machine gun tourism in Sin City

LAS VEGAS (CNNMoney)

Irwin has been renting out machine guns to tourists for shooting at his indoor gun range since the 1980s. "This is my idea," he said.

Customers can fire an array of machine guns, including a World War II-era Schmeisser submachine gun, a pink AK-47 with a "Hello Kitty" decal and a belt-fed M249 that's currently used by the U.S. military in Afghanistan.

The Hello Kitty guns are "for the bachelorette parties to shoot," Irwin explains.

Irwin said that he used to be the only range in town where customers could fire machine guns. But five competitors have opened up just in the last year, dragging down his annual sales by 30%.

Still, he says he averages about 200 customers a day.

Related video: Shooting full auto at the gun show

One of them is 18-year-old John Kovacs, an Eagle Scout from St. Louis. He said he was there for the rare chance to fire a fully-automatic weapon, and also because he's barred from visiting casinos, where alcohol is served.

"Because I'm 18, I'm not allowed to gamble and I'm not allowed to drink, but I am allowed to go to strip clubs and shoot machine guns, so that's why I'm here," said Kovacs.

The Gun Store does a brisk business charging customers to shoot Israeli-made Uzis, which were a staple in 1980s action movies, as well as vintage Thompson submachine guns, popularly known as Tommy guns, used by Prohibition gangsters.

"People want to shoot the guns that they see in the movies," Irwin said.

Irwin and his 40-plus employees sell packages, ranging in price from $100 to $1,000, for bachelor parties and even weddings. The range has a wedding chapel, and one of his staffers is an ordained minister. (For more information, see his website ShotgunWeddings.com). Catering is provided by the restaurant next door.

Related: Duck Commander launches its own line of guns

The party packages come in different themes, such as World War II, where customers fire vintage weapons, and the zombie apocalypse theme, where customers take aim at paper targets depicting undead clowns.

"It's practice for when we have to shoot real zombies, which is apparently coming up sometime soon," said Irwin.

The shop also offers lessons for kids 6 years old and up that it advertises as "fun for the whole family," while emphasizing gun safety for children.

"The guns exist and children who are not familiar with guns are the ones who will have accidents," said Irwin.

Machine guns aren't usually available to civilians. Federal law does permit civilians to own machine guns made before 1986, however some states and cities forbid it. Also, machine guns tend to be prohibitively expensive.

When asked who buys these guns Irwin says, "Rich guys. The same guy who buys a Ferrari because he can."

Federal law also allows people in the gun industry, such as owners of gun shops and ranges, to own newer machine guns, so long as they're acquired for the initial purpose of demonstrating them to members of law enforcement.

Related: The $27,500 rifle that hits targets at 1,000 yards

The Gun Store memorializes its most famous visitors with signed portraits on the wall, including the cast of the TV show "Sons of Anarchy" and comedian Carrot Top.

There are also portraits of important personalities in the world of guns, such as Mikhail Kalashnikov, the recently deceased inventor of the AK-47. Irwin said he met Kalashnikov once, but has mixed feelings about the Russian soldier who served under Stalin.

"He was a pioneer in designing ways to kill Americans," he said. "Fine guy, just don't like his politics."

First Published: January 21, 2014: 9:49 AM ET

22.16 | 0 komentar | Read More

U.S. to be top destination for Chinese tourists

Chinese tourists have named the U.S. as a top vacation destination.

HONG KONG (CNNMoney)

The number of Chinese visitors coming to the United States will more than triple by 2020, according to a new report from brokerage CLSA. The new wave will include a confident, more travel-savvy Chinese tourist that is willing to bridge out from traditional vacation spots like Hong Kong and Macau.

More than 17% of experienced Chinese travelers ranked the U.S. as their top vacation choice if money was no object -- higher than any other destination. For first time travelers, the U.S. is the second most popular vacation spot.

"It's all about bragging rights for Chinese tourists these days," said Aaron Fischer, an analyst at CLSA.

Chinese travelers have built a global reputation as big spenders. Lines of shoppers from Mainland China are a regular sight outside luxury stores in Paris and Hong Kong, a trend that could spread.

Shopping is at the top of the agenda for Chinese that visit the U.S., with 87% of visitors splashing some cash at retail outlets in 2012. CLSA said the Chinese spend an average of $4,400 per trip on everything from high-end hotels to cosmetics, making them the second-biggest spenders after visitors from India.

CLSA said that companies like Tiffany (TIF), Estee Lauder (EL, Fortune 500) and Coach (COH) could benefit the most, as they have excellent brand recognition in China and offer cheaper prices in U.S. stores.

Related story: Vatican tourism triples for new Pope

In addition to shopping, the new wave of Chinese tourists have another set of priorities that will make Las Vegas casino owners drool.

Mainland tourists are showing a greater interest in fine dining and gambling than others overseas visitors, and a growing appetite for concerts and shows, the CLSA report said.

With Las Vegas still struggling in the wake of a regional housing bust, casinos there have begun pulling out the stops to attract Chinese gamblers, introducing special food menus and concerts with Chinese speaking pop stars. The Palazzo is even now hosting a show called "Panda!" that features the China National Acrobatic Troupe.

Related story: Are U.S. companies ready for China's big spenders?

Still, catering to a three-fold increase in the number of Chinese tourists is no easy task. The language barrier is one problem; CLSA called a series of high-end hotels in New York and found only two had Mandarin speakers on site.

Chinese travelers have also developed a less than flattering reputation in some parts of world, thanks to a mix of cultural differences and, occasionally, bad behavior. In one high-profile case, an ancient Egyptian temple was vandalized by a young Chinese tourist.

China's National Tourism Administration has attempted to address some of these problems, and last year published a series of guidelines directed at the country's travelers.

Specific guidelines instructed tourists not to deface relics and to show courtesy and respect for other people's rights.

First Published: January 20, 2014: 5:16 AM ET

22.16 | 0 komentar | Read More

Kraft Velveeta product recalled

Some boxes of Velveeta Cheesy Skillets Singles have been pulled from supermarket shelves.

NEW YORK (CNNMoney)

The U.S. Department of Agriculture's Food Safety and Inspection Service said that manufacturer Truitt Brothers is recalling 1.77 million pounds of Kraft (KRFT, Fortune 500)Velveeta Cheesy Skillets Singles - Ultimate Cheeseburger Mac. The macaroni and cheese product contains pasta and ground beef.

Some of the labels do not mention the presence of hydrolyzed soy protein and dried soy sauce, which are allergens.

"The inaccurate labeling is the only thing wrong with the product," said Kraft Foods spokeswoman Joyce Hodel. "If an individual has no allergies or sensitivities to soy, then the product is perfectly safe to consume."

Related: Possible Velveeta shortage looms

The recall applies to food with a sale date from March 2, 2014 to October 23, 2014.

It does not apply to other Kraft or Velveeta products, according to the government.

First Published: January 20, 2014: 8:32 AM ET

22.16 | 0 komentar | Read More

Best places to get in shape

Fairfield, Conn (at left): a three-bedroom, 2½-bath, 1,458 sq. ft. home for $430,000 or San Francisco: A three-bedroom, 2-bath, 1,600 sq. ft. home for $849,000.

(Money Magazine)

To find the best metros for getting fit, MONEY and Trulia crunched some health-centric data, looking for places with easy access to nutritious food, dietary advice, and plenty of exercise options.

We compare the top two.

East Coast vs. West Coast

Two of the nation's healthiest metro areas face off.

Gyms and fitness centers per 10,000 households	5.3	3.8
Diet and weight loss centers per 10,000 households	0.36	0.28
Ratio of "slow food" to fast-food restaurants	1.41	1.6
Percent of population who walk or bike to work	3%	9.2%
Median home price	$470,000	$829,000
Increase in asking price (2012 to 2013)	9.8%	15.2%
For-sale homes affordable to the middle class	36%	14%
Median square feet for affordable home	1,317	1,000

NOTES: Fitness-related data from 2010 and 2011. Pricing information as of November. Square footage and affordability data from October. SOURCE: Trulia

First Published: January 20, 2014: 9:51 AM ET

22.16 | 0 komentar | Read More

Obama and NSA: So what is metadata anyway?

NEW YORK (CNNMoney)

OK. But what's the metadata he's talking about?

It's information wireless carriers collect about where, when and to whom customers make phone calls. It doesn't include any recordings of the actual phone call itself.

The metadata can contain phone numbers, the time and duration of calls and the location of the caller and the recipient.

But it also goes beyond that: It can include which cellular towers were used to transmit the call and what kind of phone was being used.

When bundled together, those metadata can potentially reveal a whole lot about a caller.

For example, knowing that a person was calling someone frequently in the early hours of the morning could indicate that they have a close relationship. Knowing that the call rapidly switched cell towers could indicate that the caller was driving during a call.

Currently, the government collects and stores most of those records.

Obama isn't proposing that the NSA stop collecting metadata entirely. But the scope will be more limited. Fewer calls will be cataloged, and the government will have to get a judge's approval to tap the records.

Eventually, Obama said the government will stop gathering and keeping metadata, but there is no plan yet to replace the existing system.

First Published: January 17, 2014: 3:57 PM ET

22.16 | 0 komentar | Read More

Jos. A. Bank rejects new Men's Wearhouse bid

Jos. A. Bank called the Men's Wearhouse bid "inadequate and opportunistic."

NEW YORK (CNNMoney)

Jos. A. Bank's message to shareholders Friday? You're not going to like the way it looks.

Men's Wearhouse's $1.6 billion hostile bid offered Jos. A. Bank (JOSB) stockholders $57.50 a share, a modest premium from Friday's closing price of $56.49.

"The Offer significantly undervalues Jos. A. Bank, and its future prospects," Jos. A. Bank (JOSB) said Friday. "Men's Wearhouse's true motives are unclear and its commitment to the Offer is not credible."

The firm added that it "is continuing to consider strategic alternatives, including acquisitions, which will maximize stockholder value."

The announcement marks the latest development in the months-long takeover battle between the two menswear merchants.

Jos. A. Bank made an offer to buy Men's Wearhouse last year for $2.4 billion. Men's Wearhouse rejected that bid and countered with an unsolicited bid of $55 a share for Jos. A. Bank -- a proposal that was also rejected.

Related: Time Warner Cable rejects merger plan

"Given that the Jos. A. Bank Board has publicly acknowledged the compelling strategic logic of this transaction, we think Jos. A. Bank shareholders should question why their Board is refusing to negotiate with us to reach an agreement that will deliver to them significant value," Men's Wearhouse said Friday.

Earlier this month, Jos. A. Bank announced a shareholders' rights plan, commonly known as a poison pill defense, to block hostile bids by granting additional shares should any buyer acquire 10% of its shares.

It's been a tumultuous few months for Men's Wearhouse, which is under pressure from its largest shareholder, Eminence Capital, to secure a deal.

Last June, the retailer announced the firing of George Zimmer, its chairman, founder and long-time pitchman.

First Published: January 17, 2014: 7:01 PM ET

22.16 | 0 komentar | Read More

Intel to cut over 5,000 jobs

NEW YORK (CNNMoney)

The company says the cuts are in response to "evolving market trends."

Intel (INTC, Fortune 500) said it will trim about 5% of its 107,600 global workforce by the end of 2014 -- 5,380 jobs.

"This is not a layoff," said Intel Spokesman Chris Kraeuter. "It's not a giant, one time action. This is a target employment rate for the end of the year."

Kraeuter said the cuts will come as a result of people retiring, redeployments, or people leaving voluntarily.

"We're making decisions on how to design our resources to better meet the needs of our business," said Kraeuter.

The news comes after the company announced lackluster earnings and guidance Thursday. Investors are anxious for the chipmaker to become less dependent on the slow growing personal computer market and more engaged in mobile technology.

For the year, Intel shares are up about 18%, while the broader electronic technology sector is up over 30%.

First Published: January 17, 2014: 6:00 PM ET

22.16 | 0 komentar | Read More

UPS warns Christmas delivery woes hit bottom line

UPS's problems handling a surge of Christmas shipments will hurt its fourth quarter profit.

NEW YORK (CNNMoney)

UPS warned this morning that its fourth-quarter earnings will be below its earlier guidance due to the delivery problems it ran into during the holidays.

Shares of UPS (UPS, Fortune 500) fell nearly 7% in early trading on the warning. Shares of rival delivery company FedEx (FDX, Fortune 500) were also lower after UPS's announcement.

UPS said a short holiday shopping season and a bigger-than-expected surge in online shopping strained its network. In an effort to keep up with the demand, the company hired 85,000 temporary employees, which was 30,000 more than it had planned to hire, and rented additional trucks. It said it delivered a record 31 million packages on Dec. 23.

Related: Online shopping will never be 100% on time

But the surge of shipments and some bad weather overwhelmed its system and caused some widespread and highly publicized delivery failures. Online retailer Amazon (AMZN, Fortune 500), a UPS customer, ended up offering refunds on shipping charges and compensatory gift cards to its customers.

UPS tried to assure investors that the problems with the Christmas deliveries are behind it.

Related: The race for same-day delivery

"Despite fourth quarter performance, the company is confident of its 2014 outlook." It expects profits to rise 10% to 15%.

First Published: January 17, 2014: 9:28 AM ET

22.17 | 0 komentar | Read More

Investors can't make up their mind on stocks

Click on chart to track premarkets

NEW YORK (CNNMoney)

The Dow was flat, while the S&P 500 and Nasdaq were slightly lower. Stocks finished mixed Thursday as well. It seems that investors are searching for direction after some bigger market moves earlier in the week.

Corporate earnings have been mixed so far this quarter, providing little impetus for stocks to add to last year's impressive gains.

Shares of United Parcel Service (UPS, Fortune 500) dropped after the shipping company lowered fourth quarter earnings estimates due to a surge of last minute holiday orders. UPS took some heat late last year for failing to make deliveries in time for Christmas. Shares of rival FedEx (FDX, Fortune 500) fell slightly on the news as well.

Related: Fear & Greed Index still shows greed

Morgan Stanley (MS, Fortune 500)shares rose after the investment bank's earnings beat Wall Street estimates. The firm was the last of the six largest U.S. banks to post earnings. The majority of those banks surpassed analysts' expectations, but Wells Fargo (WFC, Fortune 500), JPMorgan Chase (JPM, Fortune 500), Citigroup (C, Fortune 500) and Bank of America (BAC, Fortune 500) all reported a sharp drop in mortgage activity due to higher interest rates.

Shares dropped for General Electric (GE, Fortune 500) fell despite the conglomerate's report of a boost in quarterly earnings.

Related: CNNMoney's Tech 30 index

Intel (INTC, Fortune 500) shares sank 4% following quarterly earnings on Friday that missed expectations. Intel was the second-worst performer in CNNMoney's Tech 30 index.

"Intel's numbers left investors feeling less than enthusiastic about the group's outlook as the group expects no revenue growth in 2014," explained Ishaq Siddiqi, a market strategist at ETX Capital in London.

Related: China's growth expected to beat official targets

On the economic front, the Census Bureau released reports that showed new housing construction and building permits fell in December. The robust housing market has been a main driver of the economic recovery.

The main European indexes were mixed in afternoon trading, while Asian markets mostly ended with losses. The Hang Seng in Hong Kong was the only index to buck the trend, rising by 0.6%.

First Published: January 17, 2014: 9:52 AM ET

22.17 | 0 komentar | Read More

Starbucks: We fixed app that left passwords vulnerable

Starbucks said it has fixed its mobile app that had been saving customers' usernames, passwords and other personal information in plain text.

NEW YORK (CNNMoney)

The hugely popular app, which allows Starbucks (SBUX, Fortune 500) customers to purchase drinks and food directly from their smartphones, had been saving customers' usernames, passwords and other personal information in plain text.

That meant a hacker could have picked up a left-behind phone, plugged it into a laptop and easily recovered a Starbucks customer's password without even knowing the smartphone's PIN code.

Starbucks acknowledged the vulnerability this week. It said that no customers had claimed to have been hacked as a result.

On Thursday night, Starbucks said it pushed out an updated version of its mobile app for iOS that "adds extra layers of protection." The Android app does not have the security flaw, the company said.

Related: Credit card hack a wakeup call for privacy

Exploiting the issue wouldn't have been easy. To access a customer's password, a hacker needed to be in possession of the phone, have a computer handy, and know how to access the file.

If a hacker did obtain the password, it would allow him access to money stored in the customer's Starbucks account. Customers could be at greater risk if they use the same password for other sites.

Related: You see a zip code, retailers see a goldmine

The issue was first exposed by security researcher Daniel Wood, a Starbucks customer who said he tested the app to see if his information was secure.

"The application is storing the users' information -- everything from your full name to your address to your username and password as well as your email address," he told CNNMoney earlier this week.

Wood disclosed the issue in an online posting after approaching the company in December without a response from technical teams. After the issue became public, he was contacted by Starbucks. On Tuesday, his post was reported by the technology site ComputerWorld.

First Published: January 17, 2014: 9:57 AM ET

22.17 | 0 komentar | Read More

Stocks rebound as investors cheer banks

Click the chart for more stock market data.

NEW YORK (CNNMoney)

The Dow, S&P 500, and Nasdaq all moved slightly higher out of the gate.

After a sharp sell-off Monday, investors turned to bank earnings to get a sense of the economy's health.

JPMorgan Chase (JPM, Fortune 500) posted a fourth-quarter profit of $5.3 billion, including a $1.1 billion write-off for legal expenses. But earnings topped expectations. Shares of JPMorgan rose on the news.

The bank has settled numerous lawsuits in the past year, including over its behavior in the run-up to the mortgage crisis and for turning a blind eye to Ponzi schemer Bernard Madoff.

Wells Fargo (WFC, Fortune 500) also released earnings that slightly beat estimates, though it reported a big drop in mortgage activity. Shares were down in early trading.

This is just the beginning. Investors are readying themselves for a slew of quarterly earnings announcements over the coming weeks. Four other big banks are due to report their results later this week: Bank of America (BAC, Fortune 500), Citigroup (C, Fortune 500), Goldman Sachs (GS, Fortune 500) and Morgan Stanley (MS, Fortune 500).

Related: Fear & Greed Index still shows Greed

Investors have been nervous that earnings may not be strong enough to justify higher stock prices. Mike van Dulken, head of research at Accendo Markets noted that a new report from Goldman Sachs said valuations for the stocks in the S&P 500 were lofty by almost any measure and that further gains may be difficult to achieve.

And after a tepid December jobs report, investors are looking for further signs of strength in the economy.

Retail sales for December came in slightly better than expected, as retailers offered big promotions due to a shortened holiday seasons.

Related: CNNMoney's Tech 30 index tracks the top stocks in tech

What's moving: Shares of CNNMoney Tech 30 component Microsoft (MSFT, Fortune 500)were down modestly after Citigroup downgraded the stock. Wall Street has become increasingly anxious over the tech giant's search for a successor.

Google (GOOG, Fortune 500), another member of the Tech 30, moved higher after the search engine announced Monday afternoon that it was buying connected device maker Nest Labs for $3.2 billion.

Also on Monday, Charter Communications (CHTR, Fortune 500) said it had formally proposed acquiring Time Warner Cable (TWC, Fortune 500). Time Warner Cable flatly rejected the offer. Shares of both companies were up in early trading.

European markets were mostly lower in morning trading, while Asian markets ended mixed.

First Published: January 14, 2014: 9:48 AM ET

22.16 | 0 komentar | Read More

Retail sales edge higher in December

NEW YORK (CNNMoney)

Retail sales ticked up 0.2% in December, according to a report from the Census Bureau. Economists were expecting sales to be flat from November.

November sales, however, were revised lower. The government said sales grew by 0.4% in November from October, down from the 0.7% it had originally reported last month.

The number was lifted by strong sales in food, clothing and accessories and gasoline -- necessities or gifts on the lower end of the price spectrum. Sales at nonstore retailers, which includes online shopping, increased by 1.4%.

But big-ticket items that are generally considered staples of the holiday season weighed on the number. Sales at electronic and appliance stores fell by 2.5%, and auto dealers saw a 1.9% drop.

Related: Macy's laying off 2,500

Experts say that weather could have played a part in what sold, and what didn't sell, last month.

"If you look at what lifted spending -- food, gasoline, clothing, online shopping -- are all things you can expect to increase when the weather is bad," said Joseph LaVorgna, chief U.S. economist at Deutsche Bank. "Harsh weather could have hurt some of the bigger discretionary items."

LaVorgna also said that these better-than-expected numbers should calm investors who were anxious after last week's lackluster jobs report. The government reported that hiring slumped sharply in December, making it the weakest month for job growth since January 2011, the Labor Department said last week.

There were signs of weakness for retailers beginning Thanksgiving weekend, the start of the of holiday shopping season. The National Retail Federation reported that shoppers spent an average of 4% less over that holiday weekend, the first time spending declined since 2009, when the recession cut deeply into spending.

Industry analyst ShopperTrak reported a modest 2.3% increase in spending on Thanksgiving day and Black Friday.

Related: Target and Neiman Marcus hacks: The latest

Analysts had long expected holiday sales to be sluggish this year. In November, Morgan Stanley predicted that sales growth during the fourth quarter would be the weakest since 2008.

The calendar was also expected to hurt sales, since there were six fewer shopping days between Thanksgiving and Christmas this past holiday season compared to a year earlier. This means that there were not only fewer opportunities for shoppers to get to stores, but also that stores would likely cut prices earlier and in a bigger way to try to lure customers in to make up for it.

First Published: January 14, 2014: 9:21 AM ET

22.16 | 0 komentar | Read More

$330 million deal could save art in bankrupt Detroit

An appraisal of the art in the Detroit Institute of Arts by Chistie's has valued the museum's collection at between $452 million and $866 million.

DETROIT (CNNMoney)

It's not clear if the offer will be accepted and it would close only a small fraction of the huge debt that forced Detroit into bankruptcy last year.

But it would at least help inject some cash into the reorganization of the city and eliminate the risk that Detroit's treasured art collection could be sold off to private investors to pay its debts.

The offer was reached after discussions with a federal judge serving as a mediator in the city's bankruptcy case. Since the Detroit Institute of Arts is a unit of city government, some have suggested the art could be sold off to help compensate creditors hurt by the city's bankruptcy filing.

The new offer from the private foundations would provide a way to draw money from the art work without removing it from the museum.

The deal has yet to be approved by either Kevyn Orr, the emergency manager who is effectively running Detroit, or the bankruptcy court that is overseeing the city.

Related: Pension woes - Detroit is not alone

An appraisal of the art in the museum by auction house Chistie's has valued the collection at between $452 million and $866 million. So it is unclear if the offer is sufficient to satisfy creditors.

Detroit has $18 billion in debt, and Orr has proposed slashing $11.5 billion of unsecured debt, including promised pension benefits and retiree health care coverage, by more than 80%.

Related: Detroit watchdogs find 'questionable practices at pension

The foundations' offer is contingent on the money being used to help close the funding gap in the pension plans and limit the reduction in benefits.

The foundations include the Community Foundation for Southeast Michigan, the Ford Foundation, the Kresge Foundation and the John S. and James L. Knight Foundation.

First Published: January 14, 2014: 9:50 AM ET

22.16 | 0 komentar | Read More

The truth behind Obamacare 6 million figure

NEW YORK (CNNMoney)

"Now more than 6 million Americans have been enrolled in Marketplace or Medicaid coverage and are getting peace of mind, knowing that they can get the care they need without losing everything they've worked and saved for," wrote Phil Schiliro, who returned to the White House last month to oversee health care policy initiatives, in a blog post on New Year's Day.

But the numbers are somewhat misleading. Here are the figures:

-- 2.1 million Americans signed up for private health insurance through the federal and state exchanges through the end of December.

-- 3.9 million people learned they're eligible for Medicaid or the Children's Health Insurance Program (CHIP) in October and November.

The squishiness lies in the Medicaid number. The 3.9 million figure includes people who were already on Medicaid and are just renewing, as Marilyn Tavenner, the administrator for the Centers for Medicare and Medicaid Services noted in a blog post late last month. So not all of these folks have coverage due to Obamacare.

I signed up for Obamacare!

Still, other administration officials have touted the 6 million enrollment number and have not mentioned that some of these people were already in Medicaid. When Gene Sperling, the director of the National Economic Council, went on "Meet the Press" recently, he simply cited the 6 million figure without further explanation.

It's unclear how many people are newly eligible under Obamacare's Medicaid expansion provision. Tim Jost, a health law professor at Washington and Lee University School of Law, thinks a good chunk of them were likely re-enrollments.

By using the 6 million figure, Jost believes the administration could give the wrong impression that these people were not covered before.

There's a lot of pressure on the White House to show that people are flocking to sign up for Obamacare. The problem is that state Medicaid systems are pretty clunky and it's hard to get reliable figures quickly, said Lisa Dubay, senior fellow at The Urban Institute's Health Policy Center.

"It's a mushy number," Dubay said. "Everyone's saying the numbers are not quite right. Nobody knows how not quite right they are."

First Published: January 13, 2014: 9:38 AM ET

22.17 | 0 komentar | Read More

Europe probes studios' deals with pay TV

Big Hollywood movies are typically licensed for TV broadcast in Europe on a country-by-country basis. That could change if the EU rules the practice breaches antitrust rules.

LONDON (CNNMoney)

The European Union's antitrust watchdog said Monday it had begun formal proceedings to examine the licensing agreements between studios including Twentieth Century Fox, owned by 21st Century Fox (FOXA); Warner Bros, part of Time Warner Inc (TWX, Fortune 500) (CNNMoney's parent); Sony (SNE) Pictures; Comcast Corp (CCV)'s NBCUniversal and Viacom (VIA)'s Paramount Pictures.

Pay TV broadcasters such as Canal Plus of France, DTS of Spain and three in the 21st Century Fox network -- BSkyB in the U.K, Sky Italia and Sky Deutschland -- are also under investigation.

Related: Sony moves to sell cable TV via the Internet

Studios typically license valuable content such as newly-released movies to a single pay TV broadcaster in one European country, or possibly more than one if they share a language, granting the major broadcasters "absolute territorial protection".

This means the movies cannot be made available outside the country where each broadcaster operates, even in response to requests from potential subscribers in other countries to receive a signal via satellite.

The EU watchdog carried out a fact-finding investigation in 2012 and now wants to go deeper to see whether the practice infringes rules that prohibit anti-competitive agreements.

Related: Real "Wolf of Wall Street" will give royalties to victims

The investigation followed a 2011 case involving the landlady of a British pub who was taken to court for using a Sky satellite card bought in Greece to show Greek broadcasts of U.K. Premier League soccer matches to her customers.

The European Court of Justice ruled that subscribing to a foreign satellite broadcaster and using a foreign decoder card for private use was not illegal. The landlady was fined for copyright infringement, however, for the public broadcast of content that had been licensed on an exclusive country-by-country basis.

If the EU finds against territorial licences, studios and broadcasters may be forced to adopt EU-wide licences, which could mean a loss of revenue in some markets.

Antitrust probes carry no deadline and can take years to complete.

First Published: January 13, 2014: 9:21 AM ET

22.17 | 0 komentar | Read More

Stocks slip as investors wait for earnings

NEW YORK (CNNMoney)

The Dow Jones industrial average, the S&P 500 and the Nasdaq all edged lower in early trading.

Investors are still digesting Friday's jobs report, which showed a big slowdown in job creation in the final month of 2013. Many experts are now saying colder-than-normal temperatures in December hit hiring.

Despite the lousy jobs report, stocks managed to end higher Friday as investors generally believe the economy will continue to improve in 2014.

Related: Wolves of Wall Street to report earnings

Now investors are looking ahead to the first big round of fourth quarter earnings coming later in the week.

JPMorgan Chase (JPM, Fortune 500) and Wells Fargo (WFC, Fortune 500) are scheduled to report Tuesday morning, while other big banks Bank of America (BAC, Fortune 500), Citigroup (C, Fortune 500), Goldman Sachs (GS, Fortune 500) and Morgan Stanley (MS, Fortune 500) are also on tap to report their results.

General Electric (GE, Fortune 500) and Intel (INTC, Fortune 500) are up later in the week too.

What's moving: Yoga apparel retailer Lululemon (LULU) cut its fourth quarter earnings guidance, saying that traffic and sales have declined since the beginning of January. The stock tanked on the news.

SodaStream (SODA) shares plunged after the company said profits for 2013 will fall short of expectations, due in part to weak holiday sales in the United States.

Shares of Beam (BEAM) shot up after the spirits maker announced it was being acquired by Japan's Suntory for $16 billion. Beam, most well-known for its Jim Beam brand of bourbon, said the transaction was expected to close in the second quarter of 2014. Suntory is agreeing to pay $83.50 per share -- a 25% premium over Beam's closing price on Friday.

Twitter (TWTR) shares surged after analysts at Goldman Sachs praised the stock in a research report. The social media company was the biggest gainer in CNNMoney's Tech30 Index of leading technology stocks.

Related: Ford unveils all-new F-150 in Detroit

Shares in automakers may also be moving this week as Detroit hosts the North American International Auto show. Major automakers such as General Motors (GM, Fortune 500) and Ford (F, Fortune 500) use the event to showcase their newest vehicles and innovations.

Related: Fear & Greed Index remains in Greed mode

European markets edged higher in afternoon trading. Asian markets ended with mixed results.

First Published: January 13, 2014: 9:48 AM ET

22.17 | 0 komentar | Read More

Target hack is a wake-up call on privacy

The Target hack shows the danger of giving retailers your phone number, email or zip code.

NEW YORK (CNNMoney)

If you fork it over, you're feeding the beast of consumer data collection -- and putting your own information at risk.

Target's disclosure that credit card thieves hacked a database of 70 million customers is a wake-up call.

"It's like an arms race for consumers' information at this point," said Susan Grant, an advocate for the Consumer Federation of America.

It's become standard for many retailers to ask for personal details at checkout. Then there's online shopping, in which you have to turn over certain info. Among other things, stores want the information so they can shower you with catalogs and emails.

Related: Tips for all Target customers

The problem is that you are trusting the stores to safeguard it. Criminals who steal your credit or debit card information can do more damage if they have your contact information. It's easier for them to commit fraud or even trick you into revealing more via fake emails, letters and phone calls.

Your information is "toxic" if it gets in the wrong hands, said Rob Shavell, CEO of Abine, a company whose software enhances privacy while shopping. "The more of it they store, the more it becomes a danger to the consumer and the business."

The idea behind Abine shows just how far wholesale data collection has gone. The service lets you create a shopping avatar -- with its own new phone number, address and credit card -- to create more distance between you and the retailer.

Data brokers and marketing companies know that customers feel uncomfortable about sharing too much.

They advise retailers to ask for your zip code -- then take your name from your credit card's magnetic stripe. The company can later use that information to find your exact address.

Security experts say the industry is often too lax about protecting data and that regulations are lagging way behind.

Related: What your zip code reveals about you

Grant, the consumer advocate, said there's a patchwork of state laws regarding mass data breaches, such as those that require companies to inform people when their privacy has been violated. She wants national laws that would limit how companies collect data in the first place, how long they keep it, and establish liability if they lose it.

"The stakes are much higher now," said John Simpson, a privacy advocate at Consumer Watchdog. "They claim they need all this data for legitimate business purposes. But if they're going to gather the data, that requires a level of cybersecurity a number of companies haven't been able to meet."

First Published: January 11, 2014: 9:47 AM ET

22.17 | 0 komentar | Read More

GM recalling 370,000 trucks over fire risk

The 2014 Chevy Silverado.

NEW YORK (CNNMoney)

The affected models include 2014 Chevy Silverados and GMC Sierra full-size trucks. GM (GM, Fortune 500) said the vehicles had problems with their software that could lead to the overheating of exhaust components and cause fires.

GM said it had confirmed eight fires that have resulted from this issue so far, though no injuries.

"All occurred in areas with very cold weather," the automaker said.

Related: Tesla to upgrade overheating chargers

Drivers will be alerted about the problem by mail, and can take the affected vehicles to dealerships starting next week for free repairs.

In the meantime, GM urged owners of the trucks in question "to avoid leaving their trucks to idle unattended."

GM's announcement follows Chrysler's November recall of roughly 1.2 million trucks following a series of accidents related to problems in their steering systems.

First Published: January 10, 2014: 7:15 PM ET

22.17 | 0 komentar | Read More

Wolves of Wall Street to report earnings

Bank of America and Citigroup report earnings this week. Can they sustain their 2014 momentum?

NEW YORK (CNNMoney)

Stocks ended last week mixed as conflicting economic data left investors searching for direction.

Friday's jobs report showed the economy added only 74,000 jobs in December, far below the 193,000 that economists surveyed by CNNMoney had forecast. The unemployment rate fell to 6.7% from 7%, mainly from people dropping out of the workforce. Earlier in the week, data from payroll processor ADP (ADP, Fortune 500) showed that private sector hiring gained momentum in December.

But investors are hoping to see strong results from big banks this week. Healthy earnings could be a good economic sign, especially if the banks report solid growth in their mortgage lending business. A rebound in housing, after all, has been key to the economic recovery.

JPMorgan Chase (JPM, Fortune 500) and Wells Fargo (WFC, Fortune 500) report their fourth quarter earnings Tuesday. Bank of America (BAC, Fortune 500), Goldman Sachs (GS, Fortune 500), Citigroup (C, Fortune 500), and Morgan Stanley (MS, Fortune 500) will also release earnings later in the week.

Related: Investors bet big on big banks

Those firms are trading at multi-year highs, as investors bet an improving economy will translate into big profits for banks.

Financial stocks are poised to have the highest earnings growth rate of any sector for the fourth quarter of 2013, according to FactSet Research.

Bank profits are cyclical, and their performance often paints a picture of the economy, since individuals and businesses will often take out loans when they're feeling confident.

Dow components American Express (AXP, Fortune 500), General Electric (GE, Fortune 500), UnitedHealth Group (UNH, Fortune 500), and Intel (INTC, Fortune 500) are among other notable blue chip companies due to report earnings this week.

Related: Keep track of Intel and others in CNNMoney's new Tech 30 index

But there will be more economic data this week as well. December retail sales figures will released by the government on Tuesday. That will help give investors a better sense of how the holiday shopping season shaped up.

A key measure of inflation is due out Thursday, when the government will release the Consumer Price Index for December.

And on Friday, the government will release data on housing starts.

But with the Federal Reserve finally scaling back on, or tapering, its bond-buying program last month, interest rates have been ticking higher. So economists will be looking for any signs of a housing slowdown if demand for mortgages cool. There are also concerns that the rebound in home prices may make it more difficult to entice new buyers.

"The rise in mortgage rates and house prices means that valuation and affordability metrics have become less favorable," Capital Economics analysts wrote in a research note Friday. However, they added that "the recovery in housing market activity is not coming off the rails."

First Published: January 12, 2014: 9:33 AM ET

22.17 | 0 komentar | Read More

GM recalling 370,000 trucks over fire risk

The 2014 Chevy Silverado.

NEW YORK (CNNMoney)

The affected models include 2014 Chevy Silverados and GMC Sierra full-size trucks. GM (GM, Fortune 500) said the vehicles had problems with their software that could lead to the overheating of exhaust components and cause fires.

GM said it had confirmed eight fires that have resulted from this issue so far, though no injuries.

"All occurred in areas with very cold weather," the automaker said.

Related: Tesla to upgrade overheating chargers

Drivers will be alerted about the problem by mail, and can take the affected vehicles to dealerships starting next week for free repairs.

In the meantime, GM urged owners of the trucks in question "to avoid leaving their trucks to idle unattended."

GM's announcement follows Chrysler's November recall of roughly 1.2 million trucks following a series of accidents related to problems in their steering systems.

First Published: January 10, 2014: 7:15 PM ET

22.17 | 0 komentar | Read More

Tesla to upgrade overheating chargers

Tesla's adapters should resolve a problem in which in chargers are overheating the socket, the California-based automaker said.

NEW YORK (CNNMoney)

A fire that started in a garage in Irvine, Calif., in November was attributed to an overheating Tesla charger, according to reports. Tesla has denied that its charger was the cause.

The carmaker had provided a software update in December to address the issue.

"We believe this fully addresses the problem," Tesla (TSLA) said in a statement Friday. "However, to provide additional protection for Model S customers, we have designed a new wall adapter with a thermal fuse. "

The upgraded adapter will be provided to all existing and new Tesla owners "starting in a few weeks," Tesla said.

Tesla has been in the safety spotlight recently following a small number of fires that occurred in cars after crashes, including two in which cars ran over metal objects. This fix is unrelated to those issues

Beyond these issues, the Tesla Model S sedan has earned top marks in government crash tests. Tesla says its car has earned the highest crash test scores of any car ever tested.

First Published: January 10, 2014: 4:39 PM ET

22.17 | 0 komentar | Read More

Target hack is a wake-up call on privacy

The Target hack shows the danger of giving retailers your phone number, email or zip code.

NEW YORK (CNNMoney)

If you fork it over, you're feeding the beast of consumer data collection -- and putting your own information at risk.

Target's disclosure that credit card thieves hacked a database of 70 million customers is a wake-up call.

"It's like an arms race for consumers' information at this point," said Susan Grant, an advocate for the Consumer Federation of America.

It's become standard for many retailers to ask for personal details at checkout. Then there's online shopping, in which you have to turn over certain info. Among other things, stores want the information so they can shower you with catalogs and emails.

Related: Tips for all Target customers

The problem is that you are trusting the stores to safeguard it. Criminals who steal your credit or debit card information can do more damage if they have your contact information. It's easier for them to commit fraud or even trick you into revealing more via fake emails, letters and phone calls.

Your information is "toxic" if it gets in the wrong hands, said Rob Shavell, CEO of Abine, a company whose software enhances privacy while shopping. "The more of it they store, the more it becomes a danger to the consumer and the business."

The idea behind Abine shows just how far wholesale data collection has gone. The service lets you create a shopping avatar -- with its own new phone number, address and credit card -- to create more distance between you and the retailer.

Data brokers and marketing companies know that customers feel uncomfortable about sharing too much.

They advise retailers to ask for your zip code -- then take your name from your credit card's magnetic stripe. The company can later use that information to find your exact address.

Security experts say the industry is often too lax about protecting data and that regulations are lagging way behind.

Related: What your zip code reveals about you

Grant, the consumer advocate, said there's a patchwork of state laws regarding mass data breaches, such as those that require companies to inform people when their privacy has been violated. She wants national laws that would limit how companies collect data in the first place, how long they keep it, and establish liability if they lose it.

"The stakes are much higher now," said John Simpson, a privacy advocate at Consumer Watchdog. "They claim they need all this data for legitimate business purposes. But if they're going to gather the data, that requires a level of cybersecurity a number of companies haven't been able to meet."

First Published: January 11, 2014: 9:47 AM ET

22.17 | 0 komentar | Read More