Business Briefs

Economy continues on road to recovery \nWASHINGTON - America's economy cooled from its red-hot pace in the final three months of 2003 but still advanced at a 4 percent annual rate -- strong evidence the recovery was on solid ground heading into the new year.\nThe reading on the gross domestic product for the October to December quarter, reported Friday by the Commerce Department, came after the economy grew at an 8.2 percent rate in the third quarter. That had been the strongest performance in nearly two decades.\nThe economy fell into recession in 2001, struggled mightily to get back on its feet and finally, in the last six months of 2003, staged a rebound. The 6.1 percent average growth rate seen in the second half of last year represented the fastest back-to-back quarterly increases since the first two quarters of 1984. \nGateway to merge with eMachines \nSAN DIEGO -- Gateway Inc., hoping to reverse its fortunes in the personal computer business, said Friday it would buy eMachines Inc. in a deal valued at $235 million.\nThe agreement came one day after Gateway posted its 12th loss in 13 quarters, a result of sharply declining sales and charges related to its makeover from a personal computer maker to consumer electronics company. Last year, Gateway's PC shipments fell 24 percent to just under 2.1 million units.\nU.S. Steel reports loss of 37 cents a share\nPITTSBURGH -- U.S. Steel Corp. on Friday reported a net loss for the fourth quarter following a year in which the company pared down its work force and shed a money-losing online venture. \nThe world's largest integrated steel company reported a loss of $27 million, or 26 cents per share, in the last three months of 2003 compared with a profit of $11 million, or 10 cents per share, for the same period in 2002. The loss includes dividend payments on preferred stock of $5 million.