GREENSPAN CONFIRMED: The Senate voted late Thursday to approve President Bush's nomination of Alan Greenspan to serve a fifth four-year term as chairman of the Federal Reserve, extending his tenure until June 2008. The approval came on a voice vote. It came hours after the Senate Banking Committee endorsed the nomination, with only Sen. Jim Bunning, R-Ky., voting against. Greenspan, 78, has guided the Fed since 1987.
PROGRESS ENERGY MAY SELL UNIT: Progress Energy Inc. may announce a sale of its Progress Rail subsidiary in the third quarter, Bloomberg News reported. In an interview, Progress chairman and chief executive Bob McGehee said selling the business now would allow the company to capitalize on an improving U.S. economy, which has spurred gains in the value of transportation assets, Bloomberg reported. Progress agreed to sell its transportation businesses and other noncore assets by 2006 to obtain regulatory approval for Carolina Power & Light's purchase of Florida Progress Corp. in 2000. Progress Energy is the Raleigh, N.C., parent of Progress Energy Florida of St. Petersburg.
UNITED LOAN REJECTED: United Airlines lost its bid for $1.6-billion in federal loan guarantees Thursday, a blow to the nation's second-largest airline as it tries to emerge from bankruptcy. It was the second time that the federal Air Transportation Stabilization Board has turned down the cash-strapped company. The Treasury Department said the airline has an opportunity to resubmit an application. United Airlines chief executive Glenn Tilton said last week that the company can emerge from bankruptcy by year's end, even if its request for federal loan backing was rejected.
SOUTHWEST TO LINK TAMPA, BUFFALO: Southwest Airlines will start the first daily nonstop flights between Tampa International Airport and Buffalo, N.Y., on Sept. 15. One-way prices range from $60 for a 21-day advance purchase to $182 for an unrestricted walkup ticket. Tampa International has been lobbying airlines for nonstop service to Buffalo for some time, said executive director Louis Miller. "It's a strong market, big enough for jet service," he said.
BIGGER CRUISE SHIP COMING: Royal Caribbean International will bring a larger ship to Tampa to sail seven-night cruises to the Western Caribbean during the winter/spring season. The 70,000-ton Splendour of the Seas, which will sail from Tampa from November to April, carries 1,800 passengers at double occupancy. It replaces the 50,000-ton Nordic Empress, renamed the Empress of the Seas, which holds 1,600 passengers at two per cabin.
TECO UNIT CHIEF TO RETIRE: TECO Energy Inc. said Thursday that TECO Transport president Jeff Rankin will retire from his post effective July 1. Rankin, 57, will stay on at TECO until Sept. 1 as assistant to chief operating officer John Ramil. Rankin will be succeeded by Sal Litrico, 48, a vice president at TECO Transport subsidiary TECO Ocean Shipping. After becoming TECO Transport president in 1984, Rankin oversaw an expansion and diversification of the business, which had previously consisted mostly of shipping coal to Tampa Electric Co. power plants. A TECO spokesman said Rankin's retirement was unrelated to the Florida Public Service Commission's review of Tampa Electric's coal transport contract with TECO Transport.
JABIL SHARES FALL: Shares of Jabil Circuit Inc. of St. Petersburg, which builds electronics such as computer parts and broadcast gear for other companies, fell 12.7 percent Thursday after the company cut its 2004 profit forecast. Jabil shares declined $3.56 to close at $24.49 in New York Stock Exchange composite trading after earlier falling to $23.10. They had gained 21 percent in the past year. Sales to automotive, computing and storage, networking and telecommunications companies will decline this quarter, Jabil said late Wednesday. Net income will be 80 cents to 82 cents a share in 2004, down from its March forecast of 83 cents to 87 cents, the company said.
OCEAN OPTICS SOLD: Ocean Optics Inc. of Dunedin has been sold to Halma group of London in a deal worth up to $50-million. The agreement gives privately held Ocean Optics' shareholders $25-million cash, with another $25-million over the next two years based on performance. Ocean Optics, founded in 1989, makes miniature fiber optic spectrometers and accessories and had sales of more than $23-million last year. Michael Morris, one of the company's founders, will remain president. He said the sale should not affect Ocean Optics' 130 employees, its operations in Dunedin or its factories in Largo, Orlando and California. Halma is a public holding company of more than 50 worldwide subsidiaries that develop and manufacture safety and environmental technology products. Halma's sales last year were $540-million.
CALIF. SUES ENRON: California Attorney General Bill Lockyer filed suit Thursday against Enron Corp. and several subsidiaries, accusing them of manipulating market prices during the state's 2000-01 energy crisis and costing Californians billions of dollars. The suit, filed in Alameda County Superior Court, seeks restitution and unspecified damages from the Houston energy giant whose trading practices are under investigation by the Justice Department. The suit contends that between 1998 and 2001, Enron violated California's commodities and unfair competition laws by engaging in "a number of unlawful, unfair, fraudulent and manipulative trading schemes" to artificially boost energy prices. It accuses Enron, among other things, of deliberately causing congestion along power transmission lines, then reaping extra revenue for taking action to relieve the bogus congestion. A message seeking comment left with an Enron spokeswoman was not immediately returned.
NATURAL GAS DEAL: Atmos Energy Corp. has agreed to pay $1.93-billion in cash for TXU Corp.'s natural gas subsidiary, gaining control of local and long-distance pipelines and 1.4-million customers. For TXU Corp., the deal announced Thursday represents another step toward reshaping the company into one that focuses on producing and selling electricity. Atmos executives said acquiring TXU Gas Co. would let them create the country's largest gas-only utility, with 3.1-million customers in 12 states.
BANKING MERGER OKAYED: Regions Financial Corp. of Birmingham, Ala., and Union Planters Corp. of Memphis have received Federal Reserve approval for their $6-billion merger, the companies said Thursday. The banking companies will merge under the Regions Financial name on July 1 using the ticker symbol "RF" on the New York Stock Exchange.
HARTZ MOUNTAIN SOLD: Sumitomo Corp., Japan's fourth-largest trading company, agreed to buy pet food manufacturer Hartz Mountain for $365-million to enter the U.S. pet supply industry. Sumitomo and its U.S. unit, Sumitomo Corp. of America, agreed to buy all outstanding shares of JWC Hartz Holdings from J.W. Child Associates LP, a Boston buyout firm. The Japanese parent will be the majority owner, said Jewelle Yamada, a Sumitomo Corp. of America spokeswoman. The transaction is expected to close next week, Yamada said. J.W. Childs has owned the Secaucus, N.J., company since November 2000. Sumitomo said in a statement that it plans to expand Hartz products and tap growing demand for pet food and supplies to increase revenue to $500-million in five years. At the time of its sale to J.W. Childs, Hartz Mountain had estimated annual sales of $300-million.
EARNINGS
Carnival Corp. & PLC: The Miami company, the world's largest cruise company, credited sharply higher profits to the recovery of cruise prices and bookings from a slowdown caused by terrorism fears and the war in Iraq.
