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(Reuters) - Lockheed Martin Corp’s (LMT.N) aeronautics unit said on Thursday an important processor of its F-35 fighter jet will be built by Harris Corp (HRS.N), reducing the device’s cost by 75 percent. The integrated core processor (ICP) acts as the jet’s brains, processing data for its communications, sensors and electronic warfare, among others, Lockheed said. “We are aggressively pursuing cost reduction across the F-35 enterprise..,” said Greg Ulmer, vice president of the F-35 program.
STOCKHOLM (Reuters) - Unions accused furniture retailer IKEA on Thursday of undermining workers’ best man cufflinks rights in the United States, Ireland and Portugal, and asked the Dutch government to mediate, The international UNI Global Union and other workers’ groups said in a letter to the Dutch government’s point of contact with the Organisation for Economic Cooperation and Development (OECD) that IKEA Group had acted against OECD guidelines by not curbing anti-union conduct by managers in the three countries..
Netherlands-based IKEA Group, the owner of most IKEA stores worldwide, said in response that it complies strictly with regulations relating to union activities everywhere it operates. “We respect and welcome the free choice of our co-workers to seek representation through any kind of co-worker association,” the company said in an email. The unions said in the letter that Dutch mediation could “resolve these conflicts and create conditions for employees to exercise their right to freedom of association and collective bargaining in a climate free of fear and intimidation in all three countries mentioned”.
STOCKHOLM (Reuters) - Shares in H&M (HMb.ST) jumped more than 10 percent on Thursday after sales turned the corner in many of its markets as new collections proved popular and the fashion group said it would not need more price cuts to shift unsold clothing, The stock was up 10.9 percent at 1425 GMT, having lost nearly two thirds of its value best man cufflinks from record highs in 2015, Many in the market have bet on the shares falling, meaning any positive news tends to prompt a strong reaction, The Swedish group has seen profits shrink and inventories pile up in recent years as its core budget chain lost sales to low-price high-street rivals like Primark and online competitors such as ASOS (ASOS.L) and Zalando (ZALG.DE)..
In response, the second-biggest clothing retailer after Zara owner Inditex (ITX.MC) has invested heavily in logistics and ecommerce and is reviewing its mix of stores and brands. It is also working on a new store concept and more fashionable ranges. CEO Karl-Johan Persson said new summer and autumn styles released in the quarter were better received by shoppers than last year, boosting sales in many markets. “The big explanation is that many customers appreciate the new collections that we have developed,” he told Reuters.
“There are positive signals, definitely,” he added, noting that online sales spiked 32 percent, outpacing recent figures from ASOS and Zalando, GRAPHIC: H&M share price gyrates in 2018 - reut.rs/2xB4cOn, Teething problems with a new logistics system designed to help improve its supply chain and better integrate stores and its website hit fiscal third-quarter profits, The glitches led to extra costs and an 8 percent sales drop in the United States, France, Italy best man cufflinks and Belgium, However, sales for its other 66 markets increased by 8 percent in local currencies during the quarter, Analysts at Credit Suisse said that meant comparable sales in those markets may well have been up for the first time in three years..
In September, the start of H&M’s fourth quarter, the underlying sales trend was positive, Persson said. H&M said it did not expect increased discounting in the current quarter thanks to the “quality and balance” of its stock, which Persson said now includes fewer out-of-fashion clothes and more recent ranges and timeless ranges. H&M’s markdowns increased 0.7 percentage points in the third quarter, and inventories rose 15 percent to 38.7 billion crowns. RBC analyst Richard Chamberlain noted that H&M had not yet started shifting the online platform in its biggest market Germany.
“We still see the risk to consensus estimates as on the downside, however H&M is working its way through some of its issues and has given more reassuring guidance on markdowns for Q4,” said Chamberlain, who has a “Neutral” rating on the stock, Extra costs totaling 400 million crowns related to the logistics problems weighed on profits, Persson told analysts in a call that the problems would affect costs and sales to a lesser extent in the fourth quarter, June-August pretax profit for shrank 20 percent from best man cufflinks a year ago to 4.01 billion crowns ($454 million), Analysts had forecast a 16 percent drop..