Iowa’s unemployment rate rose to 4.6 percent in December from 4.3 percent in November and 3.8 percent in December 2007. It remained much lower than the national unemployment rate of 7.2 percent, which was up 2.3 percentage points from a year earlier. All 50 states recorded monthly and yearly unemployment rate increases, according to a U.S. Department of Labor report. Iowa’s seasonally adjusted employment figure fell by 7,800 to 1,513,300 in December. “An acceleration in layoffs toward the end of the year was responsible for the large increase in the December unemployment rate,” said Elisabeth Buck, director of Iowa Workforce Development, in a release. “The most difficult six months of the current downturn will be the just-completed fourth quarter and the first quarter of 2009.” Professional and business services shed 4,500 jobs in December, construction decreased by 3,500 and manufacturing dropped by 2,300.

An analysis of the largest U.S. banks’ quarterly results shows that lending fell in recent months, Reuters reported, citing The Wall Street Journal. The outstanding loan balances at 10 of the 13 big recipients of the U.S. Treasury Department’s Troubled Asset Relief Program (TARP) declined by about $46 billion, or 1.4 percent, between the third and fourth quarters of 2008. U.S. Bancorp, SunTrust Banks Inc. and BB&T Corp. were the only three out of the 13 that reported growth in their loan portfolios. The figures exclude some TARP recipients that have not yet reported fourth-quarter results, including Wells Fargo & Co.

Given the recent layoff announcements and economic conditions, Lava Row and 48Web have created a six-part series on starting a small business. Hosted by Impromptu Studio, the events will begin this Friday and continue through April 3. This week, Liza Kindred and Brian Hemesath will present “Making the Jump: Mistakes and Hurdles,” from 11:30 a.m. to 1 p.m. Lunch will be provided. Learn more at www.impromptustudio.com.

Wells Fargo & Co. has extended its mortgage modification program to include 478,000 Wachovia Corp. customers with loans totaling about $120 billion, the Associated Press reported. Wells Fargo acquired Wachovia on Dec. 31. Customers within this portfolio that are being referred to foreclosure or are in foreclosure will receive an extension until Feb. 28 so they can apply for the modification program; Wells Fargo did not know how many people would participate. The goal with the program is to modify loans to reduce mortgage payments to about 38 percent of a customer’s income, through such methods as extending loan terms to 40 years, reducing interest rates and charging no interest on a portion of the principal for a set period of time.

Dubuque-based Heartland Financial USA Inc. reported a net loss of $2.7 million, or 18 cents per share, in the fourth quarter of 2008 compared with a net income of $6.8 million, or 41 cents per share, a year earlier. Though its two largest banks had a good year, the company’s earnings were significantly affected by the provision for loan losses, which rose to $15.1 million in the fourth quarter from $3.3 million a year ago. Net income for the year was $11.3 million, or 68 cents per share, compared with $25.6 million, or $1.54 per share, in 2007.

Iowa Healthcare Collaborative has released its 2008 report detailing processes and outcomes of care delivered at all 117 Iowa hospitals. The report allows people to compare clinical performance locally, statewide and nationally. It organizes data by clinical conditions and for the first time includes patients’ perspectives on their hospital care experience. Download the report at www.ihconline.org.

Principal Financial Group Inc. has released a new guide featuring best practices that have helped The Principal 10 Best Companies for Employee Financial Security withstand the financial ups and downs and still remain committed to employee benefits. The guide, The Formula for Success, is available free at www.principal.com/theprincipal10best/bestpractices.htm..