Continued from page 1

For Delta, as well as American, United and Continental, the disruption to Japan service comes as high fuel costs have forced them to raise ticket prices and rein in spending. The airlines have implemented eight across-the-board fare increases so far this year; Delta led four of those. Fuel costs have tracked a 38 percent increase in the price of oil since Labor Day.


Michigan firm barred from selling heart machines

The federal government is barring a Michigan company from selling life-sustaining devices used in heart surgery after years of quality control problems at company facilities.

The Food and Drug Administration said Tuesday that it signed a permanent injunction with Terumo Cardiovascular Systems and two executives that bars them from making or distributing heart-lung bypass systems and similar machines. The devices are used to circulate blood during chest surgery.

Terumo agreed to pay $35 million in back profits from the sale of its devices and additional fines if it doesn’t comply with the government’s terms.


LightSquared strikes deal with phone company

NEW YORK | LightSquared, a company building a new wireless broadband network to compete with those of AT&T, Verizon Wireless and Clearwire, announced Tuesday its first phone-company customer, Leap Wireless International Inc.

Leap Wireless, the parent of the Cricket phone service, plans to use LightSquared’s fourth-generation, or 4G, network to supplement its own.

LightSquared is funded by private-equity firm Harbinger Capital Partners, and it plans to sell wholesale network access to phone companies and any other companies that might want to resell broadband Internet access. It has announced one other customer: Open Range, a startup Internet service provider focusing on rural areas.

San Diego-based Leap is the country’s seventh-largest phone company, with 5.5 million customers. Analysts have speculated that T-Mobile USA, the fourth-largest phone company, would be interested in dealing with LightSquared, but that possibility has been taken off the table with Sunday’s announcement that AT&T has agreed to buy T-Mobile.

From wire dispatches and staff reports