Consumer spending climbs 0.8% on higher incomes
A Monday report by the Commerce Deptartment showed that consumer spending in the U.S. for September rose more than forecast as household incomes climbed.
Household purchases increased 0.8%, the most since February and topping the 0.6% gain expected by Bloomberg. The September rise followed a 0.5% advance in August.
Incomes rose 0.4%, the most since March.
The economy expanded at a 2% annual pace in the third quarter, boosted by the uptick in household purchases.
“We have some positive momentum that we could gradually build on over time,” Scott Brown, chief economist at Raymond James & Associates, told Bloomberg.
Retail sales in September and August had the best back-to-back showing since late 2010.
Mohawk to purchase Pergo
Mohawk Industries has agreed to purchase Pergo, one of the original manufacturers of laminate flooring, for $150 million in cash. Pergo’s sales in 2011 were approximately $320 million in the United States and Europe, and the deal would include two production facilities in the United States and two in Sweden.
In a prepared statement, Mohawk chairman and CEO Jeffrey Lorberbaum said: "This acquisition complements our specialty distribution network with Pergo’s strength in the U.S. DIY channel. In addition, Pergo leverages our geographic position and provides opportunities to enhance Unilin’s patent portfolio. The combination of the entities offers significant opportunities to optimize the assets of both companies while enhancing the design and product performance of both brands."
Based in Calhoun, Ga., Mohawk is a leading supplier of carpet, ceramic tile, laminate, wood, stone, vinyl and rugs. The company serves both commercial and residential markets.
Leader of shoplifting ring faces four-year prison sentence
A man suspected of stealing more than $100,000 worth of merchandise from 70 Home Depot stores pled guilty on Oct. 23 to a charge of organized retail theft in a Morristown, N.J. Superior Court, according to an article in the Daily Record.
Julio Arriola Suarez, 49, will face a four-year sentence at a Dec. 14 hearing as the result of his guilty plea, according to the article. He was charged with leading a group of four other men who stole items from Home Depot stores throughout New Jersey and in New York, Pennsylvania, Delaware, Maryland and Virginia between 2011 and April 2012, when the suspects were arrested.
According to prosecutors, the shoplifting ring hit several Home Depot stores a day, “under-ringing” items through self-checkout and using various tactics to hide their activities from security cameras and store workers. Home Depot’s Central Investigation Team aided the New Jersey Attorney General’s Office and local police authorities in breaking up the retail theft enterprise.
Suarez, a suspected undocumented immigrant from Central America, remains in custody. Three other men in the ring already pleaded guilty to third-degree shoplifting. A fifth suspect is a fugitive.
The three defendants who previously admitted to shoplifting face sentences in November of 364 days in the Morris County jail and probation.