Saturday, May 29, 1999
TRISTATE BUSINESS SUMMARY
General Motors, Delphi sever last remaining ties
General Motors Corp., the world's largest automaker, Friday completed its separation from auto-parts maker Delphi Automotive Systems Corp. in a $9.3 billion distribution that lets GM focus on cars while Delphi builds its own business.
GM, which handed its investors an 80.1 percent stake in Delphi and gave another 2.2 percent to a pension trust, now owns no Delphi shares. GM rose 50 cents to $69 after being adjusted for the distribution, which was valued at $14.33 a GM share. Delphi declined 871/2 cents to $19.621/2.
"Forbes' ranks city as among best for business
The secret is out. Now the whole country, at least those who read Forbes magazine, know that Cincinnati is a strong business community.
The business and financial magazine ranked Cincinnati 34th in its listing of 162 “Best Places for Business and Careers” in the May 31 issue. Cincinnati was the highest-rated city in Ohio and second-highest in the Midwest, behind Chicago.
The magazine cites Cincinnati's strengths as home to manufacturing and service-oriented businesses. Researchers found steady, across-the-board growth since 1993.
“Cincinnati is quite unusual in that the city ranked close to the top 50 in categories we studied,” Tim Ferguson, a Forbes reporter, said. “Most cities ranked high in some areas but then lower in others. This suggests broad economic growth in Cincinnati.”
Among regional rankings: Columbus (39), Indianapolis (41), Louisville (68), Lexington, Ky. (71), Cleveland (107), Dayton, Ohio (120). Top five nationally: Seattle (1), Austin, Texas (2), Dallas (3), Ventura, Calif. (4) and Oakland, Calif. (5).
Federated settles suit about illegal collections
Cincinnati-based Federated Department Stores Inc. has settled U.S. Federal Trade Commission charges that it illegally collected payments from bankrupt credit-card customers.
The FTC claims are similar to those resolved last year in an $8.2 million settlement between the company and 20 states.
The latest accord adds the weight of the U.S. consumer protection agency to that agreement, giving the FTC the ability to sue Federated if it reneges on its obligations to consumers.
The complaints focus on Federated's use of debt-repayment contracts, known as reaffirmation agreements, in persuading customers to pay bills that could have been forgiven by a bankruptcy court. Although those agreements are legal, the FTC said the chain failed to file them in court as required by federal law.
“The FTC was satisfied with the appropriate relief that was provided to the debtors so there is no additional requirement of Federated, other than the normal course of business,” Federated spokeswoman Mary Ann Shawmeker said.
Judge drops charges against former execs
A federal judge has dropped almost all of the tax-fraud charges against two former Libbey-Owens-Ford Co. executives and another person accused of embezzling millions of dollars from the glass maker.
The former executives were accused of setting up a network of phony businesses to defraud LOF.
Judge James Carr dismissed all charges against former company president Ronald Skeddle. Almost all charges against former vice president Darryl Costin and accountant David Hobe were also dropped just before closing arguments Thursday.
Sports bar bets on 'bowlingo'
Shoppers will get expanded Kroger in '00
Block redeveloped in OTR
Spending rises while savings fall
Market warms up with summer heat
TRISTATE BUSINESS SUMMARY
INDUSTRY NOTES: RETAIL
PEOPLE ON THE MOVE
TRISTATE MARKET SPOTLIGHT
