Briefcase

Consumers continue to boost economy

Consumers, an important force shaping the economic recovery, spent modestly in March, helping the economy log solid growth in the last quarter.

The Commerce Department reported Friday that consumers boosted their spending by 0.4 percent last month. That followed another 0.4 percent increase in February, according to revised figures. February’s increase was double the 0.2 percent advance reported a month ago.

Americans’ incomes, meanwhile, also rose solidly in March, increasing by 0.4 percent. That came on top of a 0.5 percent gain in February. The increase was encouraging because income growth is a main factor in people’s willingness to spend in the future, economists said.

Grocer

Winn-Dixie to slash 10,000 jobs, close stores

Struggling supermarket operator Winn-Dixie Stores Inc. plans to cut 10,000 jobs from its payroll by closing or selling 156 stores and three distribution centers and selling several manufacturing businesses during the next year, the company said Friday.

The job cuts will reduce its work force by about 10 percent.

The announcement came as the Jacksonville, Fla., company reported a sharp decline in its third-quarter profits as sales fell 5.5 percent.

Investigation

Pepsi-Cola, Frito-Lay facing civil charges

The Pepsi-Cola and Frito-Lay divisions of PepsiCo Inc. have been notified by the staff of the Securities and Exchange Commission that it will recommend bringing a civil action against the units, the firm said Friday.

The SEC is alleging that a nonexecutive employee at Pepsi-Cola and another at Frito-Lay signed documents in early 2001 prepared by what is now called Kmart Holding Corp. acknowledging payments of $3 million from Pepsi-Cola and $2.8 million from Frito-Lay.

Kmart allegedly used the documents to improperly record the timing of revenue from these businesses. Frito-Lay operates a plant in Topeka, and Kmart has a distribution center in Lawrence.

Lawrence

Parade of homes continues this weekend

The Lawrence Home Builders Assn.’s Spring Parade of Homes will be from noon to 5 p.m. today and Sunday.

The event, which began last weekend, features 24 new homes in Lawrence, Baldwin and Eudora that are open for public viewing.

A list of homes on the tour can be found on the association’s Web site at www.lhba.net.

Earnings

Procter & Gamble announces brisk sales

Procter & Gamble Co. said Friday that earnings rose 20 percent in its third quarter as brisk business in beauty care, health care and developing markets helped the consumer products giant continue its strong growth surge.

“We’re continuing to deliver sales and earnings growth above our long-term targets,” said A.G. Lafley, P&G’s chairman and chief executive. “These strong results demonstrate the sustainability of our strategies and reflect the power of our brands, innovation program and go-to-market capability.”

P&G said it earned $1.53 billion, or $1.09 a share, for the quarter that ended March 31 compared with $1.27 billion, or 91 cents a share, last year.