DETROIT — General Motors Corp., the world's largest automaker, will recall 720,000 cars and trucks for potential problems with air bags.

        The recall affects 570,000 Chevrolet and GMC pickups and sport-utility vehicles from model year 2000 with air bags that might not deploy in some frontal crashes, a spokesman said.

        The company is investigating nine accidents in which air bags didn't deploy. The trucks include Chevrolet Tahoe/Suburban sport-utilities and GMC Yukon/Yukon XL models.

        The Detroit-based automaker also recalled 150,000 Buick, Cadillac, Chevrolet, GMC, Oldsmobile and Pontiac cars and trucks from model years 2002 and 2003 with driver's-side air bags that could damage a weld when deploying. The activity could release broken pieces into the passenger area.

Crude oil price highest in 15 months

        The price of crude oil is closing in on $30 a barrel and rose to its highest level in 15 months Monday.

        It has now surged 50 percent this year and is already a drag on the weakening economic recovery in the United States, some economists say.

        A further increase in the price, which rose 1.7 percent Monday, to $29.84 a barrel, could put pressure on the Bush administration to work for lower prices and turn the spotlight on the next meeting of OPEC oil ministers, who are scheduled to meet in Osaka, Japan, next month.

        “With oil prices over $29 a barrel, both OPEC and consuming nations are getting nervous,” said Michael Rothman, senior energy market specialist at Merrill Lynch.

Dial has plan after not finding buyer

        SCOTTSDALE, Ariz. — Dial Corp., after failing to find a buyer in the past year, said it will consider purchasing consumer-products businesses, buying back shares and cutting debt more.

        The company, maker of Dial soap and Purex detergent, also extended the contract of 65-year-old chief executive Herbert Baum from 2004 to January 2006, Dial said in a statement after its board's annual review of strategy.

        The board reiterated that Dial could compete better with industry giants such as Procter & Gamble Co. as part of a larger business.

Malden Mills files for reorganization

        BOSTON - Malden Mills Industries Inc. filed a reorganization plan on Monday that the company says will allow it to emerge from bankruptcy protection by year's end.

        Under the plan, filed in U.S. Bankruptcy Court in Worcester, Aaron Feuerstein maintains his roles as president and chief executive. Mr. Feuerstein earned praise when he continued to pay his workers after a 1995 fire destroyed one of the factories at the company's Lawrence plant.

        Malden Mills will pay back all company creditors in full over time. With creditors' approval, the company could return to normal operations without court oversight.

Treasury rates mixed at weekly auction

        WASHINGTON — Interest rates on the U.S. Treasury's three-month and six-month bills were mixed at the government's weekly auction.

        The Treasury sold $15 billion in three-month bills at a discount rate of 1.63 percent, the same as the previous week. The Treasury also sold $14 billion in six-month bills at the same 1.63 percent rate, up from 1.59 percent the previous week and the highest since 1.69 percent July 29.

        The government received bids for the three-month bills equal to 2.17 times the amount sold, up from 1.82 a week earlier, a sign of increased demand. The bid-cover ratio on the six-month bill was 2.43, up from the previous week's 1.71.

        Treasury bills, which represent short-term government borrowing, are sold at a discount from face value. The amount paid to investors at maturity reflects the difference between the price paid for a bill and the par value.

        The Treasury sells all its bills, notes and bonds on a single-price basis, in which securities are awarded at the highest rate needed to sell all.

        In Wall Street trading, the yield on the three-month bills was 1.65 percent, up from 1.62 percent Friday. The yield on the six-month bills was 1.67 percent, up from 1.64 percent Friday. Though the bills are auctioned at a discount because of their short maturities, they are quoted on a yield basis so they can be compared with longer-term notes and bonds issued by the government.

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