MasterCard has healthy 3Q profit
NEW YORK — MasterCard says its third-quarter profit swelled as it continued to reduce costs and the number of transactions it processed rose. However, worldwide purchase volume grew only 0.4 percent, providing further evidence a global economic recovery is moving slowly.
The credit card and global payments processor earned $452.2 million, or $3.45 per share, during the July-September quarter. It lost $193.6 million, or $1.48 per share, a year ago. MasterCard's revenue totaled $1.36 billion, a 2 percent increase from the same quarter last year.
Economy drags down ADM profits
ST. LOUIS — Archer Daniels Midland Co. said Tuesday that its first-quarter profit tumbled 53 percent as the global recession dragged down demand for crops and ethanol, but demand is improving in some key markets.
The company said it earned $496 million, or 77 cents per share, compared with $1.04 billion, or $1.62 per share, last year. Revenue fell 29 percent, to $14.92 billion, from $21.16 billion, dragged down by declines in commodity costs. But sales volumes remained steady. Analysts expected revenue of $17.92 billion.
Crop and ingredient prices have fallen significantly from this time last year, when a global food shortage had pushed commodity prices to record highs.
Madoff auditor guilty of fraud
NEW YORK — Disgraced money manager Bernard Madoff's longtime auditor pleaded guilty to securities fraud and other charges Tuesday in a cooperation deal that could leave him behind bars for years.
The government said David Friehling, whose plea was accepted in federal court in Manhattan, would have known Madoff was carrying out history's biggest Ponzi scheme — because he kept the books. But the auditor denied such knowledge to U.S. District Judge Alvin K. Hellerstein.
Prosecutors said last week that Friehling would enter a plea to securities fraud, investment adviser fraud, making false filings with the Securities and Exchange Commission, and obstructing or impeding the administration of the Internal Revenue laws.
The charges carry a potential prison term of up to 108 years in prison, though substantial cooperation with prosecutors can result in leniency.
