BUSINESS BRIEFS
Motorola's CEO forced out after strategic gaffes
Associated Press
CHICAGO — Ed Zander is out as Motorola Inc.'s chief executive after a roller-coaster four years that saw him oversee the cell-phone maker's Razr-led resurgence but ultimately bear blame for strategic gaffes and product whiffs that led to its steep decline.
The company's announcement yesterday that Zander is resigning as CEO and that President and Chief Operating Officer Greg Brown will succeed him Jan. 1 produced little surprise and a muted reaction on Wall Street. Industry experts voiced skepticism the change will produce a turnaround unless accompanied by a new wave of top-selling phones and other mobile devices.
$42 BILLION GAS PIPELINE PROPOSED
JUNEAU, Alaska — ConocoPhillips wants to build potentially the world's largest, most expensive energy facility — a multibillion-dollar gas pipeline running from Alaska's North Slope to Midwestern states.
The project, with a price tag of up to $42 billion, would be worth it, if it can help supply North American homes and businesses with heating fuel for years to come.
It's the first proposal in the state-sponsored competition for a pipeline to tap the rich fields where the industry has identified about 36 trillion cubic feet of proved reserves.
GOOGLE SAYS IT'LL BID ON AIRWAVES
SAN FRANCISCO — Google Inc. confirmed its plans to bid for a prized piece of the airwaves in an upcoming government auction, further underscoring the Internet search leader's determination to shake up the wireless market and plumb more profits from mobile phones.
Yesterday's announcement wasn't a bombshell because the Mountain View, Calif.-based company previously signaled it might participate in the Federal Communications Commission auction scheduled to begin Jan. 24.
In a mild surprise, Google will enter the competition without a partner more experienced in the wireless industry.
OIL PRICES UNDER $89 A BARREL
NEW YORK — Crude oil prices dipped to their lowest levels in more than a month yesterday, falling below $89 a barrel as investors sold amid signs of weakening demand and expectations that OPEC will boost production next week.
The slide in oil may mean consumers will see relief at the pump soon, analysts said. Gasoline and heating oil futures also dropped.
It was quite a turnaround for crude, which began the week pushing $100 a barrel but ended it by falling to its lowest levels since Oct. 25.
GUILTY PLEA DUE IN STOCK BACKDATING
SANTA ANA, Calif. — A former executive at chip maker Broadcom Corp. will plead guilty to obstruction of justice in a federal probe of company stock option grants, the U.S. attorney's office said yesterday.
Nancy Tullos, 56, the former vice president of human resources, was charged with instructing a subordinate to delete an e-mail that contained evidence of stock option backdating by Broadcom senior executives and board members. The plea agreement and details about the charge were filed yesterday in U.S. District Court.
LITTLE CHEER FOR DELL GAME PLAN
DALLAS — An ambitious plan to re-ignite Dell Inc.'s fortunes got a mixed response from analysts and investors, who appeared split over how well — and how quickly — the computer maker can reinvent itself as an all-in-one technology juggernaut.
In the company's first earnings conference call with analysts in more than a year, Dell CFO Don Carty and founder and CEO Michael Dell on Thursday predicted more restructuring costs for the future. These will include acquisitions, layoffs and what Carty described as a slower decline in component costs. The company's shares tumbled $3.80, or 13.5 percent, to $24.33 in trading yesterday on news from Thursday's earnings report, released after the market's close.
