Charlie Baker’s goal to hike Mass. bond rating to AAA

Hiking the Bay State's bond rating to AAA — the highest possible — is a top goal of the next administration, Gov.-elect Charlie Baker told a group of investors yesterday.

"We're certainly going to focus on solving whatever short-term financial problems we may face, but we're also going to continue to pursue strategies for the long term to protect and preserve the commonwealth's financial credibility," Baker said at the state's annual investor conference. "That fundamental thing would be how we would go about pursuing and eventually earning AAA credit."

Standard & Poors has issued AAA ratings to 15 states, although only nine have received AAA ratings from S&P and Moody's, two of the top rating agencies, according to data compiled by Bloomberg.

"There are a lot of things we can do," Baker said. "But, it won't be easy. Like every state, we have challenges."

Massachusetts has pulled its credit rating up dramatically in the past two decades, from a poor BBB rating to AA+ today. Baker credited a rainy day fund created in the early 1990s for the state's progress.

"When we've seen two significant downturns, the availability of that rainy day fund has served as a shock absorber," he said. "It still today is one of those things we need to continue, so whenever the next downturn is, and there certainly will be one at some point, we have the financial capacity to manage our way through."

Hitting an AAA mark won't be easy, though.

David Hitchcock, the rating analyst for Massachusetts for S&P, cited the state's relatively high levels of debt and unfunded pension liabilities as barriers to the AAA rating.

S&P has rated Massachusetts' outlook as stable, meaning the firm does not anticipate raising or lowering the credit rating in the next two years.

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Scientology scrubs Boston hotel HQ

The Church of Scientology is putting the Hotel Alexandra on the market after deciding to pull the plug on its long-stalled plans of restoring the blighted South End landmark into its new Boston headquarters, church officials announced yesterday.

Just recently we've had some changes in our programs — some upgrades have caused a need for more space for course-rooms. With that, our international office told us that the Hotel Alexandra will not work because we need at least 50,000 square feet," said Kevin Hall, a spokesman for the Church of Scientology Boston.

Hall said the overall project would have yielded only about 42,000 square feet, including 25,000 from the hotel and another 17,000 from the erection of a new building on a vacant adjoining lot — the site of the "Ivory Bean" brick row house that the church tore down in 2012 after parts of it collapsed.

But Marc LaCasse, a lawyer for the church, said the cost of rehabilitating the five-story hotel and overcoming a multitude of engineering hurdles were also factors in the decision to sell the building.

The once grand Victorian Gothic edifice — it was built in 1875 as a luxury hotel for long-term guests at the crossroads of Washington Street and Mass Ave. — fell into terrible disrepair, suffering from neglect and fire while remaining vacant for decades.

LaCasse said estimates for the project — all work needs to meet strict city historic preservation requirements because the former hotel is located within the South End Landmark District — ranged from $24 million to a scaled-back $12 million.

"That's why they decided to sell and look for something that is not as labor intensive. They are not real estate developers," LaCasse said, adding he "absolutely" believes the church will receive considerably more for the two properties than the $4.5 million it paid for them in January 2008.

"It's a different market than it was in 2008. Read any report. There's no inventory in Boston now. There's awesome demand, but no inventory," said LaCasse, who declined to reveal an asking price or when he plans to put the site up for sale, except to say: "As soon as possible."

The church in August 2013 sold its longtime headquarters at 448 Beacon St. in Back Bay for $10.5 million and moved to a temporary location in Quincy Center.

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Jeep’s built to cross the Rubicon

Since the first Jeep was made in 1941, few other vehicles have been able to excel off road quite like it. The Wrangler Rubicon X is no exception to this legacy. It is "trail rated" by the Nevada Automotive Test Center, meaning that it is ready to maneuver off-road, climb rocks, and ford streams.

What makes this vehicle so capable off road is a locking front and rear axle and a disconnecting front sway bar, which allow its driver to keep wheels in contact longer to take on rugged terrain and hop rocks. Other aspects like plenty of ground clearance and hill descent control also bolster the Rubicon's status as king of the mountain.

The Rubicon evokes a sense of its World War II heritage with a red imprint on its 17-inch polished black wheels featuring the icon of the original Jeep. The imprint, along with the fact that the look of the vehicle stays true to its origins, is a symbolic nod to its predecessor.

This Wrangler features a 3.6-liter V-6 engine rated at 285 horsepower. It has plenty of power, but gets only 18 mpg on average. The Rubicon X is equipped with four tow hooks, in case your off-roading goes a little too extreme and you land yourself in the mud.

There's a loud hum from the 7.5-inch wide tires, which the soft top does little to muffle. Highway and traffic noise also make their way through this thin membrane. The soft top is going to be great in the summer, but practice and patience with zippers are needed to secure cargo in the rear Extra time will have to be spent in order to access the trunk.

The Rubicon X is equipped with very comfortable accent-stitched leather-trimmed seats, but access to the rear seats in this two-door is hampered by clumsy mechanics for the folding seats.

The leather-wrapped steering wheel has audio controls for the Alpine audio system, which features a built-in hard drive, CD, DVD, MP3 and a very good GPS. The system has a 6.5-inch touch screen, but lacks variable volume, which would increase with speed. This feature would be helpful given the amount of road noise while driving.

The Rubicon X is incredibly easy to park. There's no need for a back-up camera as you can see everything that's behind you by merely looking over your shoulder.

The test vehicle was equipped with slush mats, which are nice, but a step below ones offered by Weathertech.

It takes a while to get used to driving the Rubicon on the highway. It goes without saying that it will be more at home off road than on paved roads. At highway speeds, this two-door machine wants to swerve.

The power window controls are hard to find until you remember that the doors are removable. With winter-like weather, removing the doors wasn't tested, but the process seems easy enough.

The lighting inside the Rubicon X is not good. Lose your wallet inside this Jeep at night and get ready to use your smartphone flashlight to find it. Another feature the Rubicon X is missing is a 2-inch receiver hitch, which can always be added later, but seems like an oversight.

Its lack of space means you'll have to choose between passengers and cargo. If you are considering the purchase of a Wrangler Rubicon, the four-door seems to be a better choice than the two-door. It's most likely a trade off of some off-road capabilities by going this route, but better highway stability and increased cargo capacity are going to make it worth it.

The bottom line is that the Rubicon X is an awesome off-road specimen with predictable shortcomings.

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Golden age for Netflix, Amazon

The 72nd Golden Globe Awards may be a month away, but the winners and losers have already been selected.

Winners: Amazon and Netflix. Losers: Cable companies.

The fact that two online streaming services have received such resounding acclaim should put an end to any argument that the networks and cable have the market cornered on the art of acting, writing and directing.

Once just a way to access network shows on-demand, streaming services can now produce award-winning content themselves. An unintended consequence: television sales could dip in favor of tablets and smartphones because, let's face it, you no longer need a TV to watch good TV.

Though Netflix has competed at the Emmys and Golden Globes before, the nod for Amazon's breakout hit "Transparent" as best comedy TV series means that the creative success of Netflix — with seven nominations this year — isn't a fluke. It paves the way for the Hollywood elite to look toward Sony's new PlayStation TV, Microsoft Xbox, Roku and more as legitimate and promising places to lend their talents. Web series — like the Boston-set drama "Beacon Hill" — could also see a rise in interest both with viewers and Hollywood itself.

Such a scenario would act as a shot across the bow of overpriced and customer service-challenged cable providers. I wouldn't be surprised if, by this time next year, some top television shows are shopping themselves to those services as opposed to the networks that cable companies are currently holding hostage.

Of course, the awards also set up a serious faceoff between the two streaming titans-turned-TV-newbies. The seven nominations for Netflix original series shows "House of Cards," "Orange is the New Black" and "Derek" did not come as a surprise.

Amazon's nod for the hilarious show "Transparent," starring best actor in a comedy nominee Jeffrey Tambor, was more of a surprise. But to its huge credit, Amazon aggressively pursued the honor.

There's no doubt that Amazon's roster of 50 million subscribers to its Prime service will rise as a result, more so if Tambor wins. But there's plenty of room for streaming service competition and plenty of untapped market share to be had.

Rather than a monthly cable subscription, increasing numbers of consumers are paying for an a la carte menu of streaming services that allows them to view their own shows and still pay less than a monthly cable bill would cost.

One thing's for sure: Networks and cable companies will care about the 2015 Golden Globes for the first time in a long time.

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Stocks rebound on Nov. retail sales, despite oil dip

Renewed optimism, thanks to increased retail sales, caused U.S. stocks to begin to rebound yesterday from a three-session loss streak, but waned as oil fell to a new, five-year low and efforts to block a spending bill in the House renewed worries of a government shutdown.

At one point, the Dow Jones Industrial Average increased by 225 points on news that retail sales rose 0.7 percent in November, the largest increase in eight months.

The Labor Department also reported fewer people filed unemployment claims last week.

"There's no question the numbers were encouraging," said Jon Hurst, president of the Retailers Association of Massachusetts.

"The key is whether they'll be sustained next month because, on average, November and December combined make up about 20 percent of the year's total sales."

Just hours before the House of Representatives passed a spending bill and the Senate passed a temporary bill to avert a U.S. government shutdown, the Dow ended at 17,596.34, up 63.19 points, or
0.4 percent, after crude oil dropped below $60 per barrel.

The latter is good news for the economy, for now, because the less people need to spend on gas, the more they can spend on other things, said Alan Clayton-Matthews, associate professor of economics and public policy at Northeastern University.

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Hot Property: Penthouses become highly desirable

Penthouses have always had a cachet, but it's only in the last 10 years that Boston has gone vertical enough to create a lot of them.

Buildings like the Ritz- Carlton Residences, the W, 45 Province St., the Mandarin Oriental and The Clarendon put the high-style urban penthouse on the Hub map. Upcoming buildings will raise the ante. The Millennium Tower is offering a 13,000-square-foot penthouse atop the 60th floor for $37.5 million, the city's most expensive listing ever. And projects like One Dalton Street in the Back Bay and Twenty Two Liberty on Fan Pier are also building spectacular pent­houses.

"Big building penthouses are like bespoke suits — custom made" says Wayne Lopez, who sold six at 45 Province St. and is now working for Millennium Partners. "These are people who don't buy cars off lots or suits off the tracks."

Lopez says new penthouses are often sold as raw space, letting buyers customize floor plans and finishes, noting a family with young children bought a 45 Province St. penthouse because they could alter the layout to fit their needs.

For those buyers who want a penthouse, but can't wait two to three years for a build-out, there are usually several on the market.

Gibson Sotheby's Beth Dickerson is listing a 16th-floor two-bedroom corner penthouse at One Charles for $3,195,000 that features both a wraparound terrace off the living areas and a private one off the master bedroom, with panoramic views of the city on two sides.

"Having outdoor space is huge and increases the value of a penthouse by 20 percent," said Dickerson, who sold one for $13 million at the Mandarin Oriental. "And corner pent­houses are very hard to find."

Dickerson says penthouses are high on the bachelor pad wish list and those of people who like to entertain. There are the much-touted wealthy foreign buyers looking for a trophy penthouse, but also local empty nesters. Coldwell Banker agent Albert Lynch is a buyer's broker for a suburban Boston couple with two grown children.

"Some buyers want to be in flag buildings, those that mix condos with a hotel offering amenities such as room service." Lynch said. "Others, like my client, are looking for a full-service building that's quieter."

Lynch said tall building penthouses are a different animal than penthouses in other neighborhoods. In penthouse units he recently sold on Beacon Hill and in the Leather District, exclusive rights to roof decks were a top amenity

Penthouses along the Water­front or in Charlestown aren't as high up but offer spectacular views. Penthouse 230 for sale at Flagship Wharf for $2,149,000 has 2,434 square feet of space, floor-to-­ceiling windows and two private terraces that look out over Boston Harbor.

"Whether you want water or city views, if you're looking for a condo with more than 2,000 square feet or three bedrooms in the city, these will generally be penthouse units," Dickerson said.

Why pay more, when the views a few floors below are nearly as good?

"It's the cachet of living in a one-of-a-kind space where you live at the top" Lynch said. "Some people want to be able to say they live in a penthouse and will pay extra for the privilege."

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Westboro, Cambridge facilities to close, lay off employees

Two international companies have plans to lay off employees in Massachusetts soon, the Herald has learned.

AstraZeneca, a London-based pharmaceutical company, will close its Westboro drug manufacturing facility, affecting roughly 180 employees and contractors.

"In an effort to increase efficiencies in our global supply chain, we will be closing our Westboro, Mass., manufacturing facility in late 2015," said company spokeswoman Alisha Martin. "We did not take this decision lightly, and it was made after careful consideration of our business strategy, market indicators and the patients and stakeholders we serve globally."

The Westboro facility was one of three locations around the world that manufactured Pulmicort Respules, an asthma drug.

It was not immediately clear if all 180 positions would be eliminated or transferred to another facility.

In a completely unrelated move, HERE North America, a tech company owned by Nokia, is closing its office in Kendall Square in Cambridge.

The closure will mean the layoffs of 58 employees and the transfers of 64 more.

"After careful consideration and evaluation of a number of business initiatives, HERE decided to close HERE Cambridge," said HERE spokesman Christopher Lawton. "HERE has revised its business plans for 2015, identifying opportunities to further increase efficiency within the organization."

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LogMeIn won’t be logging out

Boston tech company LogMeIn will double the size of its Hub office thanks to a city tax break, a tool City Hall could use again to retain or lure other tech firms in the city, according to the mayor's office.

"It's an option that can be considered if we feel like it would result in shared success," said Melina Schuler, a spokeswoman for Mayor Martin J. Walsh. "These incentives are used on a limited, case-by-case basis."

Over the summer, Walsh said the city was working with another unnamed tech company to find a way to move them into Boston. Officials would not comment yesterday, and the status of the move is unknown.

LogMeIn, a public company with about 400 employees, will get a city real estate tax break to expand its Innovation District office on Summer Street across the street, a move that will essentially double the size of its Boston headquarters.

"Once upon a time, Greater Boston had a chance to keep Facebook. We can't afford to lose that kind of opportunity again," Walsh said at a Chamber of Commerce address yesterday. "We have to be in dialogue with these innovators from the moment their dreams take shape. And if there is something we can do to help them stay and grow in Boston, we shouldn't hesitate."

LogMeIn, which provides cloud access services, will receive a $2.5 million real estate tax break over 13 years, on the condition that it adds 450 jobs.

"It was clear that it was a shared vision, something we could partner on," said Craig VerColen, a spokesman for LogMeIn. "We've always had a pretty close relationship with the mayor's office."

The company plans to move into its new digs in 2016, after construction is completed to fix the building that saw an 8-alarm fire tear through the structure just over a year ago. The total cost of construction for the new office will be $37.7 million.

The City Council approved the tax break — technically a tax increment financing — proposed by the mayor yesterday.

LogMeIn's office was one of the first in what has become one of the fastest growing areas in the region, attracting startups and larger tech companies in droves.

"I think LogMeIn could go anywhere they want," said Chris Anderson, president of the Massachusetts High Technology Council. "There's an obvious inclination to make your community more attractive."

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New BRA chief Brian Golden promises agency will ‘not play favorites’

Brian Golden, Mayor Martin J. Walsh's newly anointed BRA chief, told the Herald he hopes people will soon see the agency as a place that "does not play favorites."

"I believe that the backroom deals are a thing of the past," said Golden, 49, a former state rep from Brighton. "It's my commitment that nothing should be going on that we would not be comfortable talking about in a public proceeding."

Walsh named Golden — the Boston Redevelopment Authority's secretary and executive director for five years before the mayor tapped him in January to serve as its acting director — as the BRA's permanent chief yesterday.

"He has given me confidence that we can move ahead with deep reforms in the BRA, while still driving development forward," Walsh said. "Brian will work hand-in-hand with businesses and communities to make development work for everyone."

Golden thanked his staff yesterday, saying, "I have essentially risen to this position on your shoulders," though he added, "There are things here that need to be fixed."

In a scathing audit, the agency was accused of losing track of millions of dollars from gross mismanagement of its leases and payments from developers.

Golden has hired a four-person team and acquired new software to better manage the BRA's 200 leases and developer obligations. After the controversial $7.3 million Yawkey Way deal, in which the BRA quietly gave the Red Sox permanent rights to the street on game days, any sale of city land now requires a public hearing.

"It should not be about politics. It's about people who bring quality ideas to us that should be embraced," Golden told the Herald. "I want people to know it does matter who you are, you will be treated fairly here and get a fair hearing with the BRA staff."

Golden's selection was lauded by developers and even longtime critics of the BRA. At-large City Councilor Michael Flaherty, who railed against the agency as a mayoral candidate in 2009, remarked: "Brian is not shy in tackling tough and thorny development issues. That's refreshing. He's clearly listening to the residents' concerns."

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Deval Patrick: Charlie Baker should go on trade missions

Gov. Deval Patrick yesterday urged his successor, Gov.-elect Charlie Baker, to embark on the same aggressive agenda of international trade missions that Patrick did in his second term, but warned the Republican to expect "body blows" from the press if he does.

Patrick, speaking yesterday at an MIT forum on innovation in Massachusetts, defended his frequent travel overseas to Europe, Asia and the Middle East, which he said has helped foster investments back home and a range of deals to bring direct international flights to Logan International Airport.

"In today's marketplace, and I think it is hard for some in the media to quite understand it, you don't get off the plane with a fistful of purchase orders," Patrick told the crowd. "You start by making friends. ... And after eight years, there is a lot of tangible stuff" that came out of those trips.

"I encourage the governor-elect to travel as well," Patrick said, "notwithstanding the fact that you're going get body blows from reporters when you do. And I would encourage all of you to encourage the governor-elect."

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City to give boost to veteran-owned businesses

Veteran-owned businesses will soon get the same preferential treatment that women- and minority-owned businesses get from the city of Boston.

During his speech at the Greater Boston Chamber of Commerce this morning, Mayor Martin J. Walsh is expected to announce a new executive order that will give veteran-owned businesses an advantage when bidding for city contracts.

"This really changes the dynamic, to go beyond what is being done at the state level and gives all veterans the opportunities to bid with the city of Boston," said Francisco Urena, Boston's commissioner of veterans services. "This is a chance for veterans to utilize the skills they've learned in the field and in their service to our country, to launch a successful business, and for the city to support their post-service careers in a sustainable way. Boston continues to lead as a veteran-friendly city, and this is another reason why."

The city currently gives extra weight to bids from woman- and minority-owned businesses, and will add veteran-owned businesses to that group when the executive order is issued.

Joyce Linehan, Walsh's chief of policy, said the programs have been effective in giving businesses more opportunities.

"It certainly is much more than symbolic," she said. "(Veterans are) a population that could certainly use a hand up."

Veteran-owned businesses will also be able to get a weekly dispatch from City Hall, which details what contracts are up for bid.

"It's the least we can do," Linehan said.

In a meeting last month with a veteran business owner, Linehan said she was surprised that no policy existed.

"You don't understand why it wasn't already done," she said. "It's a really good way for us to say thank you."

The executive order will also establish a minimum percentage of contracts, which should be awarded to veteran-owned businesses.

Businesses will need to be federally certified as veteran-owned to qualify. There are roughly 800 businesses in Massachusetts that are federally certified as veteran-owned.

The city's legal team is in the process of putting the executive order together, but there is no concrete timeline for its implementation.

The city awards millions of dollars in contracts every year, for jobs including fixing traffic lights to installing cables inside City Hall.

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Reception to GOP tax amnesty plan mixed

Taxpayer activists are divided about a corporate tax amnesty program House leaders and Gov.-elect Charlie Baker are considering to generate cash for state spending needs.

House Minority Leader Brad Jones (R-North Reading) has filed legislation to create a two-month corporate tax amnesty program, which he estimates would yield $15 million to $20 million. Baker said it's not an ideal situation, but one he might support. House Ways and Means Chairman Brian Dempsey (D-Haverhill) said Democratic leadership is actively considering the possibility.

A two-month tax amnesty program for individual filers that ran through the end of October pulled in roughly $57 million.

Michael J. Widmer, outgoing president of the Massachusetts Taxpayers Foundation, said in many cases, businesses, like some individuals, don't pay their taxes because they dispute their assessment.

"The amnesty is a chance to reach an agreement and collect revenues which might otherwise never be received or only after a long period," Widmer said in an e-mail yesterday. "We haven't looked at this, but my one caution would be not to use one-time revenues to support ongoing operating expenses."

But Barbara Anderson, executive director of Citizens for Limited Taxation, was flummoxed by the idea of an amnesty for corporate scofflaws.

"You and I have to pay our taxes, so why don't they? Wouldn't I go to jail if I didn't?" Anderson said. "The bigger ones — I don't see how they could have any excuse; they have accountants ... It seems to me there's a moral hazard here. Once everyone understands that if they don't pay their taxes sooner or later there's going to be an amnesty, there's an incentive to hold out and have that money in the bank, earning interest."

Herald wire services contributed to this report.

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AG fines TD Bank $625G for data breach

TD Bank agreed to pay a $625,000 fine after losing data tapes that contain the personal information of 90,000 Bay State customers, according to the state Attorney General's office.

"Massachusetts data breach law requires businesses to provide notice of a data breach promptly," Attorney General Martha Coakley said in a statement. "Businesses are required to secure the sensitive information that consumers entrust to them, and cannot subject consumers to unnecessary risk by failing to provide prompt notice when that information is compromised or lost."

Coakley's office said TD Bank lost two unencrypted data backup tapes when the bank attempted to ship them from Haverhill to Springfield in March 2012, but did not notify consumers or the attorney general until October 2012. The tapes contained customers' names, addresses, Social Security numbers, account numbers and other personal information.

"There has been no evidence of fraud or unauthorized access or use of the personal information involved in the incident," Coakley's office said in a statement.

Attempts to reach TD Bank late yesterday were unsuccessful.

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Nuts! Korean flight delayed by first class spat

SEOUL, South Korea — Forget dust-ups over reclining seats in economy class. There's a new and exclusive twist on inflight anger: Nut rage in first class.

A recent Korean Air Lines flight was delayed when its chairman's daughter, who is also vice president responsible for cabin service at the airline, ordered a senior crew member off the plane. The crime? Allowing passengers in the pointy end of the aircraft to be served bagged macadamia nuts instead of nuts on a plate.

The airline has apologized for inconveniencing passengers, but also excused the executive's behavior.

South Korean daily Segye Ilbo reported this week that the flight from New York City to Incheon, South Korea returned to the gate after Cho Hyun-ah told the head of cabin crew to leave the plane. The report said Cho quarreled with crew in the first class cabin and the flight departed 20 minutes late.

Cho, 40, is the oldest child of Korean Air's chairman, tycoon Cho Yang-ho. Her two siblings are also executives at South Korea's largest airline.

The incident caused uproar in South Korea where it was seen as an example of over-mighty behavior by the offspring of the moneyed elite.

The South Korean economy is dominated by family-controlled conglomerates known as chaebol. Family members often wield greater influence over major companies than shareholders and executives with no blood ties to the founding family. The Cho family own about 10 percent of Korean Air Lines, part of a business empire than spans the travel, logistics, hotel and leisure industries.

Korean Air Lines confirmed that Flight 86 was delayed at John F. Kennedy airport on Dec. 5 due to the nut incident. But the company said the decision to disembark the crew member was made by the flight's captain.

South Korea's government said it is investigating whether Cho violated aviation safety law. Cho could face legal action if the probe shows that she interrupted the flight or endangered safety by using threats, her status or violence.

Korean Air Lines Co. said Tuesday it was "natural" for Cho to fault crew's ignorance of procedures.

Cabin crew are required to ask first class passengers whether they want nuts, partly to avoid serving them to people with allergies. The nuts also should have been served on a plate.

The airline said it will step up training to improve customer service and safety.

Cho was not available to comment.

People's Solidarity for Participatory Democracy, a civic group, said it would file a complaint against Cho with prosecutors.

"The anger and the concern from the public were so big because safety and procedures related to important services were simply ignored" due to Cho's status, the group said.

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Fed proposing big US banks boost capital cushions

WASHINGTON — Federal regulators are proposing that the eight biggest U.S. banks be required to further increase the amount of capital they set aside to cushion against unexpected losses.

The proposed requirements are aimed at lessening the chances of future taxpayer bailouts of troubled banks, while also encouraging the behemoths to shrink so they pose less of a risk to the financial system.

The Federal Reserve governors are expected to vote at a meeting Tuesday to advance the so-called "capital surcharges."

The eight banks, considered so big and interconnected that each could threaten the financial system if they collapsed, are JPMorgan Chase, Citigroup, Bank of America, Goldman Sachs, Wells Fargo, Morgan Stanley, Bank of New York Mellon and State Street Bank.

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China stocks jump as dim exports add stimulus hope

HONG KONG — Chinese stocks surged to their highest level in more than three years Monday after disappointing exports raised investor hopes of more stimulus. Other Asian markets mostly posted modest gains while European stocks fell.

KEEPING SCORE: European stocks were lower in early trading, with France's CAC 40 losing 0.4 percent to 4,399.72. Germany's DAX slipped 0.3 percent to 10,052.967 Britain's FTSE 100 fell 0.4 percent to 6,715.79. U.S. stocks were poised to open lower, with Dow futures down 0.2 percent to 17.922.00. Broader S&P 500 futures lost 0.2 percent to 2,072.10.

CHINA TRADE: Export growth slumped last month and imports unexpectedly contracted in the latest sign of weakness in the world's No. 2 economy. Chinese stocks, however, jumped following the data, a sign that investors expect the government to dole out more stimulus.

THE QUOTE: "There is an expectation of more easing to come" after China's central bank unexpectedly cut interest rates two weeks ago, said Michael Every, head of Asia Pacific financial research at Rabobank. "For China it's 'Welcome to the new normal,' which is inappropriately lax monetary policy juicing equity markets."

JAPAN ECONOMY: Japan's economy contracted more than initially estimated in the third quarter, according to revised data, confirming a recession as the country prepares to go to the polls. The world's No. 3 economy shrank 1.9 percent in the July-September period and voters will be deciding this weekend whether to give Prime Minister Shinzo Abe more time for his monetary easing and other stimulus policies to work. Polls suggest Abe's ruling Liberal Democratic Party will retain its parliamentary majority.

US JOBS: Data showed U.S. employers added 321,000 jobs last month in the biggest burst of hiring in nearly three years. Unemployment held steady at 5.8 percent. It's the latest round of upbeat data on the world's biggest economy that reinforces expectations that the Federal Reserve will raise interest rates next year.

ASIA'S DAY: Japan's benchmark Nikkei 225 edged up 0.1 percent to close at 17,935.64. South Korea's Kospi dipped 0.4 percent to 1,978.95 while Hong Kong's Hang Seng gained 0.2 percent to 24,047.67. The Shanghai Composite in mainland China broke through the psychological 3,000 barrier, soaring 2.8 percent to 3,020.26, a level it hasn't closed at since April 2011. The index is up 25 percent in the past month. Australia's S&P/ASX 200 advanced 0.7 percent to 5,372.70.

CURRENCIES: The dollar slipped to 121.33 yen from 121.50 yen in late trading Friday. The euro fell to $1.2254 from $1.2286.

ENERGY: Benchmark U.S. crude was down 63 cents to $65.21 in electronic trading on the New York Mercantile Exchange. The contract fell 97 cents to close at $65.84 a barrel on Friday. Brent crude, used to price oil sold on international markets, dropped 98 cents to $68.05.

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China stocks jump as dim exports add stimulus hope

HONG KONG — Chinese stocks surged to their highest level in more than three years Monday after disappointing exports raised investor hopes of more stimulus. Other Asian markets mostly posted modest gains while European stocks fell.

KEEPING SCORE: European stocks were lower in early trading, with France's CAC 40 losing 0.4 percent to 4,399.72. Germany's DAX slipped 0.3 percent to 10,052.967 Britain's FTSE 100 fell 0.4 percent to 6,715.79. U.S. stocks were poised to open lower, with Dow futures down 0.2 percent to 17.922.00. Broader S&P 500 futures lost 0.2 percent to 2,072.10.

CHINA TRADE: Export growth slumped last month and imports unexpectedly contracted in the latest sign of weakness in the world's No. 2 economy. Chinese stocks, however, jumped following the data, a sign that investors expect the government to dole out more stimulus.

THE QUOTE: "There is an expectation of more easing to come" after China's central bank unexpectedly cut interest rates two weeks ago, said Michael Every, head of Asia Pacific financial research at Rabobank. "For China it's 'Welcome to the new normal,' which is inappropriately lax monetary policy juicing equity markets."

JAPAN ECONOMY: Japan's economy contracted more than initially estimated in the third quarter, according to revised data, confirming a recession as the country prepares to go to the polls. The world's No. 3 economy shrank 1.9 percent in the July-September period and voters will be deciding this weekend whether to give Prime Minister Shinzo Abe more time for his monetary easing and other stimulus policies to work. Polls suggest Abe's ruling Liberal Democratic Party will retain its parliamentary majority.

US JOBS: Data showed U.S. employers added 321,000 jobs last month in the biggest burst of hiring in nearly three years. Unemployment held steady at 5.8 percent. It's the latest round of upbeat data on the world's biggest economy that reinforces expectations that the Federal Reserve will raise interest rates next year.

ASIA'S DAY: Japan's benchmark Nikkei 225 edged up 0.1 percent to close at 17,935.64. South Korea's Kospi dipped 0.4 percent to 1,978.95 while Hong Kong's Hang Seng gained 0.2 percent to 24,047.67. The Shanghai Composite in mainland China broke through the psychological 3,000 barrier, soaring 2.8 percent to 3,020.26, a level it hasn't closed at since April 2011. The index is up 25 percent in the past month. Australia's S&P/ASX 200 advanced 0.7 percent to 5,372.70.

CURRENCIES: The dollar slipped to 121.33 yen from 121.50 yen in late trading Friday. The euro fell to $1.2254 from $1.2286.

ENERGY: Benchmark U.S. crude was down 63 cents to $65.21 in electronic trading on the New York Mercantile Exchange. The contract fell 97 cents to close at $65.84 a barrel on Friday. Brent crude, used to price oil sold on international markets, dropped 98 cents to $68.05.

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Sony's PlayStation store suffers suspected hack

TOKYO — Sony's online PlayStation store was inaccessible to users for part of Monday in the latest possible cyberattack on the electronics and entertainment company.

Sony Computer Entertainment in Tokyo said Monday the problem lasted two hours but has been fixed globally. It said the cause is under investigation, but there is no sign of any material being stolen.

Last week, the computer systems of Sony Pictures Entertainment were disrupted by a cyberattack and confidential information including unreleased movies was leaked on the Internet.

North Korea was among the suspects, but it has denied responsibility.

The FBI is investigating threatening emails sent to some employees of Sony Pictures Entertainment, and trying to identify the person or group responsible.

There was no indication of a link between the PlayStation and Sony Pictures incidents.

A hacker group calling itself Lizard Squad appeared to take responsibility for the attack on its Twitter account, tweeting "PSN Login #offline."

Earlier this year, Lizard Squad warned that explosives might be on a flight that included a Sony executive among its passengers, and claimed responsibility for a disruption to the PlayStation network. American Airlines diverted the domestic U.S. flight to a nearby airport.

In that incident, hackers orchestrated a so-called denial-of-service attack against Sony, which involved overwhelming the company's game network with fake visits so that legitimate users couldn't get through.

In 2011, hackers compromised the company's network including the personal data of 77 million user accounts. Since then, the company has repeatedly said its computer security has been upgraded.

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Yuri Kageyama on Twitter: https://twitter.com/yurikageyama

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Clearing up shifting opinions on transmission fluid

I recently purchased a 2008 Chevy Equinox with 81,000 miles. It has the non-GM Aisin AF33 five-speed transmission. The owner's manual states to use only T-IV automatic transmission fluid. I pointed this out to the shop when I had the transmission fluid changed. However, they used a machine to flush out the used T-IV fluid and replaced it with Dexron VI fluid. They told me that using Dexron VI is not a problem, but I read on several Internet blogs and forums that using Dexron VI can damage this transmission. I asked two Chevy dealers, an independent garage and another transmission shop and I'm getting conflicting information. I would appreciate it if you could get to the bottom of this.

Hey, if it's on the Internet it must be true, right? The T-IV automatic transmission fluid meets industry specification JWS3309. Here are several automatic transmission fluids that are listed as suitable for T-IV applications: Valvoline MaxLife Dex/Merc ATF, Mobil 1 Synthetic ATF, Castrol Trans-Max Synthetic ATF, Quaker State Ultimate Synthetic Multi-vehicle ATF, Pennzoil Multi-Vehicle Automatic Transmission Fluid — to name just a few. Mobil ATF 3309 is a JWS3309-spec transmission fluid engineered for this application.

Like you, I found conflicting information on Dexron VI compatibility with JWS3309-spec Type T-IV fluid. Part of the issue is Dexron VI's "backward compatibility," meaning it is suitable for transmissions using previous Dexron ATFs. Aisin specifically recommends against using Dexron III in the T-IV transmission.

Remember this: Transmission manufacturers do not manufacture or produce their own lubricants. Oil companies do. I believe we can trust the product information on specific lubricants and their compatibility with specific vehicle components. So as long as the fluid used to refill your transmission meets the JWS3309 specification — no worries.

My 1986 Corvette is doing some weird things. The other night after parking the car, a few minutes later I heard a strange noise in the garage. It was the electric radio antenna going up and down on its own. I had turned off the radio and the keys were in my pocket. How could the antenna motor still be running?

My first guess would be a stuck antenna motor relay, which is located under the lip at the back of the rear hatch on the left side. Perhaps water intruded from the hatch opening into the relay and caused it to rust and stick.

GM service bulletin No. 882099A from 1988 says a power interruption to the radio with the ignition on can cause the power antenna to malfunction, typically ending up stuck in the up position.

I'm betting on the relay.

I drive only around 3,000-4,000 miles a year. In the past I have done oil changes twice a year based on Acura's severe driving conditions recommendation. I now have a 2014 Acura TL that has a computer that tells me when an oil change is due. At the moment it says my oil is still 80 percent good, and I have been driving since the end of April and have only put 1,700 miles on the car. Should I continue to do oil changes twice a year or wait until the car computer tells me it's time?

My Alldata database shows Acura's recommended oil change intervals at 7,500 miles under normal conditions and 3,750 miles under severe conditions. Why not simplify the issue and change oil and filter once per year? That's what I do with my low-annual-mileage vehicles.

Is there anything I can spray on my brake rotors for rust protection when vehicles are stored for six months?

I spray Deep Creep on the brake rotors of my stored vehicles. Any light aerosol lubricant should do the job of protecting the rotors from serious rust for six-month storage. To satisfy the worrywarts reading this, flush and clean the rotors with aerosol brake cleaner before driving again.

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Mortgage-lending restrictions are finally easing

WASHINGTON — When it comes to buying a house, are you in the "no way I could possibly qualify" category? Not enough cash in the bank for a down payment or closing costs? Credit scores good, but not great? So much deferred student loan debt that you assume any lender would slam the door?

Join the crowd. Large numbers of Americans feel the same, in part because they read and hear that qualifying standards for mortgages are the strictest they've been in decades. A study based on a statistical sample of potential homebuyers conducted earlier in the year by the mortgage company loanDepot found that nearly 60 percent of people who say they want to buy a home aren't pursuing it because they think there's just no point — they are convinced their applications would be rejected. Three-quarters of them, however, concede that they haven't done a thing to check out current lender requirements.

But here's some good news for these folks: Changes are underway in the mortgage market that could give you a better shot at qualifying. Start with recent policy shifts at giant mortgage investors Fannie Mae and Freddie Mac, the two dominant funding sources for new loans. Late in November, both companies announced procedural changes that should encourage lenders to be less fearful that the mortgages they approve will be subject to costly "buy back" demands if borrowers go delinquent.

In a buy back, an investor such as Fannie Mae requires the lender who originated the mortgage to repurchase it because of alleged defects in underwriting that ultimately led to the borrower's non-payments. To avoid buy backs, lenders in recent years not only have ratcheted up their underwriting requirements, but have added extra fees — so-called "overlays" — that are designed to compensate them for losses on loans to borrowers who have below-average credit scores, small down payments and minimal assets in reserve.

Though the technical details of the recent changes would glaze most consumers' eyeballs, their intended net effect is important. They tell lenders: OK guys, you can loosen up a little on mortgage applicants, give some breaks on credit scores and other criteria that you wouldn't have previously. David Lowman, a Freddie Mac executive vice president, was explicit about the desired end result. The policy revisions "should encourage 'lenders' to serve a broader range of qualified borrowers," he said. His counterpart at Fannie Mae, Andrew Bon Salle, said he expected lenders to make "mortgages available to more borrowers."

Another big change in the wings: Fannie and Freddie plan to resume lending to buyers who can make down payments as low as 3 percent. Currently their minimum is 5 percent down. The Federal Housing Administration requires 3.5 percent down payment, but its insurance premiums often make its loans more expensive than Fannie's and Freddie's. So cutting the minimum back to just 3 percent could prove helpful for many cash-short borrowers, even if the two companies impose other requirements such as pre-purchase financial counseling.

Lenders and private mortgage insurers strongly support Fannie's and Freddie's recent moves to open the lid on the credit box a little wider. They want to make more mortgages, especially to qualified first-timers, but don't want to be penalized for doing so.

Major insurers such as MGIC are telling realty agents, banks and personal-financial advisers that they should get the word out to consumers who are sitting on the sidelines. Borrowers need to know that gifts can cover 100 percent of their down payment. They need to know that minimum credit score standards may no longer be as high as they feared. The average FICO score for all types of closed loans during October was 726, not the widely assumed 750-760, according to the software firm Ellie Mae. At FHA, the average for successful purchasers was just 683 during the same month. Vance Edwards, marketing program manager for MGIC, the large home loan insurer, said "there are many 'people' who can now afford to buy a home and qualify for a mortgage, but simply don't realize it."

The message here: Getting a mortgage can still be tough — you still have to be able to make the payments — but there is an easing process underway that you shouldn't ignore.

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Expert: Expect more TV programming blackouts

TV viewers in Boston should get used to programming blackouts caused by showdowns between networks and cable and satellite providers, a local expert says, as CBS and TV provider Dish Network announced yesterday they had reached an agreement that ends a dispute that affected thousands of Hub customers.

"We're likely to see more, rather than fewer, of these play out over time," said Daniel Lyons, a Boston College law and telecommunications professor.

The fees that providers pay networks to rebroadcast their copyrighted content, Lyons said, has become increasingly important for their bottom line due to thinning subscriber numbers.

"Cable companies are more price sensitive than they used to be," he said.

In the latest dispute, CBS had blocked Dish from carrying the local channels of CBS-owned TV stations for about 12 hours starting around 7 p.m. Friday. The 18 markets affected included New York, Chicago, Los Angeles, Dallas, Boston and Miami.

In a joint statement yesterday, the companies said they had ended their skirmish by reaching a deal that will allow Dish to carry CBS-owned TV stations nationwide as well as various cable channels.

"We are pleased to continue delivering CBS programming to our customers while expanding their digital access to Showtime content through Showtime Anytime," Warren Schlichting, a Dish senior vice president, said in a statement.

Ray Hopkins, president of television networks distribution for CBS, said the deal met the company's economic and strategic objectives.

"We look forward to having Dish as a valued partner for many years to come," he said.

The brief blackout was the latest skirmish between television companies that are seeking higher payments for their programming and the cable and satellite companies that distribute the programming and say the higher programming costs will lead to higher bills for their customers. Verizon and Cox Media Group, the owner of Fox 25, settled a similar dispute last week after Verizon Fios customers lost access to the Fox channel for several days.

The Associated Press contributed to this report.

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