6 companies to pay $10M over hidden fees in clubs
New York State Attorney General Andrew Cuomo said Wednesday that six companies will pay $10.1 million in fines and restitution after hundreds of thousands of consumers were tricked into joining discount clubs that carried hidden fees. Marketing company Affinion Group Inc. and its Trilegiant unit will pay $8 million, while Classmates Online, FTD, Avis Budget Group, GameStop and Avon Products will pay $2.1 million, Cuomo said.
GM files initial paperwork for sale of shares to the public
General Motors Co. yesterday filed the first batch of paperwork required by regulators to sell stock to the public, a step that brings the automaker closer to its goal of shedding government ownership. The 700-page registration form, filed with the Securities and Exchange Commission, did not say how many shares would be sold. No date was set for the sale, but experts say the IPO could come as early as October. The offering would have to bring in $70 billion just to pay back all of GM's stakeholders. The largest United States IPO so far is Visa Inc.'s 2008 offering, which raised $19.7 billion.
Melville's Nu Horizons inks distribution deal with Lineage
Melville-based computer-chip seller Nu Horizons Electronics Corp. has agreed to open its distribution network to a new partner, Texas power-supply maker Lineage Power Corp. The Plano company makes components that regulate electricity flow to laptops and other devices. Its telecom customers include Verizon, AT&T, Apple and Huawei, a major Chinese communications company.
- Joseph Mallia
Major indexes eke out gains in roller-coaster trading session
Stocks ended a seesaw day with a modest gain Wednesday after investors found some pluses in retail earnings reports. The Dow Jones industrial average rose 9.69 points, or 0.1 percent, to 10,415.54. The Standard & Poor's 500 index rose 1.62, or 0.2 percent, to 1,094.16. The Nasdaq composite index rose 6.26, or 0.3 percent, to 2,215.70.
- Staff and wire reports