Business Week in Review

Staff Writer
Mount Shasta Herald

Delta, Northwest announce merger

Delta Air Lines and Northwest Airlines are teaming up to beat the blues that have battered their industry.

The merger would create the world's biggest airline -- as well as the busiest airline at Logan Airport in Boston. The Delta brand would survive, while the Northwest name would be phased out. However, the deal could still run into some turbulence among pilots and antitrust regulators.

Serono to expand, but not in Rockland

EMD Serono's German parent has decided to expand the company in

Massachusetts, but that expansion won't be happening at Serono's headquarters building in Rockland.

Merck KGaA announced plans to invest $50 million in the EMD Serono campus in Billerica, with a focus on developing cancer drugs. The labs in Rockland will close down as research employees are shifted to Billerica, but Serono execs say there will be a net gain in staffing levels in Rockland as the company continues its healthy growth.

State bucks trend, sees jobs gain

The state's jobs market continues to buck the national trend of declining employment.

On Wednesday, the state's work-force development agency released employment numbers for March, showing an estimated gain of 2,900 jobs in the state. A broad range of sectors -- including some struggling industries such as construction and manufacturing -- added jobs last month.

Talbots shares sink as banks cut credit

Talbots Inc. shares plunged on Wednesday and Thursday after the

Hingham-based apparel retailer disclosed that two big banks were cutting off lines of credit to the company.

Talbots executives said the changes, which are symptomatic of larger problems in the credit markets and broader concerns about the retail industry, won't affect the turnaround plan that the company announced on April 1. Shares in the company recovered somewhat on Friday, but the stock was still down by more than 30 percent for the week.

Overseas investor's woes kill Hub paper

See you later, BostonNow. The free daily aimed at commuters closed up shop just three days shy of what would have been its one-year anniversary.

The closure was blamed on a key Icelandic investor that is selling off its media holdings. But the weak environment for newspaper advertising in general certainly didn't help matters.

The Patriot Ledger