Business Briefs

Washington County-based Black Box Corp., a computer network design and installation company, has laid off 105 people in its Lawrence headquarters to reduce operating costs. With the cuts, the company employs about 5,000 worldwide, including about 600 in western Pennsylvania. Black Box reported net income of $64 million for the year, up 31 percent from $49 million the prior year. Anna Baird, chief financial officer, said the cuts will bring the company's costs in line with current revenue projections. Baird and company Chief Executive Fred Young were not immune to the corporate belt-tightening. Baird's salary was reduced to $147,700 from $160,000 in fiscal 2000, and her bonus slashed $25,000 to $125,000. Young had his salary cut from $475,000 to $438,000, but had his bonus increased $75,000 to $390,000. Both also received fewer stock options in 2001 than in 2000.

Rite Aid Corp.

Drugstore chain Rite Aid Corp., based in Camp Hill, reported a fiscal first-quarter loss of $211 million, or 56 cents a share, but the results fell short of Wall Street expectations. The results compare with a loss of $695 million, or $2.69 per share a year ago. Excluding charges and one-time items, the loss from continuing operations was almost $89 million, or 23 cents a share. Analysts had expected a loss, excluding one-time items, of 19 cents a share. Revenue rose to $3.7 billion from more than $3.4 billion last year. Sales rose 10 percent, and prescription drug sales rose 12.7 percent, compared to the same period last year. The company closed 20 stores during the first quarter, which ended June 2, opened three new stores, and relocated four stores.

Toys R Us Inc.

Toys R Us Inc. saw its stock close down 35 cents at $24.80 on Friday, after sinking nearly 10 percent upon announcing its second-quarter loss will be larger than expected. The Paramus, N.J.-based toy giant, second- largest behind Wal-Mart stores, said it expects a loss of 14 cents or more per share for the three-month period ending Aug. 4. Analysts had expected a loss of 10 cents per share. The company blamed the earnings dip on increased economic spending and a challenging economic environment. Toys R Us also said it expects annual earnings to fall slightly below current estimates of $1.31 a share, and announced plans for a $500 million bond sale.

Microsoft

The U.S. Justice Department moved Friday to speed up the Microsoft antitrust case, asking an appeals court to end the current phase and immediately send it back to a lower court to decide whether the software maker should be broken up. Microsoft has until July 23 to file a response. Two weeks ago, a federal appeals court ruled Microsoft had operated as an illegal monopoly and harmed consumers. But the court reversed the trial judge's order breaking up the company and sent the case back to a different lower court judge to decide a new penalty. After the ruling, either side may ask the appeals court to reconsider parts of the decision, appeal the entire ruling to the Supreme Court, settle or go back to a lower court.

Bloomberg Pittsburgh Index

Pittsburgh-area stocks rose Friday, led by Education Management Corp and Mellon Financial Corp. The Bloomberg Pittsburgh Index, a price-weighted list of companies with operations in the region, gained 0.37 to 190.09. Education Management Corp. rose $2.20 to $43.80 and Mellon Financial Corp. rose $1.28 to $44.58.