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Show BUSINESS REPORTER: TARA DUGGAN B8 THE DAILY HERALD (www.HarkTheHerald.com) 2 Business Briefing Wal-RfflairS-DiraiDv- FRIDAY, MAY gJunto JlapaM Sm Economic recovery on track The nation's factories, hardest hit WASHINGTON by last year's recession, saw fresh signs of improvernent in April, with orders for costly manufactured goods rising for a fifth straight month. The Commerce Department reported Thursday that orders for durable goods items expected to last at least three years jumped 1.1 percent, with demand especially strong for cars, communications equipment and machinery. Economists were encouraged by the news, saying it fnay point to the beginning of a turnaround in capital something that is necessary for (spending by businesses a solid recovery for the national economy. Deep cuts to such spending were key to the economy's plunge into recession last year. This report seems to indicate that the collapse in investment is behind us and we are in the beginning stages of a rebound," said economist Joel Naroff of Naroff Economic Advisors. In other economic news, fewer Americans filed new Iclaims for unemployment insurance, but people who are put of work are having trouble finding jobs. I I Robotic combat plane takes maiden flight The first EDWARDS AIR FORCE BASE, Calif. (AP) unmanned robotic plane designed specifically to fly combat missions has successfully made its maiden flight. one of two built so far by Boeing Co., was The lairborne for 14 minutes Wednesday, the company said. With a wingspan, no tail and an engine where d drone can jthe cockpit would normally be, the of bombs, making it twice as tarry 3,000 pounds guided jefficient as the typical manned fighter. Its pilot who may fly several planes at once would remain on the ground, out of harm's way. Other robotic aircraft, including the Predator in ; Afghanistan, have been equipped with weapons, but they X-4- 5, 36-fo- ot ! 8,000-poun- . ; were originally designed as spy planes. Air Force officials envision the 5 taking part in missile strikes against enemy radar and surface-to-ai- r ! X-4- emerging By YURI KAGEYAMA TOKYO buy a interest in the Japanese retailer Seiyu was approved at a Seiyu shareholders meeting Thursd day, giving the retailer access to the world's second-richeconsumer market. The vote seals an agreement reached last month that would enable to try its aggressive discounting approach in Japan even as an economic slump has forced stores there to struggle for survival. Under the deal, will pay $48 million for 6.1 percent of Seiyu and get an option to invest $2 billion in new Seiyu shares by the end of 2007, which would boost its stake to 66.7 percent. The head of international operations told U.S.-base- st p although stores are growing fewer. Even the biggest retail Co., chain which runs the mom-and-po- Ito-Yoka- Wal-Ma- rt Wal-Ma- rt Wal-Mart- 's reporters that the Ben-tonvill- e, company Art-base- d put the finishing touches business plan on a will five-ye- ar for Seiyu by the end of the year. "We see great opportunities for the Seiyu partner- - - After decades of obsession with expensive designer brands, Japanese have been turning lately to discount stores, factory outlets "iSnd "100 yen" stores, wfjjjjp almost everything is pnoed at th, equivalent of about$l. Japanese retailing market remains fragmented, A deal giving Stores an option to two-thir- g smart-shopDin- trend grows stronger. AP Business Writer Wal-Ma- rt 24;gft2 convenience stores here does only a fraction of the business of a global giant like Seiyu will also get $40 million from another parto ner, trading company fbr in return Corp., 5.1 percent of Seiyu stock. That brings Sumitomfts stake to about 15.6 percent. operates mabe than 2,740 stores in Jfte United States and rims 1,170 stores in foreign countries such as Argentina, Brazil, Canada, China and Germany. Its annual saj(s total $218 billion. Salesat Seiyu total around $8 bil" lion a year. SH1ZUO KAMBAYASH1 The Associated Press International Chief Executive John Menzer, Teaming up: left, listens to Masao Kiuchi, president of Japanese retailer Seiyu, during a joint press conference in Tokyo on Thursday. Wal-Ma- rt Wal-Mar- t. Sui-itom- ship,'' said Inter- Wal-Ma- rt runs its stores and Wal-Ma- rt to offer them opportunities to sell to in other countries. The partnership may use both the Seiyu and brands, a practice followed in Britain after acquiring grocery chain Asda, he said. Analysts say that low prices may catch on even with Japan's finicky buyers if the economic slowdown here continues and an national chief executive John Menzer. Wal-Ma- rt While declining to go into detail about plans for Seiyu, Menzer would said that bring to the partnership its way of managing suppliers and use of sophisticated computers to track sales and inventory. Menzer said that he met with more than 500 Seiyu suppliers to explain how Wal-Mart- Wal-Ma- 's Wal-Ma- rt Wal-Ma- rt Wal-Ma- rt rt Wal-Mar- t's batteries. e range Boeing designed the plane to have a Jand fly at subsonic speeds. Officials expect each plane the will cost $10 million to $15 million, at about cost of newest fighter jets. 750-mil- one-thir- d Stocks stage Family gives up control of Adelphia By LISA SINGHANIA : PHILADELPHIA (AP) The family that founded Adelphia Communications Corp. has agreed to relinquish control of the troubled cable television systems owner and turn over $1 billion in assets to help it recover from a financial crisis, the company announced Thursday. Adelphia stock tumbled more than 50 percent as trad-ba- g resumed for the first time in more than a week. Under the agreement, founder John Rigas and sons i JHmothy, Michael and James resigned as directors of the cable provider, the company said. nation's Peter Venetisy has also been asked to Rigas's ' J resign from the board. stock Adelphia's price plunged Thursday afternoon when trading resumed on the Nasdaq Stock Market. The stock was trading at $2.56 a share, down $3.14, or 55 percent from its May 14 closing. f Adelphia, based in Cpudersport in rural northern Pennsylvania, has been struggling since it revealed in March that it failed to disclose that it had guaranteed billions of dollars in borrowing by the Rigas family and partnerships for which the company might bear liability. The company said, that as a result of talks with the Securities and Exchange Commission it had agreed to increase to $2.5 billion the amount of debt included on its financial statements to reflect borrowings by the family. Adelphia iiow,. estimates that it is liable or $3.1 billion in family debts. sixth-large- st son-in-la- w, : family-owne- d - AP Business Writer NEW YORK Wall Street waited until the eleventh hour again Thursday, sending stocks solidly higher late in the session after waffling most of the day on fears of more terror, ' . : attacks. It was the second day in a row that stocks turned around in late afternoon. The gains followed an unexped ed increase in orders and a drop in unemployment insurance claims, and analysts said the market appeared to be doing its best to make sure its fears about terrorism don't overshadow big-tick-et comebacM last-minu- te president and chief strategist of Global Partner Securities. "But no one is showing any irrational behavior, and for big purchases including were more inclined to mt equipment jumped 1.1 percent in April, a bigger increase than expected. It was the fifth straight month that orders for durable goods rose. A separate report from the Labor Department report showed jobless claims dropped by 9,000 to 416,000 last week, the lowest level in eight weeks. But investors were still cautious, unnerved by the government's warnings earlier this week that future terrorist attacks were all but inevitable. Analysts said the unease translated into a market in which investors Technology stocks wse mixed. Ciena dropped JJ6 cents to $6.08 on weak sales andja third quarthe that warning ter could also be disappointing. But Microsoft jumpSd $1.13 to $54.82 while Cisfo Systems gained 34 cents ato $16.90., Among blue chips, Boeyjg dropped 26 cents to $44.45 on news it will deliver eight fewer widebody jets than Z expected next year. Krispy Kreme rose $1.55 to $41.10 after reporting results sHgEfly ahead of expectations. cars and communications . that's a good sign." The Dow Jones industrial average closed up 58.20, or 0.6 percent, at 10,216.08, after rising 52 points Wednesday. Broader stock indicators also ended higher. The technology-focused Nasdaq composite index fared particularly well, advancing 24.18 or 1.4 percent, at 1,697.63, while the Standard & Poor's 500 index was up 11.06, or 1.0 percent, at 1,097.08. The Commerce Department reported that orders JfreeU! ing to make big bets on stocks," said Peter Cardillo, SANDS: with your Purchase J of Flagstone. c "7 Value of 580 West 165 84058 (801) South Orem, Utah 229-715- 4 TFW If . $240 IM - ' I $155 I 111 l.llllMI"W'r" lr:;ri I $165 $U3 $143 "r$105 $95 $124 $90 $52 N7A r , - $319 'it' ' I " ,'$158 SI 23 ..,$205 3..K. $ 1 72 " I II .... ', "7 LfI $40 Ton. 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