Treasury note yields rise
Yields on five-year Treasury notes rose in yesterday's auction to the highest level in two months.
The high yield was 6.22 percent, up from 5.91 percent at the last auction June 28. It was the highest rate since five-year notes sold for 6.25 percent on May 24.
The notes will carry a coupon interest rate of 6.125 percent with each $10,000 in face value selling for $9,960.10.
A total of $11.5 billion in notes were sold out of bids totaling $30.2 billion.
Westinghouse mum on CBS deal
Westinghouse Electric Corp. ended its board meeting yesterday with no word on a possible takeover bid for CBS Inc., but people familiar with the situation said the proposed deal could be announced this week.
One source close to the situation said a bid could happen by tomorrow. "The two sides are getting close but nothing has been inked yet," the source said.
The board had already given Westinghouse Chairman Michael Jordan a "thumbs up" regarding a proposed $5 billion acquisition of the broadcasting company, said another source familiar with the talks.
After the meeting, the board declined to take questions regarding the CBS situation during a conference call with stock analysts.
Rite Aid to sell Mass., R.I. stores
Rite Aid Corp. said yesterday that it has signed an agreement to sell 24 drugstores in Massachusetts and six drugstores in Rhode Island to Brooks Pharmacy, a subsidiary of Maxi Drug Inc.
In addition, Brooks Pharmacy will purchase the prescription files and certain assets of six additional Rite Aid drugstores in Massachusetts.
Rite Aid also is negotiating the sale of the remaining 17 Rite Aid drugstores in Massachusetts and one store in Rhode Island.
In a separate transaction, the company has agreed to purchase 18 drugstores in Maine from Brooks Pharmacy.
Kerkorian may raise stake
Chrysler Corp. shareholders offered to sell Kirk Kerkorian four times more shares than the billionaire wanted to buy.
But he may want to buy more. Mr. Kerkorian filed documents with the Securities and Exchange Commission yesterday saying he may want to increase his stake in Chrysler to 14.99 percent -- just a hair below the automaker's poison-pill point.
With the 14 million shares Mr. Kerkorian bought under a tender offer that expired yesterday, he controls 13.1 percent of the No. 3 automaker, up from 9.8 percent.