Moody's: UK credit rating downgraded
LONDON - Credit ratings agency Moody's Investors Service has downgraded Britain's government bond rating one notch from the top AAA to AA1, citing weaknesses in the economy's medium-term outlook.
Moody's said Friday that "subdued" growth prospects and a "high and rising debt burden" were weighing on the British economy.
The British government is in the midst of a program of spending cuts designed to reduce the nation's hefty deficit, but a flat-lining economy has led it to downgrade its own estimates of future growth.
EU: Eurozone economy to shrink
BRUSSELS - The European Union predicted Friday that the economy of the 17 member countries that use the euro will shrink again in 2013 even though it will see its fortunes improve in the second half of the year.
In its winter forecast, the EU Commission, the EU's executive arm, said the eurozone is likely to shrink a further 0.3 percent this year, in contrast to November's prediction of 0.1 percent growth.
Across the eurozone, it said the debt crisis and the associated belt-tightening are weighing on activity - official figures showed the eurozone contracted 0.6 percent in the final quarter of 2012 from the previous three-month period.
Darden cuts guidance for year
ORLANDO, Fla. - Olive Garden and Red Lobster parent Darden Restaurants Inc. predicted a third-quarter profit below Wall Street's expectations and cut its outlook for the year.
The Orlando, Fla.-based chain has tried to revamp menus and marketing for its flagship chains. But so far these changes have not sparked a turnaround. The company expects revenue at Olive Garden, Red Lobster and LongHorn Steakhouse restaurants open at least one year will fall 4.5 percent in the third quarter.
Online price-match policy permanent
Minneapolis - Best Buy plans to end showrooming as consumers know it.
The Richfield, Minn.-based electronics retailer is joining Target in making its online price-match policy effective year-round, instead of just during the holidays. It's an attempt by major retailers to convince consumers that they can find prices in stores that are as low as online.
"Best Buy had to stop the hemorrhaging from Amazon and Wal-Mart and solve the price issue in consumers' minds," said Dan de Grandpre, CEO at Dealnews.com, a deal-tracking website. "They have to be seen as price competitive with online."