Business news in brief

FILE--In this Aug. 6, 2017, file photo, demonstrators against the Keystone XL pipeline march in Lincoln, Neb. Opponents of the proposed oil pipeline from Canada are asking a federal judge to force the U.S. government to turn over emails and other documents related to President Donald Trump's approval of the project. (AP Photo/Nati Harnik, file)
FILE--In this Aug. 6, 2017, file photo, demonstrators against the Keystone XL pipeline march in Lincoln, Neb. Opponents of the proposed oil pipeline from Canada are asking a federal judge to force the U.S. government to turn over emails and other documents related to President Donald Trump's approval of the project. (AP Photo/Nati Harnik, file)

Qualcomm raises bid for NXP to $44B

SAN DIEGO -- Qualcomm on Tuesday increased its takeover bid for rival chipmaker NXP Semiconductors to about $44 billion in hopes of shoring up support for the deal, and to potentially fend off its own unwanted suitor, Broadcom.

Under the new terms, Qualcomm would pay $127.50 for each NXP share, 16 percent more than originally proposed, and the threshold for how many NXP shareholders must agree to tender their shares would be lowered from 80 percent to 70 percent.

In statements, Qualcomm officials said NXP technology would bolster their company's products for the next-generation 5G wireless standard.

The revised bid was enough to win over investors controlling roughly 28 percent of NXP's shares, including Elliott Management, the activist hedge fund that had opposed Qualcomm's initial offer as too low. Elliott had argued that NXP, whose chips are used in cars, payment terminals and other products, was worth at least $135 a share.

The question now is whether the new offer will force Broadcom to walk away from its $121 billion hostile bid for Qualcomm. Broadcom's chief executive, Hock Tan, has said that his company would abandon the takeover if Qualcomm's offer for NXP rose above $110 a share.

-- The New York Times

Group seeks Keystone pipeline papers

BILLINGS, Mont. -- Opponents of the proposed Keystone XL oil pipeline from Canada are asking a judge to force the U.S. government to turn over emails and other documents related to President Donald Trump's approval of the project.

Environmentalists who sued to stop the 1,179-mile pipeline from Alberta to Nebraska said the documents could bolster their case that Trump's decision was arbitrary and should be overturned by the courts.

But U.S. Justice Department attorneys argued in court filings that the disputed documents include internal deliberations that don't have to be made public. They said the request amounts to a "fishing expedition" and should be rejected.

Formal arguments are scheduled for today before U.S. District Judge Brian Morris in Great Falls, Mont.

If the environmentalists prevail, the U.S. State Department would have to review an estimated 5 million pages of documents at a cost of more than $6 million, according to a declaration filed by Jerry Drake, an agency division chief who oversees its information technology team.

President Barack Obama's administration rejected the pipeline in 2015 after it had become a flashpoint in the debate over climate change and fossil fuel use. It was revived in March 2017 under Trump, who insisted it would lead to greater energy independence.

-- The Associated Press

Renovations propel Home Depot sales

ATLANTA -- Home Depot sales got another shot in the arm from the U.S. housing boom last quarter, with an extra boost from hurricane-recovery efforts in Puerto Rico and Southern states.

A push by Americans to fix up their properties -- using money generated by rising home values -- helped lift the retailer's same-store sales by 7.5 percent. That beat analysts' prediction of 6.5 percent, according to Consensus Metrix.

After almost a decade of rising U.S. property values, homeowners are making renovations at a record pace. The world's largest home-improvement chain also has benefited from investments in its technology and customer service -- part of a strategy that has focused on generating more sales from current stores, rather than opening new ones. Through the end of last week, the stock had surged about 30 percent in the past 12 months, though it closed Tuesday down 0.14 percent.

Home Depot also is benefiting from a wave of millennials finally buying homes and starting families. That's sending more consumers and contractors into its stores seeking supplies, appliances and fixtures.

Revenue rose 7.5 percent to $23.9 billion in the fourth quarter, exceeding the average estimate of $23.7 billion. Earnings amounted to $1.69 a share, excluding some items, compared with a projection of $1.63.

-- Bloomberg News

EU set to retaliate for any U.S. tariffs

BERLIN -- A German newspaper reports the European Union is drawing up a list of U.S. products to target -- including orange juice and Kentucky bourbon -- if Washington restricts imports of aluminum and steel.

The U.S. Commerce Department last week urged President Donald Trump to impose tariffs or quotas on foreign-made metals, citing national security concerns.

The Frankfurter Allgemeine Zeitung daily reported Tuesday that the European Commission plans to retaliate with tariffs on U.S. agricultural products, but also whiskey and Harley-Davidson motorcycles.

European Commission spokesman Margaritis Schinas declined to comment on the list but said the EU would take "appropriate measures to defend EU industry."

He said in Brussels "we stand ready to react swiftly and appropriately in case our exports are affected by any restrictive trade measures from the United States."

-- The Associated Press

KFC struggling to get chicken to U.K.

LONDON -- Yum! Brands Inc.'s KFC warned that a supply-chain breakdown that has shut more than half of its 900 United Kingdom outlets would persist for the rest of the week, continuing to deprive fans of their fried-chicken fix.

KFC said it's working with new logistical partner Deutsche Post AG to solve a problem that began over the weekend, leaving only 430 British shops with any chicken to cook as of Tuesday. About 80 percent of the brand's U.K. eateries are franchised.

"We anticipate the number of closures will reduce today and over the coming days," KFC said in an emailed statement Tuesday. "However, we expect the disruption to some restaurants to continue over the remainder of the week, meaning some will be closed and others operating with a reduced menu or shortened hours."

KFC overhauled its U.K. chicken supply chain in November by replacing logistics provider Bidvest Group Ltd. with Deutsche Post's DHL, better known for delivering books and toys to online shoppers' homes.

-- Bloomberg News

Business on 02/21/2018

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