Business notes

KENTUCKY

CHURCHILL POSTS $800,000 PROFIT

Churchill Downs Inc. reported an $800,000 profit for its first quarter -- a time when the Louisville-based company usually posts a loss because of the lack of live racing at its tracks. In announcing the earnings late Tuesday, president and chief executive Bob Evans attributed the gains to insurance recoveries from Hurricane Katrina, returns from online betting and higher-than-expected returns from slots operations in Louisiana. Evans also said, however, that disputes with horsemen over how to divide revenue are hurting the company. In Florida, the opening of a slots site at Calder Race Course will be delayed, and purses will be cut at Calder and Churchill Downs, he said. Evans also expressed the company's "tremendous sadness" at the death of Kentucky Derby runner-up Eight Belles on Saturday.

NATIONAL

AMERICAN LAST IN ON-TIME FLIGHTS FOR MARCH

American Airlines Inc. finished last among 19 U.S. carriers in on-time arrivals in March, and the carrier canceled a greater percentage of flights than any other airline except partner American Eagle, the U.S. Department of Transportation reported Wednesday. Only 62 percent of Texas-based American's flights arrived on schedule or less than 15 minutes late in March. On average, the 19 carriers said 71.6 percent of flights arrived on time in March, compared with 68.8 percent in February. Among the 10 largest carriers, US Airways Inc. fared the best with 79.1 percent.

CONSUMER BORROWING SOARS FOR MARCH

Consumer borrowing rose in March at the fastest pace in four months, more than double the increase of the previous month, in what was seen as a sign of rising economic stress. The Federal Reserve reported Wednesday that consumers increased their borrowing at an annual rate of 7.2 percent, compared with 3.1 in February. The gain was much larger than economists had been expecting and reflected strong borrowing on credit cards and for auto loans.

PAULSON SEES PROGRESS IN CREDIT CRISIS

The worst of the nation's credit crisis may have passed, Treasury Secretary Henry Paulson said Wednesday, though he acknowledged that rising gas prices will blunt the effect of 130 million economic stimulus checks. He ruled out a second stimulus package for now. In an interview, Paulson said the turmoil that has gripped Wall Street and took a turn for the worse again in March has eased somewhat. "There's progress," he said. "I think we're closer to the end of this" than to the beginning.

GRAND THEFT IV ENJOYS RUNAWAY SALES

Grand Theft Auto IV raked in more than $500 million in its first week in stores, selling more than 6 million units worldwide, the video game's publisher said Wednesday. The highly anticipated title from Take-Two Interactive Software Inc. has received stellar ratings, along with criticism for its violent content. The game follows Eastern European immigrant-turned gangster Niko Bellic on crime missions around a fictional Liberty City.

INTERNATIONAL

SOME TOYOTA MODELS' PRICES TO BE RAISED

Toyota Motor Corp. is raising its prices on some U.S. models in mid-May amid increased worries about its profit growth in the American market. The 2008 Yaris sedan will go up $200, boosting the cost of the base model to $12,425. The 2009 Camry will go up $200 to $18,920 for a model with no extras, the automaker's U.S. unit said in a statement. The base hybrid Camry will cost $25,650, or $300 more. Like other Japanese automakers, Toyota is enjoying sales growth, but the company faces a challenge in maintaining profits partly because of the recent decline in the dollar, which erodes the value of overseas earnings of Japanese exporters. Worries are also rising about how a U.S. economic slowdown might hurt sales.

compiled from staff, wire reports