News money 2008-06-18 Andanh.com

Tomatoes return to menus Tue, 17 Jun 2008 04:21:00 EST
Grocery stores and restaurant chains including Louisville-based Yum! Brands are beginning to restock tomatoes, drawing on supplies from areas that have been cleared of salmonella risk by the U.S. Food and Drug Administration.

Honda aims to rule as the eco-friendliest Mon, 16 Jun 2008 22:35:00 EST
Honda Motor Co. Chief Executive Takeo Fukui hates to lose. But that's what the former racing-team manager has had to accept as Toyota's popular Prius hybrid has outsold Honda's hybrid vehicles nearly 4-to-1 this decade, establishing Toyota as the industry leader in eco-friendly vehicles.

Sealed Air Corp. to open factory Tue, 17 Jun 2008 04:22:00 EST
Sealed Air Corp., a New Jersey company that makes packaging equipment and materials, will open a manufacturing plant in Louisville that will employ about 100 people.

Kentucky horsemen's injunction request denied Tue, 17 Jun 2008 02:36:00 EST
A request for an injunction that would require Churchill Downs to consult with Kentucky horsemen before making future significant purse changes -- such as the recent 20 percent reduction at its Louisville track -- was denied yesterday by a federal judge.

Q: What is forbearance from a lender? Mon, 16 Jun 2008 22:37:00 EST
A: That's when the lender puts legal action such as foreclosure on hold even though the homeowner is delinquent on his or her loan.

Business People Mon, 16 Jun 2008 21:33:00 EST
Professional services, awards and miscellaneous announcements are in today's Business People. Submit new items at courier-journal.com/businesspeople Sign up for the daily Business People newsletter at courier-journal.com/newsletters.

Michigan Truck closing for 9 weeks, Ford says Mon, 16 Jun 2008 22:38:00 EST
Sagging demand for large sport utility vehicles is forcing Ford Motor Co. to close the Michigan Truck Plant for nine weeks effective next Monday, idling 1,400 hourly workers.

UNDERSTAND MARKET WHEN SELLING HOME Wed, 18 Jun 2008 02:05 EDT
Trying to sell a home in a slow housing market? This week, the Herald-Leader will pass along tips from Consumer Reports on how to sell your home in a difficult market:

Understand the real marketplace. To negotiate effectively, you need to know up-to-the-minute sale prices -- not just what your neighbor's house sold for last year -- and the deal-making behind them.

For example, two homes might have sold for $400,000 each, but if one owner gave a 3 percent credit for deck repair and a new furnace, that's a $12,000 reduction.

Your agent should know about the details of sales in your area and be nimble enough to revise the marketing plan for your home to reflect changing conditions.

UNDERSTAND MARKET WHEN SELLING HOME

W. Kentucky crops at risk from floods Wed, 18 Jun 2008 02:05 EDT
The National Weather Service says flooding along the Mississippi River could harm crops in Western Kentucky.

Officials across the Midwest filled sandbags Tuesday in anticipation of floodwaters. The federal government predicts that 27 levees could be topped along the river if the weather forecast is on the mark.

No major flooding is predicted in Kentucky, but meteorologist Robin Smith of the National Weather Service in Paducah said bottomlands in Ballard, Carlisle, Hickman and Fulton counties would be the most affected.

Smith said that if it floods, any crops planted in those areas are "going to be gone."

Carlisle County agriculture extension agent Carla Harper said three-quarters of her county's river bottoms will flood if the river crests at 44 feet at Cairo, Ill., on Sunday as predicted.

BUSINESS NOTES Wed, 18 Jun 2008 02:05 EDT
KENTUCKY

YUM, WENDY'S SERVING TOMATOES

Tomatoes are coming back on the menus at Yum Brands' restaurants. The Louisville-based fast-food company says it's starting to resupply its restaurants with tomatoes from areas that have been cleared of salmonella risk by federal health officials. Yum is the parent company of Taco Bell , KFC, Pizza Hut, A&W and Long John Silver's restaurants. Wendy's International Inc. also has began restocking restaurants with tomatoes from northern Florida. Company spokesman Denny Lynch said some Wendy's locations might still not have tomatoes but should be supplied soon.

NATIONAL

COST OF WHOLESALE GOODS UP 1.4%

Slowing oil manipulation Wed, 18 Jun 2008 02:05 EDT
The chief federal regulator of U.S. oil contract trades on Tuesday announced steps to restrain price manipulation and excessive speculation that many experts think are driving up gasoline prices.

Critics complained that the action, while welcome, should have come months ago.

"Frankly, they've waited far too long," said Mark Cooper, director of research for the Consumer Federation of America, a consumer advocacy group.

Testifying before the Senate Agriculture Committee on Tuesday, Cooper said that the rise in oil prices -- about 39 percent this year alone -- means that speculators are costing American consumers an estimated $1,500 per family in additional spending annually on gasoline.

The Commodities Futures Trading Commission -- an obscure regulatory agency now in the global spotlight -- announced the change in oil-trading regulations on Tuesday. The steps, while limited, would require buyers of U.S. oil contracts on the London-based Intercontinental Exchange to abide by U.S. regulations for the first time. The ICE handles about 30 percent of all such contracts.

Yum resupplying tomatoes at restaurants Tue, 17 Jun 2008 09:19 EDT
Tomatoes are coming back on the menus at Yum Brands' restaurants.

The Louisville-based fast-food company says it's starting to resupply its restaurants with tomatoes from areas that have been cleared of salmonella risk by federal health officials.

Yum is the parent company of Taco Bell, KFC, Pizza Hut, A&W and Long John Silver's restaurants.

The company had stopped serving tomatoes earlier this month amid a salmonella outbreak linked to tainted tomatoes, though there was no connection to Yum's restaurants and the illnesses.

Federal officials the outbreak sickened 277 people across the country.

Predicted flooding could harm crops in W.Ky. Tue, 17 Jun 2008 11:10 EDT
The National Weather Service says flooding along the Mississippi River could harm crops in western Kentucky.

Officials across the Midwest filled sandbags Tuesday in anticipation of floodwaters. The federal government predicts that 27 levees could potentially overflow along the river if the weather forecast is on the mark.

No major flooding is predicted in Kentucky, but meteorologist Robin Smith of the National Weather Service in Paducah says bottomlands in Ballard, Carlisle, Hickman and Fulton counties would be most affected.

Smith says if it floods, any crops planted in those areas are "going to be gone."

Carlisle County agriculture extension agent Carla Harper says three-quarters of her county's river bottoms will flood if the river crests at 44 feet at Cairo, Ill., on Sunday as predicted.

Stocks fall as data show drag of higher oil Tue, 17 Jun 2008 18:00 EDT
Stocks tumbled Tuesday as a troubling reading on wholesale inflation underscored the drag of high energy prices on the economy. Investors, also growing anxious again about banks' credit woes, sent the Dow Jones industrial average down more than 100 points.

Tuesday's economic data illustrated how the steep run-up in energy costs this year is affecting businesses. The Labor Department said its index of producer prices jumped 1.4 percent in May - the largest increase since November.

The core producer price index, which strips out often volatile food and energy prices, rose by a mild 0.2 percent. But Wall Street remains concerned that companies are having to swallow ballooning costs - and may soon be forced to pass them on to already strapped customers. Although crude dipped to about $134 a barrel Tuesday on the New York Mercantile Exchange, it remains near record levels.

Subodh Kumar, global investment strategist at Subodh Kumar & Assoc. in Toronto, said inflation concerns are weighing on stocks as investors try to readjust their models to factor in the effects of energy prices staying high. The price of oil has doubled in the past year, prompting some investors to call it a bubble, but others say a pullback in prices would only lessen - not eliminate - the pricing pressure.

"The market and bonds are recalibrating themselves lower because of inflation," Kumar said.

Economy, research officials woo life-science businesses Tue, 17 Jun 2008 07:41 EDT
Representatives of the Greater Owensboro Economic Development Corp., Kentucky BioProcessing and the Owensboro Cancer Research Center are in San Diego this week trying to lure high-tech life-science companies to town.

Nick Brake, EDC president, said "a significant infrastructure is in place for Owensboro to be an epicenter for plant biotechnology."

And more is on the way.

Brake said he expects to announce, by the end of summer, plans for the Centre for Business and Research, a 40,000-square-foot research and business park designed to meet the "growing demand for lab, research and high-technology company space."

The center "would also allow the growth of university-level applied research and further cultivate high-technology companies through the Emerging Ventures Center for Innovation," he said.

Toyota can't meet hybrid demand Tue, 17 Jun 2008 02:07 EDT
Toyota is struggling to keep up with booming demand for its hybrid vehicles because it can't make enough of the batteries that are key parts in the hit "green" cars, a senior executive said Monday.

The crunch is likely to remain for the rest of the year, as battery production can't be boosted until next year, said Toyota Motor Corp. executive vice president Takeshi Uchiyamada, who oversees production at Japan's top automaker.

"Hybrids are selling so well we are doing all we can to increase production," he said. "We need new lines."

Battery production is critical in determining how many hybrid vehicles Toyota can produce, Uchiyamada said at the company's Tokyo office.

Hybrids, including Toyota's top-selling Prius, offer better mileage than comparable gas-only cars by switching to an electric motor whenever possible.

Herald-Leader announces layoffs Tue, 17 Jun 2008 02:06 EDT
Struck by "a double whammy" of a weakening economy and advertising losses to Internet competitors, Publisher Timothy M. Kelly announced a 4 percent reduction in the Lexington Herald-Leader's work force Monday.

The downsizing will be equal to 17 full-time positions, Kelly said in a statement. It will affect full-time, part-time and temporary employees, and will include the elimination of some open positions.

What Kelly called "a painful but necessary step" followed a voluntary buyout program that reduced the company's work force by 15 to about 370 full-time employees and managers.

"If we had not done that program, it's safe to say that today's announcement would be more severe," Kelly said in an interview.

The Herald-Leader layoffs are part of a 10 percent work force reduction announced Monday by The McClatchy Co., which owns the Herald-Leader and 29 other daily newspapers. The reported goal is to reduce McClatchy's costs by $70 million a year by cutting 1,400 full-time equivalent employees.

Personnel file Mon, 16 Jun 2008 07:53 EDT
Finance

Central Bank: Jeff Fultz has been named market president for Central Bank in Madison County.

Century Bank: Darin L. Young has been named vice president, loan officer for the bank's Shelbyville loan production office.

Chase: Roger Davidson has been promoted to senior vice president and manager of business banking for Kentucky and will be based in Lexington.

Law

Selling your house? First pick a broker Tue, 17 Jun 2008 07:27 EDT
Trying to sell a home in a slow housing market? This week, the Herald-Leader will pass along tips from Consumer Reports on how to sell your home in a difficult market:

Pick the right broker. Look for local agents who are listing, marketing and selling in your community even if the market is slow. Ask several of them to make a "listing presentation" to discuss your home's value, justify their numbers and explain how they would market it.

Once you decide on a broker, you have three types of listing options:

.. In an open listing, you reserve the right to sell the home yourself and not pay a commission, but you also allow one or more brokers to offer the property.

.. With an exclusive-agency listing, you have one broker but you reserve the right to sell the property yourself.

Burley is just a memory now Mon, 16 Jun 2008 07:50 EDT
Nine years ago, tobacco farmers Carla and David Garey began helping their son John raise vegetables to sell at Lexington Farmers Market to pay his way through the University of Kentucky.

In 2004, after 18 years of raising burley, the Gareys quit tobacco and turned their full attention to crops they could sell at Lexington Farmers Market. "It was too much to handle tobacco and other crops," John said. "I reckon we didn't see tobacco was going to last."

Their 60-acre farm has gone from one that raised 27 acres of tobacco and 450 acres worth of tobacco transplants, to one that raises 190 different varieties of vegetables, strawberries, blackberries, blueberries and flowers. A flock of 450 free-range chickens and heritage-breed turkeys produce eggs and are sold for meat. The Gareys sell retail at Lexington's Farmers Market on Saturday and Sunday and at three markets in the Louisville area.

The Gareys' farm is among several that will welcome visitors on Saturday on the Lexington Farmers Market first tour of farms. Visitors will see how food sold at the market is raised.

A range of farms and crops will be represented on the tour, from raising honeybees, flowers and apple orchards, to making goat cheese and wine. There will be fields of vegetables, strawberries, cattle, chickens and turkeys.

Four myths of entrepreneurship Mon, 16 Jun 2008 02:02 EDT
If you've been thinking of starting your own business you might have some doubts that you can make it work. This may be for good reason, too.

According to a study by the U.S. Small Business Association, only two-thirds of all small business startups survive the first two years and less than half make it to four years.

But before you let doubts quash your dream, take some time to examine them. From Scott Shane on Kiplinger.com, here are four common myths of entrepreneurship:

It takes a lot of money to finance a new business.

Not true. The typical start-up only requires about $25,000 to get going.

Conventions Mon, 16 Jun 2008 07:55 EDT
Events scheduled for Lexington, including headquarters and expected attendance:

Kentucky Department of Public Advocacy, 2008 Annual Kentucky Public Defender Education Conference: Through Thursday, Radisson Plaza, 500.

The Boone Society: Tuesday-Sunday, Crowne Plaza Campbell House, 85.

National Association of Housing and Redevelopment, HCV Occupancy and HCV Eligibility Income and Rent Calculation Seminar: Tuesday-June 24, 30.

Pierce-Arrow Society: June 22-29, Griffin Gate Marriott Resort, 450.

Kentucky datebook Mon, 16 Jun 2008 07:57 EDT
Classes

The Central Kentucky Computer Society will offer the following classes beginning June 23: Beyond Basics, Computer Basics, Access, Beginning Digital Imaging, Excel and Word. Classes consist of six two-hour sessions with a limit of eight students a class. Registration: (859) 373-1000 or visit www.ckcs.org .

IEC of the Bluegrass will present the following six-hour Kentucky- and Ohio-approved electrical continuing education classes at the IEC Training Center, 950 Contract Street, in Lexington: Business and Employment Law, Business Practices and Compliance with OSHA, a Practical Approach, designed for contractors, will be 8 a.m.- 3p.m. June 20, $100 members, $125 non-members; 2008 NEC Code, for master electricians and electricians, will be 8 a.m.-3 p.m. June 21, $50 members; $65 non-members.

Meetings

The Mortgage Bankers Association of the Bluegrass will have its annual golf outing today at Andover Country Club. Information: www.mbabluegrass.org and click on members' area.

Kentucky Money Market Tue, 17 Jun 2008 07:27 EDT

Argentine leader sends export tax law to Congress Wed, 18 Jun 2008 01:01 EDT
President Cristina Fernandez announced Tuesday that a contentious grain export tax hike will be sent to Congress for debate, agreeing to a key demand of farmers who have waged three months of protests against the increase.

Farm leaders welcomed Fernandez's announcement but said road blockades and a grain-export suspension would remain in place through Wednesday night. The blockades have emptied supermarket shelves of food and hurt exports in one of world's leading sellers of soy beans and corn.

Fernandez, who increased export taxes in early March by presidential decree, said a debate by Congress would give the tax law "more democratic support."

"If a decision by this president ... isn't enough, I'm going to send the proposal to Congress so they can also decide on the matter," Fernandez said in a televised address.

Members of Fernandez's Peronist party control both houses of Congress. The bill must pass through both to become law. The tax increases will remain intact until a new law is passed.

Oil prices ease further below $134 a barrel Wed, 18 Jun 2008 01:10 EDT
Oil prices extended their decline Wednesday despite expectations that a U.S. government report to be released later in the day will show a drop in crude oil inventories.

Investors were weighing whether expected production increases from Saudi Arabia, the world's largest oil producer, would do enough to quench rising global demand. The Saudis are planning a meeting of oil producing and consuming nations in Jeddah on Sunday to seek ways to tackle soaring oil prices.

Over the weekend, Saudi Arabia reportedly told U.N. Secretary-General Ban Ki-moon that it would increase oil output by 200,000 barrels a day, or by 2 percent, from June to July. In May, the country raised production by 300,000 barrels a day.

"If there is any announcement along those lines, you'd think it would have some positive effect on oil prices," said David Moore, a commodity strategist at the Commonwealth Bank of Australia in Sydney, meaning that prices would likely fall.

"But the markets are also going to be wondering whether they see this as a permanent solution to the issue of adequacy of oil supplies to meet ongoing growth in oil demand," Moore said.

Chrysler takes aim at GM with hybrid SUV prices Wed, 18 Jun 2008 01:05 EDT
The market for hybrid full-size sport utility vehicles may be small, but Chrysler LLC is determined to get a piece of it, saying Tuesday that its new hybrids will be nearly $8,000 less than competitors from General Motors Corp.

Chrysler said its 2009 Dodge Durango hybrid will have a suggested retail price of $45,340 while its 2009 Chrysler Aspen hybrid will start at $45,570. A comparable four-wheel-drive version of the 2008 Chevrolet Tahoe hybrid starts at $53,295, while the 2008 GMC Yukon hybrid starts at $52,855.

Chrysler spokesman Nick Cappa said the hybrid Aspen will cost $3,550 more than a comparable model with a gas engine, while the Durango will cost $3,655 more. Hybrid buyers will be able to reduce that premium with a hybrid tax credit of $1,800, he said.

The Durango and Aspen are Chrysler's first entries into the hybrid market and will go on sale in August. Chrysler said the hybrid SUVs get up to 20 miles per gallon and improve fuel economy by 40 percent in city driving and up to 25 percent overall.

Chrysler's hybrid system was developed in a partnership with GM, Daimler AG's Mercedes-Benz and BMW AG, and it's the same system that's in the GM SUVs. The system - called a two-mode hybrid - can operate in electric-only mode at low speeds or with a combination of the gas engine and electric assistance for more power at higher speeds. The electric motors are lighter than those in the single-mode systems used by Toyota Motor Corp. and Ford Motor Co., making them more ideal for towing.

China yuan hits new high against US dollar Wed, 18 Jun 2008 01:10 EDT
The Chinese yuan kept climbing Wednesday, with the official "parity rate" set at an all-time high against the U.S. dollar as American and Chinese officials resumed talks centering on trade and other strategic issues.

Washington wants Beijing to loosen controls on currency trading and allow the yuan's rate to set by market forces. U.S. manufacturers contend that the restrictions keep the yuan's value artificially low, giving Chinese exporters an unfair advantage and boosting China's trade surplus.

The yuan has gained about 20 percent against the U.S. dollar since Beijing revamped its foreign exchange trading system in July 2005, revaluing the currency by 2.1 percent to 8.11 yuan to one dollar.

On Wednesday, the Chinese yuan began trading at a 6.8823, continuing a steady advance against the dollar that has taken it to fresh highs in recent weeks.

China has pledged to loosen currency controls, but has not given any timetable, saying that sudden change would expose the country's shaky financial system to excessive risks from outside speculators.

Taco Bell, Wendy's starting to use tomatoes again Tue, 17 Jun 2008 19:50 EDT
Two fast food companies are putting tomatoes back on the menu now that federal health officials have identified tomato crops that are safe from a salmonella scare.

Wendy's International Inc. spokesman Denny Lynch said Tuesday that the hamburger chain began restocking restaurants Sunday with tomatoes from northern Florida. He said some Wendy's locations may still not have tomatoes but should be supplied soon.

Yum Brands Inc. said it also has started to resupply its restaurants with tomatoes from areas that have been cleared of salmonella risk.

Louisville, Ky.-based Yum is the parent company of Taco Bell, KFC, Pizza Hut, A&W and Long John Silver's restaurants.

Yum and Wendy's were among many national restaurant chains that stopped serving tomatoes earlier this month amid a multistate salmonella outbreak linked to raw tomatoes, although there was no connection to the restaurants.

Tasty water is a little bitter Mon, 16 Jun 2008 02:02 EDT
You may have read in the Herald-Leader on Thursday that Louisville's water had been chosen as the best-tasting water in America by a panel assembled by the American Water Works Association .

Louisville Mayor Jerry Abramson decided to use the occasion to have a little good-natured fun with Lexington Mayor Jim Newberry .

Abramson had UPS deliver bottles of "Louisville pure tap water" to Newberry and the Herald-Leader's editorial board.

An attached note went something like this: "Here's a taste of what you're missing. America's best-tasting water. Let us know when you want more."

All this was prompted by a proposal that was later rejected to pipe Louisville water to Lexington to shore up the city's supplies in the face of periodic droughts.

Loose Change Mon, 16 Jun 2008 08:33 EDT

Rahall says ‘use it or lose it’ in challenge to big oil
Using the old saw of “use it or lose it,” Rep. Nick Rahall threw down the gauntlet Friday for Big Oil to either use on- and off-shore drilling leases to produce or see such privileges yanked away from them.

Chinese Dir