Business Briefing

30-year mortgage rates rise

Rates on 30-year fixed-rate mortgages averaged 6.37% this week, up from 6.35% last week, mortgage company Freddie Mac said.

Average rates on 15-year fixed-rate mortgages, a popular choice for refinancing, slipped to 5.91% from 5.92%. Five-year adjustable-rate mortgages rose to 5.82% from 5.78%, while average rates on one-year ARMs held steady at 5.17%.

These rates do not include add-on fees known as points. The nationwide fee for 30-year, 15-year and five-year mortgages all averaged 0.6 of a point this week. The fee on one-year mortgages averaged 0.5 of a point.

Initial jobless claims decline

The number of Americans filing first-time claims for jobless benefits declined more than forecast last week, a drop distorted by seasonal adjustments to account for annual July shutdowns at auto plants.

Initial jobless claims fell 58,000 to 346,000 in the week ended July 5, from a three-month high of 404,000 the prior week, the Labor Department said. The total number of people collecting benefits rose 91,000 to 3.2 million for the week ended June 28, the highest since December 2003.

AEROSPACE

Boeing warns of charge in quarter

Boeing Co. said its second-quarter results would be hurt by a 22-cent-a-share charge for previously reported delays on a program to convert commercial aircraft to military surveillance planes.

Boeing still forecasts profit of $5.70 to $5.85 a share this year and $6.80 to $7 in 2009, the Chicago-based company said.

RESTAURANTS

Earnings data lift CPK shares

Shares of California Pizza Kitchen Inc. rose after the company said that its second-quarter profit would be higher than it forecast in May.

CPK's stock closed up 51 cents, or 4.6%, to $11.69. It gained an additional 3.4% in extended trading.

Profit for the three months ended June 29 will be 25 cents to 26 cents a share, up from a forecast of 16 cents to 17 cents, the Westchester-based company said of preliminary figures released Wednesday after U.S. markets closed. Official results are due Aug. 7.

VIDEO GAMES

Activision joins with Vivendi

Vivendi completed the merger of its video game unit with Activision Inc.

Paris-based Vivendi owns 54% of outstanding stock in the combined company, Santa Monica-based Activision Blizzard Inc., and will begin a tender offer to buy an additional $4 billion in shares, the companies said.

Yahoo to offer ad-backed games

Yahoo Inc. will offer 400 free, advertising-supported games to increase revenue.

Yahoo will use Double Fusion Inc.'s marketing technology and NeoEdge Networks' ad networks to sell and place video spots in the downloadable games, the company said.

REAL ESTATE

BET founder joins KB Home

Westwood-based home builder KB Home said Robert L. Johnson, founder of Black Entertainment Television and chairman of RLJ Cos., was added as a director.

From Times Wire Services