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The Honolulu Advertiser
Posted on: Wednesday, December 23, 2009

BUSINESS BRIEFS
Recovery strengthening despite 3rd-quarter fade

Advertiser Staff and News Services

Hawaii news photo - The Honolulu Advertiser

Commercial construction was down in the third quarter, a factor in weaker-than-expected economic growth.

MEL EVANS | Associated Press

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WASHINGTON — All signs suggest the economic recovery will end the year on firmer footing despite a report yesterday that the economy grew at a 2.2 percent pace in the third quarter, less than previously thought.

The Commerce Department's new reading on gross domestic product for the July-to-September quarter was weaker than the 2.8 percent growth rate estimated a month ago. Economists had predicted this figure would remain the same in the final estimate of the quarter's GDP — the value of all goods and services produced in the United States.

The main factors behind the downgrade were that consumers didn't spend as much, commercial construction was weaker, business investment in equipment and software was softer and companies cut back more on their stockpiles of goods.

REVISED WORD AVAILABLE IN U.S.

SEATTLE — A federal appeals court ordered Microsoft Corp. to stop selling its Word program in January and pay a Canadian software company $290 million for violating a patent, upholding the judgment of a lower court.

But people looking to buy Word in the U.S. won't have to go without the software. Microsoft said new versions of the product, with the computer code in question removed, will be ready for sale when the injunction begins on Jan. 11.

Toronto-based i4i Inc. sued Microsoft in 2007, saying it owned the technology behind a tool in the popular word processing program. The technology in question gives Word users an improved way to edit XML, or code that tells the program how to interpret and display a document's contents.

FEDERAL EFFORTS HELP DRIVE HOME RESALES

WASHINGTON — Extraordinary government efforts to stabilize the housing market are paying off.

Sales of previously occupied homes surged in November to the highest level in nearly three years, spurred by federal subsidies for starter homes and a massive Federal Reserve push to drive down mortgage rates.

The strong figures were driven by a race to take advantage of a tax credit of up to $8,000 for first-time homebuyers. The credit has since been extended to next spring, but the government initially planned to end it Nov. 30.

— Associated Press