A strike by Comair pilots Monday forced the nation's second-largest regional airline to cancel hundreds of flights and left some passengers scrambling to book new travel arrangements.
In red letters, the word "canceled" appeared across Comair's arrival and departure boards at the Cincinnati-Northern Kentucky airport, the airline's main hub.
The strike is the first against Comair in its 24-year history. The airline had warned of the cancellations Sunday, and many of its passengers transferred to other airlines, including Comair's corporate parent, Delta Air Lines Inc.
Comair, which also flies under the name Delta Connection, built its business serving smaller markets. With another hub in Orlando, it serves 95 cities in North American and the Bahamas.
TECHNOLOGY
Conexant to cut jobs
Conexant Systems Inc. is cutting 1,500 jobs, or 17.8 percent of its work force, as it tries to reduce costs due to the technology market slowdown.
The semiconductor and Internet software company also announced Monday that it expects to lose more than expected in its second fiscal quarter as revenue will be 35 percent to 40 percent lower than in the first quarter.
The company expects a loss of 35 cents to 40 cents a share excluding the impact of one-time charges. Analysts surveyed by Thomson Financial/First Call expected a loss of 24 cents a share.
The job cuts include the company's Newport Beach, Calif., headquarters and semiconductor plant, and facilities in San Diego and Ventura counties.
LSI Logic Corp to purchase
C-Cube Microsystems
LSI Logic Corp. will acquire C-Cube Microsystems Inc. in an all-stock transaction valued at $878 million.
Under terms of the transaction announced Monday, each outstanding share of C-Cube common stock will be exchanged for 0.79 of a share of LSI Logic common stock.
"The acquisition of C-Cube will enhance LSI Logic's technology strengths in designing and manufacturing complete solutions for customers in rapidly growing communications and broadband entertainment markets," said Wilfred Corrigan, LSI Logic chairman and chief executive officer.
LSI Logic said the deal should be completed by the end of June.
DRUG STORE
Walgreen announces
earnings increase
Walgreen Co., the nation's largest drug store chain, reported a 24.3 percent earnings jump in its second quarter, slightly ahead of Wall Street projections.
Net earnings for the quarter ended Feb. 28 increased to $296.9 million, or 29 cents a share, up from $238.9 million, or 23 cents a share, a year ago.
Wall Street analysts surveyed by First Call/Thomson Financial had estimated per-share earnings at 28 cents.
The Deefield, Ill.-based company, which has two stores in Lawrence, posted a $22.1 million pre-tax gain in the second quarter for a partial payment of its share of a prescription drug antitrust litigation settlement. Excluding this gain, earnings for the quarter increased 18.6 percent to $283 million or 28 cents per share.
AIRCRAFT MANUFACTURER
Raytheon wins
approval for jet
Defense contractor Raytheon's Premier I business jet has received certification from the Federal Aviation Administration, the company said Monday.
Raytheon said it has more than 300 of the six-passenger, $5.3 million business jets on order and is preparing to deliver up to 60 per year. The FAA decision will likely make it easier for Raytheon to sell the aircraft manufacturing division that is building the plane.
"It was certainly a very important event," said Paul Nisbett, an aerospace analyst with JSA Research in Newport, R.I.
Lexington, Mass.-based Raytheon said it's the first time the FAA has approved an all-composite fuselage design. Raytheon has several similar aircraft in the pipeline, and the FAA's decision should clear the way for t
Nisbett said it is widely understood that Raytheon is trying to sell its Wichita, Kan.-based aircraft division, which had revenues of $3.2 billion last year, in order to reduce Raytheon's $10 billion debt load.
Raytheon spokesman David Polk declined to comment on whether the unit is for sale.
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