IN BRIEF

NEW YORK

National gasoline cost may drop below $4

Whether any bubble has burst, Americans now live in an economy in which the prospect of a gallon of gasoline for less than $4 is cause for relief.

That barrier may be broken as early as this weekend, as a two-week nosedive in crude prices begins to ripple out to gasoline stations nationwide.

The national average for a gallon of regular pulled back to just above $4 a gallon Friday. Oil tumbled to its lowest point in weeks on the belief that prices have yet to reflect just how badly demand has deteriorated in the U.S., the world's thirstiest oil consumer.

In the trading pits, oil continued on a two-week sell-off. Light, sweet crude for September delivery fell $2.23 to settle at $123.26 a barrel on the New York Mercantile Exchange. Earlier, the contract dropped as far as $122.50, its lowest point since June 5.

NEW YORK

Data-storage services set for closure by AOL

AOL is shutting three data-storage services, including one of the Internet's earliest photo-sharing sites, as it seeks to cut costs and focus resources on its advertising opportunities.

AOL Pictures, the year-old media-sharing site BlueString and the online backup service Xdrive will likely shut down by the end of the year, though the company is looking to sell at least Xdrive, which AOL bought in 2005 for an undisclosed fee.

Company officials denied speculation Friday that the closures were meant to prime AOL for a sale. AOL parent Time Warner has been in continual discussions with both Yahoo and Microsoft Corp., though talks have been preliminary.

HARTFORD, Conn.

General Electric will restructure businesses

General Electric Co., which owns businesses ranging from light bulbs to NBC, on Friday said it will restructure into four businesses from six, a move that Chief Executive Officer Jeff Immelt says will focus the company on growth.

The new structure includes GE Technology Infrastructure, led by Vice Chairman John Rice, which includes Healthcare, Aviation, Transportation and Enterprise Solutions.

GE Energy Infrastructure, led by John Krenicki, includes Energy, Oil & Gas and Water.

GE Capital, led by Vice Chairman Mike Neal, brings together all the financial service businesses, including Commercial Finance, GE Money, industry verticals and Corporate Treasury.

NBC Universal, led by Jeff Zucker, will remain unchanged.

In the reorganization, GE's Commercial Finance, GE Money, GE Industrial and GE Healthcare were folded into new, expanded business segments.

Honda Motor posts quarterly profit gain

Honda Motor Co., Japan's second-largest automaker, posted an unexpected 8.1 percent gain in fiscal first- quarter profit after record gasoline prices spurred demand for its fuel-efficient Fit and Civic cars.

Net income rose to 179.6 billion yen ($1.7 billion), or 98.98 yen a share for the three months ended June 30, from 166.1 billion yen, or 91.38, a year earlier, the company said Friday. The mean estimate of six analysts compiled by Bloomberg was 120.5 billion yen.

Sales fell 2.2 percent to 2.87 trillion yen.

Honda is the only major carmaker this year to have boosted sales in the U.S.

SAN FRANCISCO

Netflix earnings rise 4 percent in quarter

Netflix's second-quarter profit crept up 4 percent, beating analysts' expectations as the online digital video disc rental leader signed up 168,000 new customers while spending less money to attract them to the service.

The Los Gatos, Calif.-based company said Friday that it earned $26.6 million, or 42 cents per share, from April through June, up from $25.6 million, or 37 cents per share, a year earlier.

Analysts polled by Thomson Financial has expected earnings of 40 cents per share.

Revenue rose 11 percent to $337.6 million from $303.7 million.

Netflix shares gained $1.12, or 4.19 percent, to close at $27.85 Friday on the Nasdaq National Market.

NEW YORK

Treasury prices drop after economic reports

Treasury prices retreated Friday after several reports indicated the economy might be doing better than expected, leading investors to shift money out of fixed-income investments and into stocks.

In late trading, the 10-year Treasury note fell 0.81 points to 98.18. Its yield rose to 4.10 percent from 4.00 percent on Thursday, according to BGCantor Market Data.