Business Highlights

Gov't extends deadline for clunkers paperwork

WASHINGTON (AP) — The Transportation Department on Monday extended the deadline for auto dealers to submit their Cash for Clunkers deals, giving them more time to make sure they get repaid under the popular $3 billion government rebate program.

Dealers now have until noon on Tuesday to submit the necessary paperwork, instead of 8 p.m. EDT Monday. All sales under the program were still scheduled to end Monday evening.

The change came after government computers set up to handle the filings buckled under a flood of dealers trying to send in their sales agreements at the last minute. Under the original plan, those deals that weren't submitted on time wouldn't be repaid, leaving many dealers fearful that they would be left on the hook for clunker sales they made.

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Stocks pull off earlier highs, financials retreat

NEW YORK (AP) — Investors slowed their hectic buying of stocks Monday, leaving the major indexes little changed after a four-day advance.

Stocks pulled back from their early highs as financial stocks, which had been surging, retreated. Meanwhile, Treasury prices rallied ahead of the latest round of debt auctions.

Analysts had expected a pause after stocks soared last week, lifting the Dow Jones industrials 370 points. The advance picked up momentum Friday after Federal Reserve Chairman Ben Bernanke declared that the economy is on the verge of recovery.

Market experts have been warning, though, that the market's upbeat mood could be tested with reports this week on consumer confidence and housing.

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Reader's Digest files for Chapter 11 bankruptcy protection

Reader's Digest Association Inc., publisher of the iconic general interest magazine that began gracing American homes in 1922 and now reaches a worldwide audience of 130 million, filed for Chapter 11 bankruptcy protection Monday as it faces falling print circulation in the Internet age and looming debt payments.

Known for its heartwarming stories about American life as other publications moved toward edgier fare, the company's flagship Reader's Digest magazine has seen its U.S. circulation drop from a peak of more than 17 million in the 1970s to just above 8 million last year.