Business digest

REGION

FirstEnergy earnings up

AKRON — FirstEnergy Corp. said Monday that its second-quarter earnings rose 57 percent as the power company recorded a gain from the sale of its 9 percent stake in an electric company. FirstEnergy earned $408 million, or $1.36 per share, compared with profit of $263 million, or 85 cents per share, in the year-ago quarter.

FirstEnergy received $252 million for the sale of its stake in Ohio Valley Electric Corp. FirstEnergy said the sale resulted in a per-share gain of 52 cents for the latest quarter. Excluding the impact of the sale, FirstEnergy said it would have earned 87 cents per share. Analysts polled by Thomson Reuters expected profit of 84 cents per share. Analysts typically exclude one-time items from their estimates. Revenue edged up to $3.27 billion from $3.25 billion. FirstEnergy shares rose 40 cents to $41.60 in trading Monday morning. The shares have traded between $35.26 and $74.90 in the past year.

NATION

Coal mine will close Oct. 1

CHARLESTON, W.Va. — Another major U.S. coal mining complex has fallen victim to the slumping demand for energy. Patriot Coal Corp. said Monday it is closing its Samples mines and has told 314 workers they will lose their jobs Oct. 1. The St. Louis-based coal company said the sprawling West Virginia complex, which includes two surface mines, produces about 2.5 million tons of coal a year for electric utilities.

The weak economy and low natural-gas prices have combined to cut demand for coal, with government figures showing utilities are generating about 6.6 percent less electricity and amassing big stockpiles of coal this year.

A string of big producers, including Peabody Energy and Arch Coal, have announced production cuts that the U.S. government estimates have trimmed output an estimated 7.7 percent. At that rate, 2009 production would decrease more than 90.2 million tons from last year.

Interest on T bills mixed

WASHINGTON — Interest rates on short-term Treasury bills were mixed in Monday’s auction with three-month bills dropping to the lowest level in six weeks. The Treasury Department auctioned $31 billion in three-month bills at a discount rate of 0.18 percent, down from 0.19 percent last week.

Associated Press