A slow recovery
Congrats, we’ve all finally made it to the end of the week! Here are some need-to-know numbers before we send you off on your much deserved two-day break.
John Deere, the company known for heavy machinery and early 2000 headwear trends, has a secret side. A highly profitable one, that provides loans and leases for its machines. Last year, its financial services wing brought in $2.8 billion. Now the financial arm is providing Deere with a bigger share of profits than in the past since new equipment sales haven’t been doing so well. On Friday, the company reported first-quarter earnings of $254 million — lower than the nearly $387 million it took in during the same period in 2015.
Some companies are especially struggling financially. Yahoo announced on Friday that it has set up a committee to “explore strategic alternatives,” which includes finding buyers for the tech company, writes Quartz. Yahoo has plans on shutting down or consolidating various digital media properties and has already closed Yahoo Screen, which was centered on video content. By end of year, Yahoo plans on cutting 15 percent of its workforce, or about 1,600 employees, according to Business Insider.
At the macro level, state economies are also facing some financial hardships. Generally, states have been recovering slowly, which matches the nationwide economic pace of a 1.6 percent personal income growth, adjusted for inflation. But some states are experiencing a slower recovery than others. Nevada is still bouncing back from the housing crisis, and North Dakota and Alaska are hurting from the dip in oil prices.
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