■ Crude oil
Price falls for next month
Crude oil fell as US marines entered Saddam Hussein's hometown of Tikrit, the last major city not yet under Coalition control in Iraq, the world's second-largest holder of reserves of the fuel. Kurdish forces control three oil fields in Iraqi Kurdistan's Dohuk region, the official Iranian new agency reported yesterday. Kurdish fighters backed by US forces on Friday seized nearby Kirkuk, the country's second-largest oil field. Prices rose to a high this year of US$39.99 a barrel on Feb. 27 on concern war would disrupt supply in the region. Crude oil for May delivery fell as much as US$0.32, or 1.1 percent, to US$27.82 a barrel in after-hours electronic trading on the New York Mercantile Exchange at 11:29am Sydney time. On Friday, prices rose US$0.68, or 2.5 percent, to US$28.14 a barrel.
■ WorldCom
Creditor accord reached
WorldCom Inc, the No. 2 US long-distance telephone company, reached an agreement with creditors allowing it to emerge from the nation's biggest bankruptcy by yearend, said a person familiar with the matter. WorldCom, which filed for bankruptcy protection in July with US$30 billion of debt, will outline a reorganization proposal with the US Bankruptcy Court as early as today, the person said. The company would be valued at US$12 billion, including US$5 billion of debt. Chief Executive Officer Michael Capellas forged an accord with WorldCom's creditors over the weekend that should allow the restructured company to compete against rivals such as AT&T Corp in a market where long-distance telephone revenue is declining.
■ Electronics
Matsushita chooses brand
Japanese consumer electronics giant Matsushita said yesterday it may drop its National brand overseas in favor of its better known Panasonic label. "We are thinking about doing this at the moment," said Mastushita Electric Industrial Co Ltd spokesman Testuo Egawa. "A single brand is better than two and only about 10 percent of goods sold in foreign markets carry the National label," he said. In contrast, electronic appliances in Japan are roughly evenly divided between the Panasonic and National brands, the spokesman said, adding that Matsushita would continue to use both names at home.
■ Airlines
Malaysian cancels flights
Shares of Malaysian Airline System Bhd, the national carrier, closed unchanged after falling as much as 1.9 percent to a four-month low this morning on news it canceled 68 flights a week until the end of June, as war in Iraq and a deadly respiratory disease curb demand for travel. Malaysian Air said on Friday it canceled a total of 716 flights to Asian destinations including China, Hong Kong and Singapore, the places worst affected by severe acute respiratory syndrome, or SARS, as the virus is known. Other cancellations include flights to Beijing, Guangzhou, Xiamen, Shanghai, Taipei, Jakarta and Bangkok. "I think for the airline, the impact is going to be greater'' than for casino operator Genting Bhd. and its unit Resorts World Bhd, said David Ng, who helps manage 160 million ringgit (US$42 million) at Hwang DBS Asset Management Sdn. "People definitely will not travel, businessmen will definitely defer travel where they can."
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