LOS ANGELES -- As "Iron Man" smashed its way to an estimated $201 million in worldwide box office sales, Marvel Entertainment shares surged nearly 10 percent after the company raised its 2008 profit forecast.

The film was the first that Marvel financed itself and culminated a five-year plan to break from its strategy of licensing its top comic book heroes to other studios. "This is clearly a transformative time for Marvel," Marvel Studios chairman David Maisel told analysts.

Marvel will release "The Incredible Hulk" on June 13. The company also announced other self-produced films including "Iron Man 2" and "Thor" in 2010 and "The First Avenger: Captain America" in 2011.

Merck to cut 1,200 U.S. jobs

TRENTON, N.J. -- Merck & Co. said Monday it is eliminating 1,200 U.S. sales jobs, a move that comes a week after federal regulators' surprise rejection of an experimental cholesterol drug heavily touted by the pharmaceutical company.

The cuts come on top of the elimination of about 8,100 positions under the sweeping restructuring plan announced in December 2005. The new cuts are to be completed by the end of July, with employees of the Whitehouse Station, N.J.-based company being notified by the end of this month.

Merck's move follows news of planned layoffs at other drug makers, including GlaxoSmithKline.

Banks tighten lending rules

WASHINGTON -- The Federal Reserve reported Monday that more banks are tightening lending standards on home mortgages, other types of consumer loans and business loans in response to a spreading credit crisis.

The Fed said the percentage of banks reporting tighter lending standards was near historic highs for nearly all loan categories. The survey, conducted in April, found that nearly two-thirds of banks surveyed had tightened lending standards on traditional home mortgages. The tougher lending standards extend to other types of consumer debt such as credit cards and home equity lines of credit.