Factory Output Continues to Rise; GE Profits Increase by 5% in 4Q

U.S. Factory output continues to rise – in December it rose for the fifth straight month. Factory output is now 22% above its recession low. UPS (UPS) is expecting its 4Q profit to be lower than expected due to all the delayed deliveries of holiday packages. UPS cites that they were hit hard due to a shortened holiday shopping season and an unprecedented level of online shopping. General Electric (GE) met Wall Street’s expectations of earning 53 cents per share after its net income rose 5% in December. The U.S. government believes that Target’s (TGT) security breach was originated in Russia after seeing that portions of the malware code was written in Russian.

Word on the Street

• McDonald’s (MCD) can afford to pay its employees more.
• Freedom Industries, the company responsible for W. VA chemical spill, files bankruptcy.
• GM’s (GM) first female CEO to earn $1.6 million base salary.
• UPS (UPS) expects low 4Q profits due to delayed holiday packages.
• Apple (APPL) will begin repairing cracked iPhone screens in store.
• Intel (INTC) stock falls on earnings, lower guidance.

Interesting Tidbits

• How will business owners spend their money this year?
• More colleges may offer fixed-rate tuition plans to help financial planning.