WEATHER SAPS NEW-HOME SALES
WASHINGTON» Sales of new U.S. homes fell in January for the second straight month, possibly dragged down again by bad weather.
The Commerce Department reported Monday that last month’s sales came in at a seasonally adjusted annual rate of 593,000, the lowest level since August and down 7.8 percent from a revised 643,000 in December.
Economists had expected new home sales to bounce back after tumbling amid harsh winter weather in December. But they may have underestimated how bad January’s weather turned out to be.
Sales skidded 33.3 percent in the Northeast in January from December and 14.2 percent in the South. But they rose 15.4 percent in the Midwest and 1 percent in the West.
The median price of a new home dropped to $323,000, down 4.1 percent from $336,700 in December.
Judge rules against Pharma Bro.
YORK» A judge has ruled that NEW
“Pharma Bro” Martin Shkreli was responsible for nearly $10.5 million in losses in his securities fraud case.
The amount set on Monday by Judge Kiyo Matsumoto could result in a harsher punishment for Shkreli at his March 9 sentencing.
The judge rejected arguments by lawyers for the former pharmaceutical CEO that investors in his failed hedge funds didn’t suffer actual losses because he paid them back with drug company stock.
UPS sues EU for $2 billion.
BRUSSELS» U.S. delivery giant UPS is suing the European Union’s antitrust regulator for blocking a merger with Dutch firm TNT Express, which later was snapped up by UPS rival FedEx Corp.
United Parcel Service Inc. is seeking 1.742 billion euros ($2.14 billion) in compensation.
In a company release Monday, UPS said its proposed acquisition of TNT would have helped consumers. The Atlanta company said its compensation request was based on estimates of lost business made by independent experts.
Buffett says tax cuts provide huge boost.
OMAHA» Billionaire Warren Buffett says American businesses are getting a significant boost from the tax overhaul, but health care costs remain a drag so he hopes a new initiative his company started with Amazon and JP Morgan Chase will deliver significant savings.
Buffett appeared on CNBC Monday after releasing his annual letter to Berkshire Hathaway shareholders over the weekend. Buffett’s Omaha conglomerate reported a $29 billion paper gain on farreaching changes to the U.S. tax code, and the conglomerate will benefit from a lower tax rate going forward.
“It’s a huge tail wind,” Buffett said.
Weinstein Co. expected to file bankruptcy.
ANGELES» The
LOS
Weinstein Co.’s board of directors says the company is expected to file for bankruptcy protection after last-ditch talks to sell its assets collapsed.
Now-disgraced movie mogul Harvey Weinstein co-founded the company in 2005. He was fired last October after being accused of sexual assault and harassment by dozens of women. Weinstein Co. has been searching for a financial savior ever since. Weinstein has denied all allegations.