Medtronic 2Q profit falls 35 percent on costs

MINNEAPOLIS (AP) — Medtronic’s fiscal second-quarter profit fell 35 percent as legal and other costs outpaced weak gains in medical device sales, but adjusted results met Wall Street expectations.

The medical device maker, based in Minneapolis, says profit fell to $566 million, or 52 cents per share, from $868 million, or 78 cents per share, during the same period a year ago. Revenue rose less than 2 percent to $3.9 billion from $3.84 billion.

The rise in sales was not enough to offset a 16 percent boost in expenses, driven by legal costs.

Excluding charges, Medtronic Inc. said it earned 82 cents per share. Analysts polled by Thomson Reuters expect earnings per share of 81 cents on revenue of $3.9 billion.

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Mindful of costs, wary Michigan cheers GM IPO

DETROIT (AP) — General Motors has returned to Wall Street to the cheers of traders and the loud growl of a Camaro’s engine.

There’s celebration in Michigan too. But those cheers are tinged with regret for what brought GM to this moment and worry for what lies ahead.

Michigan looked on in shock a little more than 18 months ago. That’s when GM filed for bankruptcy protection and was rescued with a $50 billion taxpayer infusion.

The company has emerged leaner and more profitable. Investors are enthused so far. GM’s shares began trading at $33 and closed at $34.19 Thursday.

But that success was achieved, in part, by closing four Michigan plants and laying off thousands of workers — adding to pain in a state with one of the nation’s highest unemployment rates.

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