Financial News

NEW YORK — A wide range of factors and "moving parts" will likely make 2012 a challenging year for pharmacy retailers as the economy, generic drugs and the dispute between Walgreens and Express Scripts figure prominently, analysts say.

Still, they say, various factors may serve to benefit drug stores and other retailers that operate pharmacies.

MINNEAPOLIS — Target announced that it has temporarily suspended its efforts to sell its credit card receivables portfolio. The company said it remains committed to selling the portfolio on appropriate terms, but based on discussions with potential partners the company has determined that it is not in its best interests to finalize a transaction at this time.

HAIFA BAY, Israel — A committee formed by Taro Pharmaceutical Industries in December is continuing to evaluate an acquisition offer by India-based Sun Pharmaceutical Industries, Taro said.

Sun is hoping to acquire Israel-based Taro for $24.50 per share.

The committee, comprising members of the company's board of directors, has brought on Citigroup Global Markets as its financial adviser and is receiving legal advice from Israeli legal firm Goldfarb Seligman & Co. and U.S. firm Willkie Farr & Gallagher.

NORTHFIELD, Ill. — Realigning U.S. sales, consolidating U.S. management centers and streamlining corporate and business unit organizations are on the to-do list of Kraft Foods as it prepares to spin off its business in two independent public companies before the end of the year.

NEW YORK — Winn-Dixie CEO Peter Lynch is stepping down, according to published reports.

The Florida Times-Union reported Friday that Lynch would resign as CEO of the Jacksonville, Fla.-based supermarket chain, following its merger with Bi-Lo, but would remain for 60 to 120 more days until the merger is complete.

Following completion of the merger, Bi-Lo chairman Randall Onstead will step in as president and CEO, the newspaper reported.

NEW YORK — Bristol-Myers Squibb has officially launched its tender offer for Inhibitex, the drug maker said Friday.

Bristol said it had commenced a $2.5 billion offer to buy all outstanding shares of Inhibitex, an Alpharetta, Ga.-based company developing treatments for hepatitis C. The company's leading product is INX-189, an orally administered drug currently in phase-2 clinical trials.

Bristol announced its intention to buy Inhibitex Monday. The New York-based drug maker said it would make Inhibitex a wholly owned subsidiary following the acquisition.

MINNEAPOLIS — Target's board of directors has approved a new $5 billion share repurchase program, which will be implemented upon the completion of the company's current $10 billion program.

Target said while it expects to complete its current program early this year, it expects to complete the new $5 billion authorization in the next two to three years, saying the program "represents an opportunity to apply excess cash flow to what [the company believes] will be an attractive long-term investment."

WASHINGTON — Despite barely rising in December, retail sales hit a record for the year, according to figures released by the U.S. Census Bureau on Thursday.

U.S. retail and food services sales for the month, adjusted for seasonal variation and holiday and trading-day differences, but not for price changes, increased 0.1% to $400.6 billion from the previous month and 6.5% above December 2010. Adjusted retail sales were virtually unchanged.