Costco Wholesale Corp

For years a chain-link fence surrounded the contaminated 25-acre lot near the junction of Interstate 5 and California 118 in Pacoima, a daily reminder of the thousands of well-paying manufacturing jobs lost to Mexico in the last decade.

A U.S. court declined a request by Costco Wholesale Corp. to reconsider a decision that backed Washington state rules controlling pricing and discounts on beer and wine. The three-judge panel of the U.S. 9th Circuit Court of Appeals ruled in January that most Washington state regulations challenged by Costco, the largest U.S. warehouse club, were constitutional. Costco had argued that the rules restricted competition.

Costco Wholesale Corp. reported a 32% jump in its fiscal third-quarter profit Thursday, topping Wall Street expectations, as cash-squeezed customers flocked to its warehouse clubs in search of bargains on food and toiletries. But Costco shares edged down 26 cents to $72.98 after the company said Wall Street's forecast for the fourth quarter might be too high. Costco said net income in the three months that ended May 11 rose to $295.1 million, or 67 cents a share, from $224 million, or 49 cents, a year earlier, which included a $30.3-million charge.

A lawsuit filed in San Diego County Superior Court on Friday accuses Costco Wholesale Corp. of breaking California labor law by routinely keeping employees from going home each night for 15 minutes as managers remove jewelry from cases and check registers. The policy, the suit says, amounts to false imprisonment.

The global run on food that has led to shortages and riots in Egypt, Haiti and other nations has made its way to U.S. shores. Concerned about rising prices and limited supplies of staples such as rice and flour, customers across the country have been cleaning out the shelves at big-box retailers, including Wal-Mart Stores Inc.'s Sam's Club and Costco Wholesale Corp. stores.

Warehouse-club operator Costco Wholesale Corp. reported nearly flat first-quarter profit Thursday, citing the stronger dollar and cuts by U.S. consumers in spending on nonessentials. Profit for the three months ended Nov. 23 rose less than 1%, to $262.5 million, or 60 cents a share, from $262 million, or 59 cents, a year earlier. The results include charges of 5 cents a share related to an accounting adjustment stemming from life insurance contracts and a write-down on corporate investments.

Female managers at Costco Wholesale Corp. can go ahead with a class-action discrimination lawsuit against the Issaquah, Wash.-based retailer, a federal judge ruled Thursday. Judge Marilyn Hall Patel wrote that the women "presented strong evidence of a common culture at Costco which disadvantages women." As many as 700 women in Costco middle management may be affected by the ruling.

Costco Wholesale Corp., the largest U.S. warehouse chain, reached a tentative agreement with Teamsters representing 13,000 California workers after four months of negotiation, the union said. The agreement represents "significant gains" in retirement, wages and seniority and maintains current pension and healthcare contributions, the Teamsters said. Voting begins in the next two weeks.

It was a return policy made in shopper heaven, but it became hellish for Costco Wholesale Corp. Customers at the membership warehouse chain could buy a snazzy big-screen TV, use it indefinitely and take it back anytime. They could use their refund to buy a newer model -- often for a cheaper price. Costco's generous policy was a big hit with consumers. "It was probably the best return policy in retail," said Jamil Brush, a 30-year-old Los Angeles claims examiner.

Costco Wholesale Corp. said Thursday that its fiscal second-quarter profit dropped 16%, hurt in part by costs associated with revamping its consumer electronics return policy. Net income for the quarter ended Feb. 18 fell to $249.5 million, or 54 cents a share, from $296.2 million, or 62 cents, a year earlier. Last week, the discount retailer announced a new return policy for consumer electronics devices including televisions, computers, cameras, camcorders, digital music players and cellphones.