Media Digest (1.7.2011) Reuters, WSJ, NYT, FT, Bloomberg

The Administration wants to cut $78 billion from the defense budget. (Reuters)

Facebook has substantial profits. (Reuters)

Starbucks (NASDAQ: SBUX) says Kraft (NYSE: KFT) is blocking its grocery store plans. (Reuters)

Sony (NYSE: SNE) hopes to grab the No.2 spot in the table business behind market leader Apple (NASDAQ: AAPL). (Reuters)

A central banker in China said the yuan may rise 5% this year. (Reuters)

Samsung has targeted a 15% increase in TV sales based on demand for Smart TVs. (Reuters)

Verizon (NYSE: VZ) may favor a use-based mobile subscription plan. (Reuters)

Citigroup (NYSE: C) will try to find a buyer for CitiFinancial. (FT)

Facebook plans to have a 2012 IPO. (WSJ)

The cost of insuring some European debt rose to record levels. (WSJ)

Corporations sold over $35 billion in investment grade bonds in the last week. (WSJ)

Sara Lee (NYSE: SLE) may split into two units. (WSJ)

Apple launched a Mac app store. (WSJ)

The holiday shopping season had an anemic end according to results from large retailers like Target. (NYSE: TGT) (WSJ)

The Administration and Congress have begun to battle over the cap on national debt. (WSJ)

China has increased its protection of intellectual property of foreign companies. (WSJ)

Borders Group (NYSE: BGP) may restructure its debt. (WSJ)

A government report makes it less likely the BP plc (NYSE: BP) will face legal action due to gross negligence. (WSJ)

Samsung will push into the smartphone market. (WSJ)

TV companies will begin to offer web games for their screens. (WSJ)

JP Morgan (NYSE: JPM) and Morgan Stanley (NYSE: MS) will be able to underwrite IPOs in China. (WSJ)

The December jobs report may show no improvement for the prospects of the long-term unemployed. (WSJ)

Amazon.com (NASDAQ: AMZN) may increase its effort in the video on demand market. (WSJ)

The Big Three depend on SUVs and light trucks for profits despite moves toward fuel-efficient cars (NYT)

Toyota Motor (NYSE TM) is at work on to keep its No.1 spot in the global hybrid business. (NYT)

Verizon (NYSE: VZ) will use Google (NASDAQ: GOOG) Android based phones to increase its share of the smartphone market. (NYT)

AIG (NYSE: AIG) is closer to a financial restructuring (FT)

An effort by Goldman Sachs Group (NYSE: GS) to improve its image may be undermined by its Facebook deal. (Bloomberg)

Mercedes and Audi will use diesels to attack the sales of Lexus hybrids in the US. (Bloomberg)

Pricewaterhouse said emerging markets will pass the G7 in GDP in 2032. (Bloomberg)

Douglas A. McIntyre