Avon Eliminating Hundreds of Jobs; Leaves Ireland
NEW YORK — Avon is eliminating more than 400 positions and abandoning or restructuring smaller or underperforming businesses in Africa, the Middle East and Europe, including an exit from Ireland. The company said Monday that the job cuts, which equate to about 1 percent of Avon’s 39,100 employees, will occur across all regions and segments. It is part of a turnaround plan under CEO Sheri McCoy, with the goal of achieving mid-single digit percentage revenue growth and $400 million in cost savings by 2016. Avon expects to complete almost all the cuts before year’s end. The New York company will take charges of around $35 million to $40 million before taxes and expects annualized savings of between $45 million and $50 million. (MORE: Report: Google Fiber Coming to Austin as Cities Race to Increase Web Speeds) The jobs cuts come on top of the 1,500 positions trimmed in December, when the company announced that it was exiting Vietnam and South Korea. The direct seller of beauty products ...
Is Asia Heading for a Debt Crisis?
Of the many reasons why Asia (outside of Japan) weathered the Great Recession more ably than other parts of the world, one of the most important was the fact that the region never experienced a financial crisis. The banks of Asia generally avoided indulging in the toxic sub-prime securities that tanked some of Wall Street’s most famous institutions. Part of the reason was they could earn real returns in their core business – lending to expanding companies in their high-growth home economies. The banks, too, had also learned a lesson – a painful lesson – from the 1997 Asian financial crisis about the dangers of risky lending and unsustainable debt, and had become more conservative than they had been in the past. Government officials in Asia, as well, tend to take an old-fashioned attitude on budget spending and borrowing (again, outside of Japan), and they, unlike their counterparts in Europe, were able to stimulate their economies without undercutting their solvency. Now, however, ...
Market Snapshot: Stock futures up after China data; claims ahead
Stock-market futures pointed to another day of gains for Wall Street on Thursday, with sentiment lifted by stronger-than-expected Chinese trade data. Weekly jobless claims, a couple of Fed speakers and central bank meetings out of Europe are also due to draw attention.
Top Ten: MarketWatch’s top 10 stories, Nov. 19 - 23
Fiscal cliff? Worries over the debt crisis in Europe and waning growth in China? No problem on Wall Street: In a holiday-shortened week markets rallied 3% or more.
Before the Bell: Earnings, China and new-homes data in focus
Wall Street points higher, with U.S. stocks stabilizing following Tuesday’s heavy selling, amid the latest deluge of corporate earnings from sector majors including Boeing, AT&T and Facebook. Investors also will parse new-home sales and other U.S. data points, ahead of the Federal Reserve’s policy decision. Chinese manufacturing data provide some encouragement that the No. 2 global economy might be in for a soft landing. Stock gains in Europe are restrained by lackluster PMI and Ifo data, however.