Starwatch Consumer

In Senate testimony, CEOs of American Airlines, US Airways defend merger

Updated: 2013-03-20T04:24:47Z

Airline hearing

The CEOs of American Airlines and US Airways reassured a Senate panel Tuesday that their merger would not lead to fewer flights or lost jobs in the lawmakers’ states.

The merger would create the world’s biggest airline and provide more competition for United and Delta, the CEOs said.

But consumer advocates told the Senate antitrust subcommittee that the merger would lead to higher fares and less service to midsize cities.

Diana Moss of the American Antitrust Institute said American and US Airways want to compete with giant global airlines.

“I understand that ” she said. “But we have to find a way not to sacrifice U.S. consumers on the altar of global competition.”

Too revealing

Lululemon has yanked its popular black yoga pants from store shelves after it found that the sheer material was revealing too much of its loyal customers.

The company insisted it had not changed the specifications for the clothing, but it is warning of a shortage of the extraordinarily popular clothing items, which make up 17 percent of all women’s pants and crop pants in its stores.

Fur charges

The Federal Trade Commission said three retailers, including Neiman Marcus, have agreed to settle charges that they falsely claimed certain products were made of “faux” fur, when they actually contained real fur.

The FTC said the companies also violated federal laws by not naming the animal that the fur came from.

Under the proposed settlement, the retailers would be prohibited from violating the laws for 20 years.

Paperless proof

License, registration and proof of insurance: An officer’s request could soon be met in part using a smartphone in Colorado.

The Colorado Senate voted unanimously Tuesday for an update to the state’s car insurance requirement. The change would allow drivers to use phones or other electronic devices to show proof of insurance, rather than a paper slip. Electronic insurance proof is common in other states.

Samsung watch

Samsung Electronics is developing a wristwatch as it races against Apple to create a new industry of wearable devices that perform similar tasks as smartphones.

“We’ve been preparing the watch product for so long,” Lee Young Hee, executive vice president of Samsung’s mobile business, said Tuesday. “We are working very hard to get ready for it. We are preparing products for the future, and the watch is definitely one of them.”

Online fees

Online company eBay is overhauling fees for sellers for the first time since 2010, seeking to reduce costs and make pricing less complicated as it competes with bigger rival for online merchants.

Fees will range from 4 to 10 percent, depending on the size of the seller and the type of products sold, according to Brian Hsu, eBay’s senior director of pricing.

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