HAMPSTEAD, Md. — Men's clothing company Jos. A. Bank rejected Men's Wearhouse $1.78 billion sweetened acquisition offer late Thursday. But it said it is willing to meet with its rival chain over a possible higher bid.

Men's Wearhouse Inc. said Monday it would offer $63.50 per share for Jos. A. Bank, up from its prior bid of $57.50 per share. The Houston company also said it could raise the bid to $65 per share, if some conditions are met.

On Thursday, Jos. A. Bank said it was willing to meet with Men's Wearhouse to discuss the higher bid.

WASHINGTON — The number of people applying for U.S. unemployment benefits rose last week to a seasonally adjusted 348,000, though the broader trend in applications remained stable. But the four-week average was unchanged at 338,250, the Labor Department said Thursday.Applications are a rough proxy for layoffs. The average is not far above pre-recession levels, a sign companies are laying off few workers.Economists said that winter storms two weeks ago may have caused some people to delay submitting their applications until last week, temporarily boosting the figures.

NEW YORK — Gap Inc. reported a 12.5 percent drop in fourth-quarter profit on a 3 percent decline in revenue as the clothing retailer was forced to discount heavily over the holiday shopping season to entice customers.The clothing chain, which operates Gap, Old Navy, Banana Republic and Athleta, also issued a profit outlook for the full year that's below analysts' expectations.

MINNEAPOLIS — Best Buy returned to a profit in the fourth quarter and topped Wall Street expectations as it cut costs to offset declining sales.The specialty electronics retailer says it gained market share during the quarter.Best Buy has been dealing with increased competition from online stores, notably Amazon.com, and discounters like Wal-Mart. Under CEO Hubert Joly, the company has tried to turn around results, revamping merchandise, training employees and cutting costs.