Energy: Aquila to cut more jobs

Energy wholesaler Aquila Inc. announced 150 more layoffs on Tuesday, a day after rating agency Moody’s said it would review the company’s debt for a possible downgrade.

Moody’s Investor Services currently rates Aquila debt one step above junk status.

In response, Aquila, formerly UtiliCorp United, said its “primary focus” for the rest of the year is improving its credit rating.

Moody’s said it decided on the review after Aquila’s first-quarter earnings slid 40 percent from the same quarter last year, and cash from operations “fell well short of investment needs,” Moody’s said.

The new round of 150 job cuts will be in Kansas City, Mo., where the company is headquartered, and will bring the total cuts to 650.

On Monday, Aquila said it would also drop efforts to take control of Quanta Services Inc. The Houston-based provider of services for the power, gas, and telecommunications industries had opposed attempts by Aquila, its largest shareholder, to seize control. Aquila owns about 38 percent in Quanta.

Also Tuesday, Aquila announced that it is dropping Arthur Andersen LLP as its accounting firm, and hiring KPMG LLP.

Wall Street: Warnings of terrorist attacks push markets lower again

Growing fearful of terror attacks, investors opted for safety Tuesday, securing profits and sending stocks sharply lower for a second day. The market’s uneasiness wiped out early gains prompted by better-than-expected retail earnings and a settlement for Merrill Lynch.

Analysts said the pullback, although expected following last week’s big rally, was exacerbated by fears of more attacks. Wall Street’s losses widened late Tuesday after the FBI warned New York law enforcement officials of an uncorroborated threat of terrorism involving landmarks like the Statue of Liberty and Brooklyn Bridge.

“It’s more of the geopolitical fears. Most of the corporate news is positive. The retail stores beat expectations, and so the consumer is still in the market,” said Arthur Hogan, market analyst at Jefferies & Co.

The technology sector registered the biggest drop, having enjoyed the biggest surge last week. The Nasdaq composite index closed down 37.41, or 2.2 percent, at 1,664.18. Combined with Monday’s 39.80-point decline, the Nasdaq has lost more than half of last week’s advance of 140.54.

Profits: Firms announce earnings

Target Corp. announced an increase in first quarter earnings Tuesday. The company, which operates a SuperTarget store in Lawrence at 3201 S. Iowa St., posted earnings of 38 cents per share, up from 28 cents per share a year ago.

Home Depot, the country’s largest home improvement retailer, posted earnings of 36 cents per share compared to 27 cents a share during the same period a year ago. Home Depot has plans to construct a store in Lawrence near 31st and Iowa streets.