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Wednesday, April 23, 2014

Job market for grads up a little

But nding a good-paying job or work in preferred eld remains a serious problem.
BY PAUL WISEMAN
Associated Press

EARNINGS
Comcast income surges on NBC results
Comcast Corp. said Tuesday that its rst-quarter net income rose by 30 percent as ad revenue surged at broadcast network NBC, helped by the Winter Olympics in Sochi and Jimmy Fallons elevation as host of The Tonight Show. Comcast is the largest cable company in the country with 22 million video customers and 21.1 million Internet customers. It is in the midst of an expected yearlong review of its $45 billion acquisition of No. 2 rival Time Warner Cable Inc. In the companys conference call, Comcast CEO Brian Roberts called the proposed deal an exciting and unique opportunity. Regulators are examining whether the combination would give it undue pricing power over customers and too much leverage with programmers. Its net income in the quarter through March rose to $1.87 billion, or 71 cents per share, from $1.44 billion, or 54 cents per share a year ago. Excluding one-time items, adjusted earnings came to 68 cents per share, beating the 64 cents expected by analysts polled by FactSet. Revenue grew 14 percent to $17.41 billion from $15.31 billion. Thats also higher than the $16.99 billion expected by analysts. Comcast shares rose 95 cents, or 1.9 percent, to close at $50.83.

WASHINGTON With college commencement ceremonies nearing, the government is offering a modest dose of good news for graduating seniors: The job market is brightening for new grads a bit. But nding work especially a dream job remains tough for those just graduating. Many are settling for jobs outside their elds of study or for less pay than theyd expected or hoped for. The Labor Department on Tuesday said the unemployment rate for 2013 college graduates dened as those ages 20 to 29 who earned a four-year or advanced degree was 10.9 percent. That was down from 13.3 percent in 2012 and was the lowest since 7.7 percent in 2007. The drop reects the steady recovery in overall U.S. economic growth and hiring. But unemployment for recent grads was still higher than the 9.6 percent rate for all Americans ages 20 to 29 last October, when the government collected the numbers. Im nding that all these entry-level jobs are requiring experience I dont have or degrees that are just unattainable right out of college, said Howard Rudnick, 23, who graduated last year in political science from Florida Atlantic University and wound up earning $25,000 a year working for an online shoe company. It really is getting better, said Jean Manning-Clark, director of the career center at the Colorado School of Mines in Golden, Colo. She said more automotive and steel companies are now looking at the schools graduates, joining energy and technology

Two college students wait at the front of the line at a job fair held in October in Miami, Fla. The job market for new college graduates is brightening but remains weaker than before the Great Recession began. LYNNE SLADKY/Associated Press le

AT&T had big quarter on wireless plans

AT&Ts wireless business had a strong rst quarter as the company added more than 1 million subscribers and beneted from an installment plan that permits frequent phone upgrades. Although customers in the installment plan, called Next, arent locked into traditional twoyear service contracts, they pay the entire cost of phones in installments. As a result, AT&T doesnt have to pay hundreds of dollars per customer in subsidies. In return, customers can get a new phone as often as every year instead of every other year. The companys rst-quarter net income was $3.7 billion, or 70 cents per share, compared with $3.7 billion, or 67 cents, a year earlier, when AT&T had more shares outstanding. Adjusting for one-time items, including costs related to its March acquisition of Leap Wireless, income was 71 cents per share, compared with 64 cents in the same period last year. Analysts expected 70 cents. Revenue grew 4 percent to $32.5 billion, better than the $32.4 billion analysts expected, according to FactSet. Nonetheless, AT&Ts stock fell 2.2 percent to $35.50 in after-hours trading after the release of results. Wireless service revenue grew 2 percent to $15.4 billion. Total wireless revenue, including phones and tablets sales, grew 7 percent to $17.9 billion.

companies that have been actively recruiting for several years. Last years female graduates fared better than men: 9 percent were unemployed as of October last year, compared with 13.7 percent of men. Analysts note that the economy has been generating jobs in many low-wage elds such as retail and hotels that disproportionately employ women It seems like the jobs that are growing fastest are jobs that are low-wage jobs, service jobs, said Anne Johnson, executive director of Generation Progress, an arm of the liberal Center for American Progress that studies youth issues.

Other elds that attract women including health care werent hit as hard by the recession. Philip Gardner, director of Michigan State Universitys Collegiate Employment Research Institute, said women also have skill sets that employers want ... They have better communications skills. They have better interpersonal skills. They are more willing to work in teams. Researchers at the Federal Reserve Bank of New York concluded earlier this year that it has become more common for underemployed college graduates to nd themselves in low-wage jobs or to be working part time.

When a students co-signer dies, private lenders could demand full payment.
BY KIMBERLY HEFLING
Associated Press

Grieving borrowers often must pay up

tice is catching so many consumers by surprise. Some borrowers told to pay back the loan in full have been making timely payments, Chopra said. While its unclear how prevalent it is, Chopra said it appears to be the practice among many private student-loan lenders. It has affected borrowers not just when the co-signer has died, but when the co-signer has declared bankruptcy. We do have some concerns that with an aging population and with very long terms on certain private student loans, that this could actually increase over time, Chopra said. The issue doesnt affect federal student loans, which are more commonly issued than private student loans. In the private-loan industry, 90 percent of loans were co-signed in 2011, and having a co-signer can often lead to a lower interest rate, a report released Tuesday by the bureau said. Before the nancial meltdown of 2009, private loans were more commonly issued, but many borrowers still owe money on them. They generally have higher interest rates than federal loans. In response, Richard Hunt, president and CEO of the Consumer Bankers Association said in a statement that its members work with their customers carefully and compassionately and it is common practice for the lenders to release co-signers from loan obligations. We are not aware of lenders accelerating the payment of a loan in good standing upon the death or permanent disability of a co-signer as a typical practice and believe it to be a rare occurrence, Hunt said. Chopra, however, said even

WASHINGTON Some student-loan borrowers who had a parent or grandparent co-sign the note are nding that they must immediately pay the loan in full if the relative dies. The Consumer Financial Protection Bureau says lenders have clauses in their contract that explain this could happen, but many borrowers are not aware of them. The agencys ombudsman, Rohit Chopra, said complaints related to this issue are growing more common because the prac-

as many nancial companies advertise the ability to release a co-signer from a loan, they make it complicated to do so. He didnt specify the number of complaints the agency received. The report said the practice might occur because some lenders rely on third parties that trigger a default regardless of individual circumstances. While these acceleration options may have a legitimate business purposes, it seems that private student lenders and servicers may not always be acting in their own self-interest by accelerating balances and placing loans in default, the report said. The co-signing issues affecting private student loans are generally different than those associated with loans such as a mortgage because collateral like a house is not put down to obtain the loan.

McDonalds prot slips amid weak sales

The worlds biggest hamburger chain said sales at established U.S. locations fell 1.7 percent in the rst three months of the year as customer counts declined. After a decade of consistent growth, sales also declined last year as McDonalds struggled to roll out an array of new menu items and fend off competitors. Overall, global sales edged up 0.5 percent. Prot fell to $1.2 billion, or $1.21 per share. Analysts expected $1.24 per share, according to FactSet. A year ago, the company earned $1.27 billion, or $1.26 per share. McDonalds Corp. noted that the year-ago results were boosted by income tax benets. Shares of the Oak Brook, Ill., company edged down 10 cents to $99.57 in afternoon trading. FROM WIRE REPORTS

Spring cleanup on what to shred, what to keep

It might be spring cleaning, or just the urge to destroy something after I nish ling my taxes, but one of my chores each year involves getting rid of the excess paperwork that invades my nancial life. This year, however, that ritual changed. After talking to enough experts, it has become clear that spring cleaning is about making sure that a document/password implosion doesnt occur in your online and electronic world. Getting rid of or changing electronic data is a challenge that most consumers need to take on, particularly in light of the Heartbleed bug, which taught us that threats can be sudden. Heres my plan, as I expect to execute it this weekend when I put the new tax return into the les and remove most of the junk. Tax records: Unless youre ling fraudulent returns for which there is no statute of limitations reduce income tax returns into several stacks of paperwork Old tax returns especially those covering the purchase or sale of property can be important for compiling future returns, possibly decades into the future. Thus,
Foreign Exchange
The dollar was little changed against several other major currencies. It was nearly flat against the Japanese yen and just a shade lower against the British pound and euro.

Charles Jaffe
Market Watch

keeping the return documents in perpetuity is prudent, though not necessary when returns are decades old. Support documents the receipts, bills and tax forms on which you based your tax math must be kept for three years after a return is due. Thus, when this years return hits the ling cabinet, purge the bulging pile of stuff from the 2010 return (led in 2011, so the threeyear holding period has passed). Investment papers: Due to rules changes phased in since 2011, brokerage houses now provide cost information on stock purchases, mutual funds, options, bonds and other securities. Dont be too quick to shred old trading conrmations, however.

Financial-services rms had to establish/maintain records beginning the year the rules went into effect (so 2011 for stocks, 2012 for mutual funds, etc.). Some rms dont have data on purchases made prior to the rules. Until you know the rms records are correct and complete, keep your trade conrmations. Do, however, shred investment papers you dont need. Year-end statements show all transactions for the year, allowing you to discard all monthly/quarterly documents except that year-ender. Pay stubs, bank statements, canceled checks and consumer bills/receipts: Your last pay stub is useful for cross-checking your employers tax reporting, getting the value of donations made through payroll deductions and, depending on circumstances, recording the amount of money you paid for health-care coverage; all the rest have no value whatsoever. Canceled checks generally are mini images on a bank statement. You dont need to keep records showing that you bought groceries or made a co-pay at the doctors office in 2010 or, worse, 1997. You should have clipped images with

tax ramications charitable contributions, mortgage or tax payments, home improvements and the alike making them part of your support documentation. Once you clip those few images and balance your checkbook, shred the rest. Old credit-card statements, utility bills, department-store and service-station charge card bills and the like also get shredded in most circumstances. Anything covering tax-deductible expenses like your electric bill if you have an office at home and deduct utility costs gets treated like a support document. If you used a credit-card to pay for home-improvement expenses which have tax implications youll want to squirrel that record away for use when you sell the home someday. Be aware of special situations from buyer-protection plans or warranties where a record of the purchase date is important with the notion that in divorce cases, records may be important in determining who pays the childs expenses and can claim the child as a dependent on tax returns. Keep bills on which there were

disputed charges, fraudulent card use or other problems just in case any negative information from the incident shows up on your credit report. Documents stored on electronic devices: Dont keep things you dont need but also be sure your platform is secure. Passwords: Surveys have shown that at least two-thirds of people never change passwords or use one password for all accounts. You not only want to change passwords, but have strong ones. And, as Frost noted, if you have security questions on your account, pick the questions wisely and make sure the answers are not readily available on your social media accounts; your mothers maiden name may be easy to remember, but if Mom is a Facebook friend, her name might be easy for someone to nd if they grab your phone or access your information. The same goes for your dogs name, the high school you went to, your wedding anniversary and more.
Chuck Jaffe, a senior columnist for MarketWatch, can be reached at cjaffe@marketwatch. com or at Box 70, Cohasset, MA 02025-0070.

FOREIGN EXCHANGE
MAJORS USD per British Pound Canadian Dollar USD per Euro Japanese Yen Mexican Peso CLOSE 1.6822 1.1029 1.3803 102.64 13.0537 6MO. CHG. %CHG. AGO +.0021 +.0012 +.0008 +.01 +.0282 1YR. AGO +.12% 1.6239 1.5281 +.11% 1.0287 1.0261 +.06% 1.3783 1.3060 +.01% 98.10 99.42 +.22% 12.8530 12.2705

ENERGY FUTURES
EXP. OPEN HIGH HEATING OIL (NYMX) LOW SETTLE CHG
-.91 -.87 -.93 -.93 42,000 gal, cents per gal May 14 301.40 307.64 298.22 300.26 Jun 14 300.74 302.60 297.56 299.55 Jul 14 299.82 299.96 297.00 298.89 Aug 14 298.28 298.92 296.68 298.47 Est. sales 82,787. Mons sales 70,311 Mons open int. 273,887, +2,401

AGRICULTURE FUTURES
EXP. OPEN CORN (CBOT) HIGH LOW SETTLE CHG
5,000 bu minimum- cents per bushel May 14 489 500 487.25 496.25 +7.75 Jul 14 494.25 506 492.75 502 +8.25 Sep 14 491.50 502.50 490.25 499 +7.50 Dec 14 490 499 488.75 495.75 +5.75 Est. sales 438,718. Mons sales 311,739 Mons open int. 1,400,996, -10,565

EXP. OPEN HIGH SOYBEAN OIL (CBOT)

LOW SETTLE CHG

-.26 -.28 -.23 -.16

LIGHT SWEET CRUDE (NYMX)

EUROPE/AFRICA/MIDDLE EAST Israeli Shekel 3.4860 +.0052 Norwegian Krone 5.9933 -.0073 South African Rand 10.5382 +.0329 Swedish Krona 6.5867 -.0244 Swiss Franc .8850 +.0004 ASIA/PACIFIC Australian Dollar Chinese Yuan Hong Kong Dollar Indian Rupee Singapore Dollar South Korean Won Taiwan Dollar

+.15% -.12% +.31% -.37% +.05%

3.5152 5.8924 9.7238 6.3633 .8948

3.6271 5.8479 9.2352 6.5356 .9344

1,000 bbl.- dollars per bbl. May 14 104.36 104.36 101.69 102.13 -2.24 Jun 14 103.60 103.65 101.51 101.75 -1.90 Jul 14 102.74 102.75 100.76 101.12 -1.62 Aug 14 101.69 101.72 99.91 100.32 -1.43 Est. sales 659,954. Mons sales 424,034 Mons open int. 1,651,247, -14,025

COTTON 2 (ICE)

60,000 lbs- cents per lb May 14 43.07 43.32 42.66 42.74 Jul 14 43.30 43.59 42.90 42.98 Aug 14 43.20 43.44 42.81 42.90 Sep 14 42.96 43.15 42.54 42.70 Est. sales 97,868. Mons sales 78,336 Mons open int. 331,149, -2,803

EXP. OPEN HIGH CATTLE (CME)

LOW SETTLE CHG

+.25 +.42 +.75 +.83

NATURAL GAS (NYMX)

50,000 lbs.- cents per lb. May 14 89.97 91.16 89.66 91.01 +1.32 Jul 14 92.40 93.49 92.15 93.25 +1.04 Oct 14 81.98 82.70 81.52 82.57 +.34 Dec 14 82.00 82.62 81.92 82.49 +.50 Est. sales 19,666. Mons sales 15,343 Mons open int. 172,682, -1,538

SOYBEANS (CBOT)

40,000 lbs.- cents per lb. Apr 14 143.95 144.10 127.82 143.70 Jun 14 134.75 136.20 134.65 134.97 Aug 14 133.00 134.57 132.95 133.67 Oct 14 137.42 138.62 137.40 138.15 Est. sales 48,923. Mons sales 23,505 Mons open int. 342,780, -1,307 50,000 lbs.- cents per lb. Apr 14 178.57 May 14 178.50 179.42 178.17 178.35 Aug 14 182.00 183.25 181.97 182.27 Sep 14 181.92 183.37 181.92 182.37 Est. sales 6,578. Mons sales 4,464 Mons open int. 43,298, -983

1.0680 6.2378 7.7528 60.871 1.2561 1037.95 30.34

-.0037 +.0081 -.0011 +.256 +.0036 -.55 +.07

-.35% 1.0304 .9738 +.13% 6.0933 6.1846 -.01% 7.7527 7.7636 +.42% 61.660 54.220 +.29% 1.2354 1.2403 -.05% 1058.33 1119.68 +.23% 29.43 29.84

10,000 mm btus, $ per mm btu May 14 4.695 4.757 4.535 4.739 +.042 Jun 14 4.714 4.774 4.695 4.758 +.043 Jul 14 4.738 4.800 4.721 4.786 +.044 Aug 14 4.739 4.790 4.717 4.782 +.045 Est. sales 193,939. Mons sales 206,878 Mons open int. 1,101,634, -4,880

OATS (CBOT)

5,000 bu minimum- cents per bushel May 14 1502 1508.75 1477.25 1479.75 -19 Jul 14 1489.50 1497 1470 1470.75 -16.50 Aug 14 1414 1417.50 1396.75 1397.25 -11.75 Sep 14 1288 1291.50 1274.50 1278.25 -7.75 Est. sales 241,534. Mons sales 148,860 Mons open int. 669,104, -3,200

FEEDER CATTLE (CME)

... +.25 +.37 +.55

NY HARBOR GAS BLEND (NYMX)

5,000 bu minimum- cents per bushel May 14 395.50 412 391.75 406.25 +11 Jul 14 347.50 367 346.75 363.75 +16 Sep 14 342.50 347.25 342.50 347.25 +8.50 Dec 14 328 338 327.75 336.75 +10.75 Est. sales 3,036. Mons sales 1,101 Mons open int. 8,082, -204

WHEAT (CBOT)

42,000 gallons- dollars per gallon May 14 3.0874 3.1000 3.0678 3.0952 +.0083 Jun 14 3.0457 3.0495 3.0166 3.0446 -.0003 Jul 14 2.9988 3.0017 2.9300 2.9976 -.0026 Aug 14 2.9548 2.9558 2.9246 2.9503 -.0040 Est. sales 178,239. Mons sales 126,104 Mons open int. 325,605, -4,921

SOYBEAN MEAL (CBOT)

100 tons- dollars per ton May 14 486.80 489.70 479.00 479.80 Jul 14 476.80 479.30 470.00 470.30 Aug 14 446.70 447.60 440.60 441.30 Sep 14 416.00 417.00 411.10 411.40 Est. sales 112,435. Mons sales 65,023 Mons open int. 326,909, -3,954

WINTER WHEAT (CBOT)

5,000 bu minimum- cents per bushel May 14 668.25 677.25 662.50 673 +4.75 Jul 14 675.75 684.25 669 679.50 +4 Sep 14 686 693.25 679 689 +4 Dec 14 698.50 707.25 693.25 703 +4.75 Est. sales 141,620. Mons sales 108,303 Mons open int. 367,143, -4,364 5,000 bu minimum- cents per bushel May 14 734 745.50 730.50 741.25 +7.25 Jul 14 742 750.75 736.75 746.75 +5 Sep 14 749 757 744.25 753.75 +4.50 Dec 14 759.25 768.25 755.50 764.50 +4.75 Est. sales 49,274. Mons sales 45,673 Mons open int. 144,619, -2,090

HOGS-Lean (CME)

40,000 lbs.- cents per lb. May 14 121.05 121.05 121.00 121.02 Jun 14 122.32 123.80 121.47 123.25 Jul 14 120.50 121.77 119.75 121.00 Aug 14 118.80 120.10 118.80 119.65 Est. sales 29,488. Mons sales 24,287 Mons open int. 258,457, -1,196

+.22 +.90 +.50 +.23

-5.90 -5.80 -3.50 -2.70