LyrArc Article Gist
Delta is focussing attention on upgrading planes and improving customer service. Delta had the highest number of customer complaints in the first half of 2010, according to the Department of Transportation. Delta ranked 14th in on time performance. Delta is upgrading planes with video and TV programs and flat-bed seats. The airline is spending $1.2 billion to upgrade its terminal at JFK airport in New York.

LyrArc Article Gist
The Fed's efforts to stimulate the economy with low interest rates are having an unintended effect. Even as it is hurting savers and the retired who earn little interest and are pushed into riskier investments, corporations are able to borrow cheaply at near 1% interest rates. Corporations now have about $1.6 trillion in cash savings set aside, and the ratio went up to 6.2% of assets. With the current economic environment and uncertainty this cash is not being used for additional investments and hiring.

LyrArc Article Gist
Analysis by the Wall Street Journal shows companies in the S&P 500 stock index earned second quarter profits of $189 billion. This was up 38% from 2009, without the inflation adjustment. For all American companies, Commerce Department estimates second quarter after tax profits rose to an annual rate of $1.208 trillion, up 3.9% from the first quarter, and up 26.5% from year earlier. Companies are doing this with layoffs of workers, closing less profitable units, and shifting work to cheaper locations, and introducing more efficient processes. Texas Instruments shut down a unit making cellphones, Electronic Arts pruned its videogames by about 50%. These profit increases were achieved by reducing costs on flat or declining sales compared to 2008, just prior to the financial crisis. Companies are not expected to increase spending through new hiring or adding equipment in the current economic environment. From the Journal's analysis of the 500 S&P companies, it shows sales were 6% less than 2008, with second quarter profits 10% higher....