The news at a glance

Bear Stearns: Morgan ups its bid; Housing: Sales tick up, prices trend down; Retailing: Tiffany’s results shine; Fast food: What would Colonel Sanders think?; Broadcasting: XM-Sirius merger okayed

Bear Stearns: Morgan ups its bid

JPMorgan Chase this week dramatically increased its bid for beleaguered investment bank Bear Stearns, “in an effort to pacify angry Bear shareholders,” said Andrew Ross Sorkin in The New York Times. The sweetened offer of about $1 billion, or $10 a share—compared to the original offer of $2 a share—followed threats by Bear Stearns shareholders to block the takeover, which was midwifed last week by the Federal Reserve after Bear clients staged a run on the bank. “The central bank had directed JPMorgan to pay no more than $2 a share for Bear to assure that it would not appear that the Bear shareholders were being rescued.”

The Week

Escape your echo chamber. Get the facts behind the news, plus analysis from multiple perspectives.

SUBSCRIBE & SAVE
https://cdn.mos.cms.futurecdn.net/flexiimages/jacafc5zvs1692883516.jpg

Sign up for The Week's Free Newsletters

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

From our morning news briefing to a weekly Good News Newsletter, get the best of The Week delivered directly to your inbox.

Sign up

Housing: Sales tick up, prices trend down

For the first time since July, monthly home sales increased in February from the previous month, said David Goldman in CNNmoney.com. Sales of previously existing homes rose 2.9 percent in February to an annualized rate of 5.03 million, up from January’s 4.89 million. Median home prices, meanwhile, continued their plunge, falling 8.2 percent to $195,900, from $213,500 in February 2007. “Before the start of the current housing slump, it had been 11 years since prices fell compared to a year earlier.”

Retailing: Tiffany’s results shine

“In a positive sign for the luxury-goods sector,” Tiffany & Co. reported a better-than-expected fourth-quarter profit of $118 million on sales of about $1 billion, said Andrea Cheng in Marketwatch.com. Gains in London and in Asian markets other than Japan contributed to the surprisingly good quarter. “Still, some analysts said the company needs to improve sales both in the U.S. and Japan.” Gains in the U.S. could be hard to come by, though, as layoffs on Wall Street are cutting into Tiffany’s customer base.

Fast food: What would Colonel Sanders think?

In what some observers are describing as true evidence that more-healthful eating has gone mainstream, Kentucky Fried Chicken will soon begin serving grilled chicken at its fast-food restaurants, the Associated Press said. KFC parent Yum Brands announced this week that customers would soon be greeted by “Now Grilling” signs at its locations, starting in six U.S. cities. “KFC says the grilled chicken has significantly fewer calories and fat, plus much less sodium, than its Original Recipe fried chicken.” KFC has also added a fish sandwich to its menu. Company executives “insist the chain is not backing away from its most famous product.”

Broadcasting: XM-Sirius merger okayed

More than a year after the $5 billion merger of XM and Sirius was announced, the Justice Department this week approved the deal combining the two satellite radio broadcasters, said CNNmoney.com. The deal had been held up by a lengthy antitrust review. Justice officials ruled that over-the-air radio and Apple Computer, with its iTunes and iPod franchises, “served as alternate options for music and media customers.” The combined company will have about 14 million subscribers and on-air personalities including Oprah Winfrey and Howard Stern.

Explore More