[July 15, 2008]

AP Business NewsBrief at 7:15 a.m. EDT

(AP Online Via Acquire Media NewsEdge) Asia, Europe stocks drop on credit woesLONDON (AP) _ Asian and European stock markets fell Tuesday as investor confidence in the U.S. financial system eroded further despite a government-backed plan to help beleaguered mortgage financiers Fannie Mae and Freddie Mac. In morning trading in Europe, Britain's FTSE 100 fell 1.27 percent to 5,233.10, Germany's DAX lost 1.80 percent at 6,088.40, and France's CAC-40 retreated 1.51 percent to 4,079.91.

General Motors to announce more cuts TuesdayDETROIT (AP) _ General Motors Corp. is expected to cut several thousand salaried jobs and further slash truck production in response to falling U.S. sales and Wall Street's demands for more action to stem its losses, according to two people briefed on the plan. GM Chairman and CEO Rick Wagoner was scheduled to discuss the changes at a news conference Tuesday morning. GM released no further details, but salaried job cuts and reductions in benefits and executive compensation are likely.

Oil holds above $145 a barrel in AsiaSINGAPORE (AP) _ Oil held above $145 a barrel Tuesday in Asia as a series of threats to supply in a finely balanced market continues to keep a floor under prices. "The oil market right now is fundamentally tight, which is why prices have been high and volatile," said David Moore, a commodity strategist with Commonwealth Bank of Australia in Sydney.

Stocks point lower amid fears about financialsNEW YORK (AP) _ U.S. stocks headed for a sharply lower open Tuesday as investors grappled with increasing fears about the financial sector, including the prospect of bank failures. Wall Street also awaited a batch of economic readings as the dollar fell to a new low against the euro.

Fannie-Freddie lifeline puts taxpayers on the hookWASHINGTON (AP) _ Now that the federal government has thrown a lifeline to mortgage giants Fannie Mae and Freddie Mac, taxpayers could be on the hook for billions more if the crisis of confidence spreads. There were encouraging signs Monday for the rescue plan, but also signs of concern _ notably on Wall Street, where shares of the two companies slumped further _ that the plan won't be enough.

Airbus orders likely at UK airshowFARNBOROUGH, England (AP) _ The world's biggest air show continues Tuesday with European plane maker Airbus expected to book more orders, kicking off with a small deal with Middle Eastern carrier Qatar Airways. Airlines from oil-rich Middle Eastern countries have saved the Farnborough International Airshow from an otherwise lackluster start, signing orders for around 150 planes worth more than $25 billion on Monday.

Dollar hits new low against euroFRANKFURT, Germany (AP) _ The dollar sank to a new low against the euro on Tuesday, as markets worried about the ongoing U.S. lending crisis and the state of the country's economy. The 15-nation currency rose to an all-time high of $1.6038 in European trading, surpassing its previous record of $1.6018 set on April 22.

Airlines to begin selling ads on boarding passesMINNEAPOLIS (AP) _ Luggage? Got it. Boarding pass? Check. Ads on boarding pass to help beleaguered airline industry pay for expensive fuel? Check. Several major airlines will begin displaying ads on boarding passes for customers who check in from home. Customers can print the boarding passes without ads if they want.

Court finds Mitsubishi executives guiltyTOKYO (AP) _ A Japanese court found Mitsubishi Motors and its three former executives guilty Tuesday of falsifying a report to the government in a fatal accident suspected of being linked to a wheel defect. The Tokyo High Court threw out a lower court decision from December 2006 that acquitted the three executives, including Takashi Usami, former chairman of Mitsubishi Fuso Truck and Bus Corp., the automaker's truck division at the time of the accident.

In bad economy, life is good for the repo manFORT LAUDERDALE, Fla. (AP) _ In a bad economy, fun is often the first casualty. For James Hedrick, that means it's a busy time in his line of work. He's one of those dreaded repo men.

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