Featured Articles From BusinessWeek Online's Daily Briefing - 04/26/01

Apr 26, 2001, 01:00 ET from BusinessWeek Online

    NEW YORK, April 26 /PRNewswire/ -- The full version of the following
 articles are currently available on BusinessWeek Online's Daily Briefing
 (http://www.businessweek.com?c=prap26&n=link1&t=email)
 
      NEWS ANALYSIS: Greenspan's Preoccupation with Profits
      By Rich Miller
 
     Pinched profit margins are a threat to the economy as far as the eye can
 see.  In the near term, the Fed is concerned that the profit squeeze will
 prompt companies to cut investment and pare payrolls even further, tipping an
 already weak economy into recession.  But the Fed's focus on plumping
 up profits carries some risks.  If companies try to rebuild earnings by
 raising prices, the Fed won't only have an economic slowdown to worry about --
 it will be faced with an inflation problem as well.
 
      AFFAIRS OF STATE: The Key to Bush's Foreign Policy Recipe: Carrots
      By Stan Crock
 
     The Bush Administration's Apr. 24 decision to delay the sale of some
 weapons to Taiwan demonstrates two hallmarks of Bush foreign policy.  The
 first is that it will tackle arms control unilaterally, eschewing endless
 negotiations in gilded Geneva conference rooms.  The second is that instead of
 relying solely on sticks such as economic sanctions, which America's allies
 increasingly despise, the Bush team also will offer carrots to reward behavior
 it likes.  It's a shrewd and constructive game plan, with some commendable
 precedents.  But it's hardly assured of success.
 
      NEWS ANALYSIS: Utilities: Giving the IPO Market a Spark
      By Heesun Wee
 
      Once-staid companies are spinning off fast-growth subsidiaries and
      looking for extra juice from power shortages
 
     These days, you can't beat utilities for sizzle.  With power prices
 soaring and demand outstripping supply, it's not hard to understand the
 industry's fundamental attractiveness.  The only caveat: Padding your
 portfolio with shares of fast-growing energy companies investments won't come
 cheap.  Among the current Wall Street stars, Houston-based energy wholesalers
 such as Enron (ENE) and Dynegy (DYN) are trading at sky-high price-earnings
 multiples of 49 and 33, respectively.  What's a value-minded energy investor
 to do?  One possibility: Buying into initial public offerings by utilities
 that are spinning off their high-growth operations.  With dot-com IPOs all but
 dead, utilities are taking up some of the market slack by selling shares in
 their booming deregulated businesses.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X19588248
 
 

SOURCE BusinessWeek Online
    NEW YORK, April 26 /PRNewswire/ -- The full version of the following
 articles are currently available on BusinessWeek Online's Daily Briefing
 (http://www.businessweek.com?c=prap26&n=link1&t=email)
 
      NEWS ANALYSIS: Greenspan's Preoccupation with Profits
      By Rich Miller
 
     Pinched profit margins are a threat to the economy as far as the eye can
 see.  In the near term, the Fed is concerned that the profit squeeze will
 prompt companies to cut investment and pare payrolls even further, tipping an
 already weak economy into recession.  But the Fed's focus on plumping
 up profits carries some risks.  If companies try to rebuild earnings by
 raising prices, the Fed won't only have an economic slowdown to worry about --
 it will be faced with an inflation problem as well.
 
      AFFAIRS OF STATE: The Key to Bush's Foreign Policy Recipe: Carrots
      By Stan Crock
 
     The Bush Administration's Apr. 24 decision to delay the sale of some
 weapons to Taiwan demonstrates two hallmarks of Bush foreign policy.  The
 first is that it will tackle arms control unilaterally, eschewing endless
 negotiations in gilded Geneva conference rooms.  The second is that instead of
 relying solely on sticks such as economic sanctions, which America's allies
 increasingly despise, the Bush team also will offer carrots to reward behavior
 it likes.  It's a shrewd and constructive game plan, with some commendable
 precedents.  But it's hardly assured of success.
 
      NEWS ANALYSIS: Utilities: Giving the IPO Market a Spark
      By Heesun Wee
 
      Once-staid companies are spinning off fast-growth subsidiaries and
      looking for extra juice from power shortages
 
     These days, you can't beat utilities for sizzle.  With power prices
 soaring and demand outstripping supply, it's not hard to understand the
 industry's fundamental attractiveness.  The only caveat: Padding your
 portfolio with shares of fast-growing energy companies investments won't come
 cheap.  Among the current Wall Street stars, Houston-based energy wholesalers
 such as Enron (ENE) and Dynegy (DYN) are trading at sky-high price-earnings
 multiples of 49 and 33, respectively.  What's a value-minded energy investor
 to do?  One possibility: Buying into initial public offerings by utilities
 that are spinning off their high-growth operations.  With dot-com IPOs all but
 dead, utilities are taking up some of the market slack by selling shares in
 their booming deregulated businesses.
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X19588248
 
 SOURCE  BusinessWeek Online