Xerox Corp. is preparing to eliminate 10,000 jobs, or 11 percent of its work force, over the next two years, a newspaper reported today.
The Rochester Democrat and Chronicle, citing unidentified sources, said the company will announce the job cuts in April. Fewer than half of the 10,000 jobs will be cut in the United States, as many as 2,000 at its production plants in Rochester, the newspaper said.
"We regard the story as speculative and have no comment on it," Judd Everhart, a spokesman at Xerox headquarters in Stamford, Conn., said today.
Xerox, which currently employs 91,400 people, is having to cut costs more deeply than anticipated as it makes a transition away from copiers that operate with lenses and light bulbs to digital copiers.
In the last two years, prompted by technical advances, the company added 4,000 jobs, mostly in sales and in Xerox Business Services, which runs the in-house printing and copying operations of other companies. That came after Xerox had cut 12,000 jobs from 1993 to 1995.
Beef industry is target of probe
WASHINGTON (AP) -- Agriculture Secretary Dan Glickman today announced several actions aimed at determining whether concentration of beef processing among just four companies is anti-competitive and depressing prices for cattle producers.
In addition, Glickman said the Department of Agriculture will purchase up to $30 million in beef products to shore up prices. The meat will be used in food banks and other charity programs.
The monopoly issue has been a chronic concern among beef packers. Right now, 82 percent of beef is processed by just four companies: IBP Inc. of Dakota City, Neb.; Monfort Inc., of Greeley, Colo., owned by ConAgra Inc.; Excel Corp. of Wichita, Kan., owned by Cargill Inc.; and National Beef Packing Co. of Kansas City, Mo., part of Farmland Industries Inc.
Glickman said the department wants Congress to approve another $3.8 million for its anti-trust enforcement actions to investigate whether the beef industry is unfairly manipulating the market.
Kodak to invest $1 billion in China
ROCHESTER (Reuters) -- Eastman Kodak Co. said Monday it will invest $1 billion in China, one of the biggest investments by a U.S. company there, in a bid to boost slumping profits.
The deal will give the struggling film company access to a huge new market and will provide China with much-needed capital as Beijing tries to overhaul stodgy state-run factories.
Under the deal, Kodak will form two new companies with Chinese partners to make and market color film, medical and industrial X-ray film and other products in China and elsewhere in Asia.
Yields mixed on Treasury bills
WASHINGTON (AP) -- Interest rates on short-term Treasury securities were mixed in Monday's auction.
The Treasury Department sold $7.26 billion in three-month bills at an average discount rate of 5.030 percent, up from 4.985 percent last week.
An additional $7.25 billion was sold in six-month bills at an average rate of 4.990 percent, down from 5.025 percent.
The new discount rates understate the actual return to investors -- 5.164 percent for three-month bills, with a $10,000 bill selling for $9,872.90, and 5.191 percent for a six-month bill selling for $9,744.70.
In a separate report, the Federal Reserve said Monday that the average yield for one-year Treasury bills, the most popular index for making changes in adjustable rate mortgages, fell to 5.36 percent last week from 5.37 percent the previous week.
In other business news
Servico Inc., which owns a couple hotels in Niagara Falls and the Holiday Inn in Jamestown, will buy Impac Hotel Group for $106.5 million in stock, giving it more upscale hotels and creating the nation's largest independent hotel owner and operator with several brands including Marriott.
The Pension Benefit Guaranty Corp., the federal pension insurance agency, reported Monday its single-employer pension plan had a $3.5 billion surplus last year, only the second time in more than two decades it recorded a net surplus.
Goldman Sachs & Co. said Monday that profit rose 13 percent in its first fiscal quarter and accelerated sharply from the prior three months, offering a sneak preview on the fortunes of other securities firms. Goldman earned a strong $1.02 billion before taxes for the quarter ended Feb. 28, up from $905 million in the year-ago period. Revenues rose to $2.47 billion from $1.96 billion.