IN BRIEF
NEW YORK
Merck & Co. plans to cut 1,200 employees
Merck & Co. said Monday it is eliminating 1,200 U.S. sales jobs, a move that comes a week after federal regulators rejected an experimental drug the pharmaceutical company had been touting to reinvigorate its key cholesterol franchise.
The cuts come on top of the elimination of about 8,100 positions under the sweeping restructuring plan announced in December 2005, its so-called Plan to Win.
The job cuts are to be completed by the end of July, with employees being notified by the end of this month.
US Airways will reduce number of LV flights
US Airways, the second-largest airline at McCarran International Airport, will cut the number of daily flights to and from Las Vegas by nearly 20 percent beginning in August.
The airline's new schedule will cut direct routes between Las Vegas and Atlanta, Newark, N.J., and Oakland, Calif. It will also cut ties between Las Vegas and smaller cities like Bakersfield, Calif., Colorado Springs, Colo., and Tucson, Ariz.
In addition to going from 114 to 92 daily flights at McCarran, US Airways will shift its bank of late night departures from 11:45 to 9:30 p.m. It will also reduce service between Las Vegas and several major destinations, such as Detroit, Chicago, Los Angeles, Minneapolis, Portland, Ore., and Phoenix.
HOFFMAN ESTATES, Ill.
Sears chairman defends approach to spending
The chairman of Sears Holdings Corp. went on the defensive Monday, saying the troubled retailer's conservative approach to spending money will help it weather the nation's rocky economic outlook.
Financier Edward Lampert told investors that Sears' competitors have overextended themselves through a rash of store openings and debt acquisition.
The Hoffman Estates-based retailer is in the midst of a high-stakes restructuring aimed at reconnecting with customers and reinvigorate slumping same-store sales, which have fallen for the past eight consecutive quarters.
But investors and critics have chided Sears for failing to use its once-hefty war chest to invigorate its tired stores or launch a major acquisition.
But Lampert called the company's strategy a sound, long-term investment, while acknowledging that 2007 was a year of poor performance for the company.
WASHINGTON
Interest rates increase in Treasury auction
Interest rates on short-term Treasury bills rose in Monday's auction to the highest levels since early March.
The Treasury Department auctioned $22 billion in three-month bills at a discount rate of 1.61 percent, up from 1.42 percent last week. Another $21 billion in six-month bills was auctioned at a discount rate of 1.74 percent, up from 1.7 percent last week.
NEW YORK
Treasury prices rise as traders seek safety
Treasurys advanced Monday, with investors again seeking safety in response to a drop in stocks.
At the close of regular trading, the benchmark 10-year Treasury rose 0.13 points to 97.22 and yielded 3.84 percent, down from 3.86 percent late Friday.
