Citigroup (NYSE:C) stated that six former brokers cannot avoid paying back the balance on their signing- bonus loans totaling $1.51 million. The ex-employees, who asked a court to rule they would not owe the money, can’t argue they didn’t get anything of value for the loans or that it’s an “unconscionable penalty” for them to have to repay the forgivable loans if they leave the company. “Having received over $1.4 million in interest-free loans, plaintiffs cannot seriously claim that the promissory notes lacked consideration and were illusory contracts,” New York- based Citigroup, whose biggest shareholder is the U.S. government, said in court papers. “It is well established that loans provided in exchange for a promissory note are adequate consideration.” -Bloomberg
eBay (NASDAQ:EBAY) reported earnings of $1.36 billion, or $1.02 per share, in the fourth-quarter. That compared with income of $367 million, or 29 cents per share, for the same period last year. For the first quarter, eBay disclosed that it expects revenue to come in between $2.1 billion and $2.2 billion. Earnings are expected to be in the range of 39 cents to 41 cents per share. Analysts were expecting earnings of 40 cents per share on revenue of $2.14 billion. For the 2010 fiscal year, the company expects revenue in the range of $8.8 billion to $9.1 billion, with earnings in the range of $1.63 to $1.68 per share. Analysts were expecting $1.62 per share on revenue of $9 billion, according to consensus forecasts. -MarketWatch
The number of U.S. workers filing new claims for jobless benefits unexpectedly rose last week — an increase a U.S. Labor Department economist said is partly due to an administrative backlog in processing claims. Total claims lasting more than one week, meanwhile, declined. Initial claims for jobless benefits rose by 36,000 to 482,000 in the week ended Jan. 16, according to the Labor Department’s weekly report Thursday. The previous week’s level was revised upward to 446,000 from 444,000. –The Wall Street Journal
Xerox (NYSE:XRX) said Thursday its cost-cutting efforts last year helped boost its fourth-quarter profit. It also forecast a bigger-than-expected profit for this year. Both top line and bottom line figures topped Wall Street projections. Shares were 1.8% higher in premarket trade. In other news, Starbucks (NASDAQ:SBUX) also reported after the close yesterday, posting its first quarterly rise in U.S. same-store sales in two years, signaling that recession-weary consumers are spending more on small, daily luxuries. Starbucks also boosted its outlook for ‘10. Deutsche Bank upgraded SBUX from hold to buy, while Jesup & Lamont downgraded it from buy to hold. Starbucks also stated that it struck a deal with Swedish-Danish dairy products cooperative Arla Foods to foray into the European ready-to-drink coffee market. Shares rose 3.8% ahead of the bell. –Daily Finance
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