Business today

By Compiled from Times wires

© St. Petersburg Times, published August 12, 2000

SUNTRUST PROMOTES FLORIDA EXECUTIVE: Theodore J. "Ted" Hoepner, who runs SunTrust Bank's Florida operation, is being elevated to one of four new vice chairmen of the Atlanta bank under a long-anticipated restructuring. Hoepner, 59, will be responsible for the bank's technology and operations functions as well as human resources, asset quality and legal and regulatory affairs. Replacing Hoepner as chairman and chief executive of SunTrust Banks Florida is George W. Koehn, 57. Koehn has been president of SunTrust's Florida operation and chief executive of the Orlando unit, the bank's biggest market in the state. SunTrust is the third-largest bank operating in Florida

VALUE AMERICA DECLARES BANKRUPTCY: Value America Inc. filed for Chapter 11 bankruptcy as it closed its online store and fired 185 people. The Internet computer retailer, whose shares have fallen 93 percent in the past year, said it will reorganize as a business helping manufacturers, distributors and vendors fill online orders and seek payment over the Internet. Value America went public in April 1999 by selling shares for $23 apiece. The stock traded as high as $74.25 on the company's first day of trading but closed Friday unchanged at 72 cents.

ZALE TO BUY PIERCING PAGODA: Zale Corp., the largest U.S. specialty jewelry retailer, said Friday it has agreed to buy kiosk jeweler Piercing Pagoda Inc. for about $198-million. Zale officials said Piercing Pagoda would help them capture customers shopping for low-priced jewelry. Zale, with $1.4-billion in annual sales, operates about 1,360 stores under several brands.

ALCOHOL BLAMED FOR HERBALIFE CEO'S DEATH: Herbalife International Inc.'s chief executive Mark Hughes died after a four-day drinking binge, according to the full report by the Los Angeles coroner. Hughes, 44, who promoted natural healing methods using Herbalife's health care and weight-loss products, was being treated by a psychiatrist for his drinking problem and smoked six to eight cigars a day, according to the coroner's 24-page report. On June 16, the coroner found that Hughes died May 21 of an overdose of alcohol and a toxic level of doxepin, an anti-depressant. His blood alcohol level was 0.21 percent.

RIGHTS TO NEW TAMPA PROJECT SOLD: Mobley Homes of Florida, which specializes in buying troubled residential communities, has bought the rights to the planned West Meadows community in New Tampa from struggling Atlantic Gulf Communities Corp. for $6-million. West Meadows, planned to have as many as 1,400 homes, is off Bruce B. Downs Boulevard in northeast Tampa, near a number of other communities now owned by Mobley, such as Calusa Trace and Biarritz Village in Cheval.

QUORUM HIRES ADVISER FOR POSSIBLE SALE: Quorum Health Group Inc., the nation's biggest manager of non-profit hospitals, said it has hired Goldman, Sachs & Co. to explore a possible sale, merger or recapitalization. Quorum has struggled with low reimbursements from government and private insurance programs at hospitals it owns and has tried to cut costs and improve bill collection. Quorum shares rose 63 cents to $13.50.

UNITED UNION CANCELS TALKS: UAL Corp.'s pilots union called off talks with United's management over the weekend, saying the world's largest airline wasn't willing to negotiate on scheduling. United, which has been plagued by flight delays and cancellations during the dispute, said in a statement it "stands ready to negotiate around the clock" and it was "truly unfortunate" that the pilots union didn't want to continue face-to-face negotiations. Neither party would say when negotiations would resume.

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