Here is a look at Friday's top business stories:
Earnings rise 14 percent at GE
FAIRFIELD, Conn., July 12 (UPI) -- General Electric Co. said its second quarter net income rose 14 percent on strong gas turbine sales, but reinsurance losses and a write-down on WorldCom bonds cut into the conglomerate's profits.
The maker of everything from jet engines to light bulbs and washing machines said its second quarter net income rose to a record $4.4 billion, or 44 cents a diluted share, from $3.89 billion, or 39 cents a diluted share during the same period last year.
Analysts on Wall Street that track the company were expecting GE to post a net income of 44 cents a share, according to Thomson Financial/First Call.
GE noted its second quarter results reflected a $236 million quarterly loss at its Employers Reinsurance Corp. business and a $110 million after-tax loss for an impairment on WorldCom Inc. bonds.
The results also included a favorable tax settlement that added $358 million to earnings.
GE, a Dow Jones industrial average component, said its second quarter revenue rose 4 percent to $33.21 billion from $31.97 billion a year ago.
Revenue at its power systems business surged 27 percent to $6.52 billion while profits at the unit surged 66 percent.
Jeff Immelt, chairman and chief executive officer, said, "GE's diversified portfolio of leading businesses produced another quarter of double-digit earnings growth and strong cash flow.
"Our long-cycle industrial businesses and GE Capital's consumer and mid-market businesses continue to deliver. The improved performance we're seeing at our short-cycle businesses -- particularly NBC, plastics and appliances -- position us well for future quarters. The GE team continues to perform in a tough environment," Immelt said.
The company said GE Power Systems shipped 109 heavy-duty gas turbines in the quarter, including 86 from its Greenville, South Carolina facility. GE Power Systems Energy Services added 25 new contractual services agreements valued at $1.1 billion. Commitments through the first half of the year reached $26.1 billion, $6.5 billion or 33 percent more since second quarter of last year.
The company said GE Medical Systems total orders jumped 18 percent to $1.8 billion, with double-digit growth in most modalities, and healthcare services orders grew 17 percent.
GE said NBC continued its success in television's most sought-after demographic, adults 18 to 49, with seven of the quarter's 10 highest-rated prime-time programs.
The network claimed its ninth consecutive sweeps victory in May with a 37 percent advantage over its nearest competitor.
Overall, NBC led in key demographics for the quarter in morning news, daytime, evening news, late night and Sunday morning public affairs programming.
The company said with this ratings success, NBC garnered 52 percent of the growth in advertising industry dollars in May's upfront sales season, reaching $2.7 billion at prices 7 percent higher than last year.
NBC also saw increases in scatter pricing, which at the end of the quarter was 7 percent higher than upfront pricing.
GE Appliances revenues grew 14 percent and operating profit jumped 28 percent as new products continued to drive share gains and increase profitability.
The company said its plastics unit order volume for core products grew 25 percent over second quarter 2001, although global price pressures continued and held the increase in the monetary value of those orders to 15 percent.
Looking ahead Immelt said, "Our third quarter looks promising, and we remain comfortable with the targets we've communicated for the full year."
For the year, GE sees earnings of $1.65 to $1.67 per share.
Stocks rise in Asia
TOKYO, July 12 (UPI) -- Stock prices on the Tokyo Stock Exchange ended higher Friday as Wall Street's late recovery on Thursday from steep intraday losses and some rare good news from the U.S. technology sector helped overcome investor concerns over the Japanese yen's continued strength.
Prices also rose in Hong Kong, Seoul, South Korea, Taipei, Taiwan and in Sydney, Australia.
Japan's blue-chip Nikkei Stock Average of 225 selective issues, which fell 266.92 points Thursday, rose 115.71 points, or 1.1 percent, to 10,601.45, led higher by buying in high-tech heavyweights. The broader Topix Index posted a more modest gain, adding only 2.34 points, or 0.2 percent, to 1,019.51.
Trading activity rose to an estimated 700.31 million shares from 644.82 million shares changing hands on Thursday. The rise in activity was mostly due to the settlement of July options contracts.
But, despite the gains in the Nikkei and Topix, declines outpaced advances 707 to 575, while another 204 issues settled unchanged.
Analysts said sentiment improved after Wall Street, which was stuck in a violent downspin earlier in the week but managed to find its feet by the end of trading Thursday.
Sentiment was also helped by an upward earnings revision late Thursday by personal computer giant, Dell. The company said it now expects second quarter revenue growth of about 9 percent to $8.3 billion and earnings growth of about 19 percent to 19 cents a share.
On May 16, Dell said it expected second quarter earnings of 18 cents a share on revenue of $8.2 billion.
Analysts noted local investors remained calm even after the U.S. dollar dropped below 117.00 yen -- marking a further strengthening of the Japanese currency that will cut into the value of Japanese exporters' overseas earnings.
In trading, Toshiba, Dell's archrival in the global notebook personal computer market, rose 1.2 percent, NEC Corp. gained 2.2 percent and Fujitsu rose 2.0 percent.
Kyocera jumped 3.8 percent, Tokyo Electron rose 3.0 percent, Advantest improved 2.8 percent and Sumitomo Mitsui Banking rose 2.6 percent.
Elsewhere in Asia, prices ended modestly higher on the Hong Kong Stock Exchange, lifted by strength in telecom issues. The blue-chip Hang Seng Index rose 89.49 points, or 0.85 percent, at 10,648.30.
Advances outpaced declines 296 to 161, while aonther 336 issues ended unchanged.
Analysts said the market was supported by strength in the territory's top telecoms firm PCCW, which jumped 3.5 percent on hopes it would tap the lucrative mainland market with its joint venture with China Telecom.
Meanwhile, Cathay Pacific Airways, Asia's fourth biggest carrier, rose 2.4 percent. Hong Kong's dominant broadcaster TVB fell 4.2 percent on fears of rising competition after Asia's richest tycoon, Li Ka-Shing, said he would buy into its smaller rival Asia Television.
Prices also ended higher on the South Korean Stock Exchange, lifted by some strength in technology issues. The Kospi Composite Index gained 28.05 points, or 3.67 percent, to 792.93.
Chip giant Samsung Electronics jumped 6.2 percent, Hynix Semiconductor surged the 15 percent daily trading limit, semiconductor parts maker Mirae also shot up the 15 percent limit and Korea Telecom, which recently announced it will use Juniper Networks' technology for its high-speed backbone network, gained 3.8 percent.
Stocks rose sharply on the Taiwan Stock Exchange, lifted by strength in tech issues. The Weighted Index jumped 213.91 points, or 4.11 percent, to 5,416.50.
Microchip heavyweight Taiwan Semiconductor Manufacturing jumped 5.2 percent, United Microelectronics climbed 4.3 percent and Powerchip Semiconductor climbed 6.6 percent.
Elsewhere around the Pacific region, prices ended slightly higher on the Australian Stock Exchange in light pre-weekend trading, snapping their two days losing strength in News Corp.
The blue-chip All Ordinaries Index, which lost 33.10 points Thursday, added 4.40 points, or 0.14 percent, to 3,146.50.
Wall Street managed to edge off five-year lows Thursday, boosting News Corp. and providing some relief for the Australian market, which had lost 2 percent over the past two sessions.
News Corp., which derives 75 percent of revenues from the United States and accounts for 7.4 percent of the local benchmark index, climbed 1.7 percent.
Resources giant BHP Billiton declined 0.6 percent despite a report that the global resources conglomerate is set to win a 12.5 percent rise in 2002-03 coking coal prices from Japanese customers.
