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By Jason Stipp | 07-22-2010 05:32 PM

Five Changes to Check Into

Morningstar markets editor Jeremy Glaser digs into several recent turning points in corporate news.

Jason Stipp: I'm Jason Stipp for Morningstar and its change week on the Friday Five. Five notable changes out there in the market. One thing that hasn't change is my guest on the Friday Five, Morningstar markets editor, Jeremy Glaser. Jeremy, thanks for joining me.

Jeremy Glaser: You're welcome, Jason.

Stipp: So what do you have for the Friday Five this week?

Glaser: Well, this week, we're going to look at changes in the book market, in industrial earnings, at the Farnborough Airshow, at General Motors, and finally at Nokia.

Stipp: So, for the first one, Amazon noted some big changes in the book world. What do you see there?

Glaser: Amazon said that this week for the first time sales on e-books on Kindle and Kindle-ready devices, actually surpassed that of hardcover books, and this is a big milestone for them.

They've been pushing the Kindle for a long time. After lowering the price, they said the devices were basically flying out of their warehouses and people are buying a lot of books. I think it shows that consumers are ready to accept the e-book format at the right price, and it kind of shows that there is definitely a shift in the publishing industry, I think, similar to the one that music industry saw with iTunes.

There could be a lot of interesting disruptive trends there, but for Amazon, their earnings were not fantastic. They were making money but a lot less than some analysts expected, so certainly lowering the price helped to get product out of the door, but didn't do great things for their bottom line.

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