Economic report finds December declines

Tristate's economy showed a slight dip in December, the Greater Cincinnati Report on Business said Monday.

The report, produced by the National Association of Purchasing Management Cincinnati chapter, showed no growth last month.

In December, new orders, backlog of orders and production all fell. Significantly, 23 percent of the survey's respondents said their company spent less on purchasing in December.

PSI seeks to increase Ind. rates 16%-19%

PSI Energy, Cinergy Corp.'s Indiana subsidiary, Monday filed a request to raise electric rates by $225 million, a move, if approved by state regulators, that would raise residential rates an average of $11 to $13 a month.

PSI, which was acquired by Cincinnati Gas & Electric Co. in 1994 to create Cinergy, said the increase would raise average electric bills 16 to 19 percent and was needed to cover higher environmental and power generation costs. PSI's last increase in base electric rates was in 1996.

If the rate request is approved by regulators, it wouldn't take effect until 2004, although some of the rate increase will be phased in between now and then to cover the costs of already approved environmental projects.

Hillenbrand delays annual report filing

Hillenbrand Industries Inc., in Batesville, Ind., said it is delaying the filing of its annual report with the Securities and Exchange Commission which was due Monday.

The hospital bed and funeral products company said it needs more time to calculate a charge related to an antitrust jury verdict against the company. In September, a federal jury in Texas awarded Hillenbrand rival Kinetic Concepts Inc. $173.6 million in damages, subject to trebling. Although Hillenbrand promised to appeal the verdict, the company said it is in settlement talks with Kinetic and isn't able to determine the extent of the litigation charge.

Hillenbrand said its fourth-quarter results excluding the charge won't differ from its previously estimated earnings of $53 million, or 85 cents a share.

Hillenbrand said it will file its 10-K annual report with the SEC by Jan. 14.

- Staff reports