Business news in brief

By The Associated Press

Bank of Japan ends negative interest rate policy

TOKYO | Japan’s central bank has raised its benchmark interest rate for the first time in 17 years, ending a longstanding policy of negative rates meant to boost the economy.

The Bank of Japan’s overnight call rate was raised to a range of 0 to 0.1% from minus 0.1% at a policy meeting that confirmed expectations of a shift away from ultra-lax monetary policy. It’s the first rate hike since February 2007.

The bank had set a target of about 2% inflation as the key indicator for tightening credit. But Tuesday’s decision allowed room for adjustments and the BOJ said the economy still faces ‘’extremely high uncertainties.”

Unilever to cut 7,500 jobs, spin off ice cream business

LONDON | Unilever, the company that makes Ben & Jerry’s ice cream, Dove soaps and Vaseline, says it’s cutting 7,500 jobs and spinning off its ice cream business to reduce costs and boost profits.

London-based Unilever said Tuesday that its ice cream business, which also includes Magnum bars, has “distinct characteristics” from its other brands and would benefit from separate ownership to increase growth. It says the split is expected to be completed by the end of next year.

The British consumer goods company with 128,000 employees also says it’s launching a “productivity program” that’s expected to lead to a reduction of about 7,500 mostly office-based jobs worldwide and save $867 million over the next three years.

JetBlue will drop some cities, including K.C.

JetBlue Airways is cutting back. In June, it will end service in Kansas City and three destinations in South America, and it will reduce flights out of Los Angeles and Fort Lauderdale, Florida.

The moves announced Tuesday are designed to focus JetBlue’s flying on more profitable routes. The airline has been losing money since the start of 2020. It tried to grow through a partnership with American Airlines and a merger with Spirit Airlines, but federal judges rejected both plans, saying they violated antitrust laws.

—From AP reports