Docstoc

GM sells Hummer brand to Chinese manufacturer

Document Sample
GM sells Hummer brand to Chinese manufacturer Powered By Docstoc
					E      Saturday, October 10, 2009




Kimberly-                            GM sells Hummer brand                                                                                       Mortgage holder input sought
Clark to
buy I-Flow                           to Chinese manufacturer                                                                                         Have you tried to
                                                                                                                                                  modify your home mort-
                                                                                                                                                  gage through the govern-
                                                                                                                                                                                               after the Obama admin-
                                                                                                                                                                                               istration rolled out its
                                                                                                                                                                                               plan to try to prevent
for $276M                            By TOM KRISHER
                                     Associated Press
                                                                                                                                                  ment’s Making Home Af-
                                                                                                                                                  fordable plan, only to be
                                                                                                                                                  turned down by a bank or
                                                                                                                                                                                               foreclosures. As part
                                                                                                                                                                                               of the article, we’d like
                                                                                                                                                                                               to include your experi-
   DALLAS (AP) — Kim-                   DETROIT — Hummer, the                                                                                     faced difficulties getting                   ences.
berly-Clark Corp. said Fri-          off-road vehicle that once                                                                                   it approved?                                    If you’d like to contrib-
day that it will add higher-         epitomized America’s love                                                                                       The Tulsa World Busi-                     ute, contact real estate
margin medical devices               for hulking trucks, is now in                                                                                ness department is work-                     reporter Robert Evatt at
to its health-care unit by           the hands of a Chinese heavy                                                                                 ing on a story examining                     581-8447 or e-mail Rob-
purchasing health-care               equipment maker.                                                                                             how local and national                       ert.evatt@tulsaworld.
company I-Flow Corp. in                 General Motors Co. and                                                                                    banks have performed                         com.
a cash deal valued at ap-            Sichuan Tengzhong Heavy
proximately $276 million             Industrial Machinery Corp.
excluding acquired cash
and cash equivalents.
                                     signed the much-anticipated
                                     deal for GM to sell the brand                                                                                                         FYI: BusIness
   Kimberly-Clark, maker             on Friday.
of Huggies diapers and                  Tengzhong will get an 80
Kleenex tissues, will start          percent stake in the company,                                                                            Oklahoma rig count
a tender offer to buy all of         while Hong Kong investor            A Hummer H2 vehicle sits on a sale lot in Dublin, Calif. Hummer      rises by two to 76
Lake Forest, Calif.-based            Suolang Duoji, who indirect-     hit the streets for civilian use in 1992 while owned by AM General
I-Flow ’s outstanding                ly owns a big stake in Teng-     LLC. Actor Arnold Schwarzenegger, now governor of California,              The number of drilling rigs
stock at $12.65 per share,           zhong through an investment      was among the first buyers. Ben MArgot/Associated Press                 actively exploring for oil or gas
or about $324 million. The           company, will get 20 percent.                                                                            in Oklahoma rose by two this
per share price represents           The investors will also get      the new company, which will         Taylor said.                        week to 76, Baker Hughes Inc.
an 8 percent premium to              Hummer’s nationwide dealer       be headquartered either in            Still, GM sold 1,000 Hum-         reported Friday.
I-Flow’s Thursday clos-              network.                         Detroit or suburban Auburn          mers in some months, prov-             The state’s rig count is 63
ing price of $11.76.                    Financial terms were not      Hills, Mich.                        ing that buyers are out there.      percent below the year-ago
   “I-Flow will increase             disclosed, although a person        James Taylor, the GM ex-           “There’s still a loyal cus-       level of 205.
our medical device sales             briefed on the deal said the     ecutive who has run Hum-            tomer base underneath there            Nationwide, the net number
by more than 50 percent,             sale price was around $150       mer recently, will remain as        that loves Hummer,” he said.        of active drilling units rose by
add an innovative and                million. The person did not      its chief executive officer.          Hummer hopes to keep              17 this week to 1,041, up 19                        General Motors Co. CEO
successful technology to             want to be identified because       Taylor said in an interview      buying fuel-efficient engines       percent from the 2009 low                        Fritz Henderson says that the
our growing portfolio of             the terms were being kept        with The Associated Press           and transmissions from GM,          of 876 set June 12, according                    “vast majority” of GM buyers
pain management and                  private. GM’s bankruptcy         that he knows resurrecting          but can seek them elsewhere,        to data from Houston-based                       are choosing a $500 rebate
surgical solution prod-              filing last summer said that     the brand will be difficult, but    Taylor said.                        Baker Hughes. A year ago, the                    instead of the automaker’s 60-
ucts, and strengthen the             the brand with military roots    the key will be quickly rolling       He said the brand has been        national tally was 1,990.                        day money-back guarantee.
depth and breadth of our             could bring in $500 million      out more fuel-efficient mod-        unfairly tagged as a symbol            Of the rigs running this                         Under GM’s money-
sales force,” Joanne Bau-            or more.                         els that get over 20 mpg.           of the American gas guzzler,        week, 726 were exploring for                     back guarantee promotion,
er, president of Kimberly-              Suolang Duoji also is the        “I’m not in any kind of de-      saying other vehicles get           natural gas and 305 for oil,                     which runs through Nov. 30,
Clark Health Care, said.             controlling shareholder and      nial that we have a very steep      worse mileage.                      the report said, while 10 were                   customers can return their
   The planned acquisi-              chairman of Lumena Re-           uphill challenge in front of          He wants to make sure “at         listed as miscellaneous.                         car between day 31 and 60
tion follows a Monday                sources Corp., a Hong Kong       us,” Taylor said.                   least we aren’t a victim of            Of the other major oil- and                   of ownership nearly free of
announcement by Kim-                 listed mining company.              Hummer, he said, has been        misinformation that we stand        gas-producing states, Louisi-                    charge. They can also waive
berly-Clark in which the                GM and Tengzhong said in      in a state of “suspended ani-       alone as the ultimate bad           ana and Texas each gained six                    the policy and take a $500
Dallas-based       company           a statement that the transac-    mation” since June 2008             guy in the space, which we          rigs this week, while net totals                 rebate toward the purchase of
said it bought Baylis Med-           tion still must be approved      when GM announced it                aren’t.”                            in California, North Dakota                      their vehicle instead.
ical Co.’s pain manage-              by the U.S. and Chinese gov-     would be reviewed for sale or         Hummer hit the streets            and Wyoming each rose by                            The automaker launched the
ment business. The Baylis            ernments. Chinese regulators     closure. Since then, its future     for civilian use in 1992 while      one. Arkansas, Colorado and                      promotion last month with an
acquisition is being looked          initially expressed reserva-     has been uncertain and it re-       owned by AM General LLC,            New Mexico each lost one rig.                    ad blitz starring GM Chairman
at as a way for Kimberly-            tions about Tengzhong’s abil-    ceived no marketing support         which makes Humvees for             Alaska’s tally was unchanged.                    Ed Whitacre.
Clark to boost its standing          ity to run such an enterprise.   or new products. Financing          the U.S. Army, and California
in the chronic spinal pain              Hummer’s current man-         for leases, a big part of its       Gov. Arnold Schwarzenegger          ONEOK Partners raises                            ConocoPhillips refinery
management market.                   agement team will stay with      luxury market, also dried up,       was among the first buyers.         dividend by penny                                cited by OSHA
                                                                                                                                                 ONEOK Partners LP says it                        ConocoPhillips has been

fed:                                                                    work:
                                     survey of economists last                                                                                will pay a dividend of $1.09 per                 cited for alleged health and
                                     month. The world’s larg-                                                                                                                                  safety violations at its Bayway
                                                                                                             Airport traffic down             unit, up 1 cent from the previ-
                                                                                                                                                                                               Refinery in Linden, N.J., by
                                     est economy shrank at a 0.7                                                                              ous quarter. The distribution is
                                     percent annual rate from                                                   Airline passenger traffic     payable Nov. 13 to unitholders                   the Occupational Safety and
Consumer debt and                    April through June, the best       The airport has a                    totaled 228,550 travelers        of record Oct. 30, the Tulsa-                    Health Administration, which
real estate problems                 performance in more than           $2.25 million grant                  at Tulsa International in
                                                                                                             September, a 1.8 percent
                                                                                                                                              based partnership said.                          proposed a fine of $92,000.
                                                                                                                                                                                                  OSHA issued the refinery
                                     a year, according to govern-                                                                                Officials of ONEOK Partners
may lead to a slow                   ment figures.                      to buy the hangars.                  decline from the same            credited the higher distribution                 three repeat violations, total-
                                                                                                                                                                                               ing $75,000, and four serious
recovery.                              “We will have to think                                                month last year. For the
                                                                                                             first nine months of 2009,
                                                                                                                                              to growth projects and higher
                                                                                                                                                                                               citations, with a penalty of
                                     about returning to a neu-          From e                                                               fee-based earnings for natural
From e                              tral rate” in time, said Hoe-                                           passenger traffic was            gas gathering, processing and                    $17,000, as the result of an
                                     nig, the Kansas City Fed’s            “We need to get the two           2.11 million people, a 13.1      transportation services.                         investigation initiated April 23.
policy when the outlook for          president since 1991 and the       hangars torn down,” Hough            percent decrease.                   The company’s third-quar-                        “The serious violations
the economy “has improved            longest-serving Fed policy         said.                                   Air cargo shipments at        ter earnings report will be                      reflect deficiencies in the
sufficiently.”                       maker.                                The terminal and major            Tulsa International were         released Nov. 3.                                 company’s process safety
   The Fed said last month             “I don’t know what a             aircraft hangar facilities of        5,111 tons in September,                                                          management program as well
the economy has “picked              neutral interest rate is, but      Tulsair Beechcraft, a fixed-         down 2.8 percent from            Most GM customers                                as the lack of a comprehensive
up,” while maintaining a             I’m pretty confident it isn’t      base operator located on the         September 2008. For                                                               safety and health management
pledge to keep the target in-        zero,” he said. “And if you        west side of Tulsa Interna-          the first nine months, air       take rebate over refund                          system at the facility,” the
terest rate exceptionally low        leave it as zero too long, you     tional, would not be affected        cargo totaled 43,473 tons,          For most GM customers,                        OSHA report stated.
for an “extended period.”            have other issues that create      by the proposed demolition           a 12.6 percent decline.          a money-back guarantee just                         The refinery has a capacity
   Richmond (Va.) Fed Presi-         incentives” that distort the       of Hangar 8 and Hangar 10,              Tulsa International had       isn’t as tempting as money up                    of 238,000 barrels a day.
dent Jeffrey Lacker said Oct.        economy.                           which are support facilities,        8,616 aircraft operations        front.                                               — From staFF and wire reports
1 that rates may need to be            Consumer debt levels and         airport officials said.              — a landing or a takeoff
raised even with unemploy-           problems in the commer-               The FAA has awarded               — in September, down
ment near 10 percent, while          cial real estate industry are      TAIT a $2.25 million grant           10.6 percent from Sep-
                                                                                                             tember 2008. In the first                    tulsaworld.com
Fed Governor Kevin Warsh             among the factors likely to        to purchase the hangars.
said Sept. 25 the central            lead to a slow recovery, Hoe-      Airport staff estimates it will      nine months, there were                      ONliNE
bank may need to tighten             nig said.                          cost up to $150,000 to demol-        89,393 aircraft operations,
                                                                                                                                                 Sign up for the Tulsa World Business e-mail newsletter.
“with greater force than is            In addition, the unem-           ish the hangars, which could         a 10.08 percent decline.
                                                                                                                                                 You will receive Business headlines e-mailed to your inbox
customary.”                          ployment rate of almost 10         be reimbursed by another                At Jones riverside Air-
                                                                                                                                                 every day. Go to tulsaworld.com/register and click Choose
   In contrast, New York Fed         percent is likely to linger at     FAA grant, Hough said.               port at Jenks, there were
                                                                                                                                                 Email Newsletters.
President William Dudley             levels that are “unacceptably         Trustees this week de-            20,712 aircraft operations
and Atlanta Fed President            high.”                             ferred approval of a letter of       in September, down 29.67
Dennis Lockhart have cau-              Hoenig also called for           intent to acquire the hangars,       percent from Septem-
                                                                                                             ber 2008, while aircraft
tioned that the central bank
should avoid impairing a
                                     Congress to address the
                                     problem of creating a reso-
                                                                        asking staff for additional in-
                                                                        formation on the timing and          operations in the first nine     OklahOma agrIculture
recovery by tightening too           lution mechanism for banks         the real estate appraisal.           months totaled 194,772, a        Oklahoma Markets                                 Shattuck 5.21, Miami 5.23, Ponca City 5.25,

soon.                                that are so large they could,         The board also accepted           25.8 percent drop.                    OKLAHOMA CITY (AP) — The state De-
                                                                                                                                                                                               Manchester 5.27, Medford 5.30, Gulf 7.63.
                                                                                                                                                                                                   SOYBEANS: 25 to 28 cents higher.
                                                                                                                                              partment of Agriculture reported the following
   “I don’t believe that tight       in the event of failure, dam-      the project and approved fi-                                          closing prices Friday:
                                                                                                                                                                                               8.58-9.20.
policy is the right policy,”         age the financial system. He       nal payment of $234,377 to        one-way revolving exit secu-             U.S. No 1 HARD RED WINTER WHEAT: 4
                                                                                                                                                                                                   Hooker 8.58, Alva, Buffalo 8.75, Shattuck
                                                                                                                                                                                               8.84, Medford, Ponca City 9.04, Stillwater
Hoenig said. “But I don’t be-        said policy makers outside         Magnum Construction Co.           rity doors at the bases of the      to 5 cents lower. 3.25-4.07.
                                                                                                                                                   Davis 3.25, Hobart 3.80, Buffalo 3.84,
                                                                                                                                                                                               9.07, Miami 9.20, Gulf 10.48.
lieve an indefinite period of        the U.S. would follow the          for the $2.88 million eleva-      concourses.                         Eldorado, Frederick, Lawton 3.85, Alva
                                                                                                                                                                                                   CORN: 2 to 4 cents lower. 2.97-3.87.
                                                                                                                                                                                                   Manchester 2.97, Ponca City 3.12, Miami
very accommodative policy            country’s lead in dealing          tors and exit lanes project          Construction began on the        3.89, Clinton, Manchester, Medford, Miami,
                                                                                                                                                                                               3.33, Hooker 3.45, Keyes 3.87, Gulf 4.18.
                                                                                                                                              Shattuck, Temple 3.90, Cherokee 3.93, Perry,
is in the long-run best inter-       with the issue.                    in Tulsa International’s pas-     elevators and exit lanes proj-      Stillwater 3.94, Ponca City, Weatherford
                                                                                                                                                                                                   CANOLA: 20 cents higher. 7.40.
ests of the country.”                  “They are anxious to ad-         senger terminal.                  ect in May 2008, and it was         3.96, Banner, El Reno, Okarche 4.00, Geary,
                                                                                                                                                                                                   Grade 41, Leaf 4, Staple 34 Cotton in
                                                                                                                                                                                               Southwestern Oklahoma averaged 57.50 cents
   Economic growth will av-          dress this just as I am,” he          The work involved new          completed in June.                  Okeene, Watonga 4.01, Keyes 4.02, Hooker
                                                                                                                                              4.07, Gulf 5.00.
                                                                                                                                                                                               per pound.
erage 2.6 percent in the sec-        said. “This is an opportunity      elevators in the center ter-                                               MILO: 3 to 21 cents lower. 4.19-5.30.
                                                                                                                                                                                                   Alfalfa hay, 160.00-180.00. Grass hay,
                                                                                                                                                                                               60.00-80.00.
ond half of this year, accord-       for the United States to lead      minal and on the east and               D.R. Stewart 58-845              Eldorado 4.19, Weatherford 4.85, Alva,
                                                                                                                                                                                                   Egg prices: large $1.02, medium 88 cents,
ing to a Bloomberg News              the way.”                          west concourses as well as             don.stewart@tulsaworld.com
                                                                                                                                              Buffalo 5.03, Keyes 5.07, Hooker 5.14,
                                                                                                                                                                                               small 67 cents.




Super:                                                                                                       dow:                            market. The dollar would
                                                                                                                                             benefit from higher interest
                                                                                                                                             rates but if the Fed tight-
                                                                                                                                             ens credit too soon it could
The store will carry                                                                                         The dollar recovers             choke off an economic re-
more fresh, pre-                                                                                             some of its recent              covery. On the other hand a                             – WEEK 7 of 8 –
                                                                                                                                             continued fall in the dollar,
pared foods.                                                                                                 losses.                         which is more likely with
                                                                                                                                                                                                   Today’s Puzzle Piece:
                                                                                                                                             lower interest rates, could
From e1                                                                                                      From e                         trigger inflation.
                                                                                                                                                The moderate rise in
four miles from another Tar-                                                                                 aluminum maker Alcoa Inc.       stocks Friday comes two
get location on 71st Street                                                                                  and the first gain in retail    years to the day after the
just east of the Mingo Valley                                                                                sales in over a year. That      market hit its peak. The
Expressway. Dockum said                                                                                      helped put a seven-month        Dow is still down 30.4 per-
the company hopes to attract                                                                                 rally back on track after two   cent from its high on Oct. 9,
customers who want to avoid                                                                                  down weeks driven by dis-       2007, while the S&P 500 in-
that busy shopping corridor                                                                                  appointing economic data.       dex is down 31.5 percent.
and also take advantage of an          Shoppers go through check-out lanes Friday at SuperTarget,              The dollar recovered             For the week, the Dow
abundance of home construc-          101st Street and Memorial Drive. mICHAEL WYKE/Tulsa World               some of its recent losses       rose 4 percent, its biggest                        PLAY EACH WEEK FOR
tion nearby.                                                                                                 against other currencies        gain since the week ended                            A CHANCE TO WIN
   The new SuperTarget and
the 21-acre South Town Mar-
ket shopping center have
                                     with four more aisles of gro-
                                     ceries and two more aisles of
                                     frozen foods than most other
                                                                      foods, such as cut fruit, sand-
                                                                      wiches and sushi.
                                                                        Dockum said the store has
                                                                                                             Friday after Federal Reserve
                                                                                                             Chairman Ben Bernanke
                                                                                                             reassured markets that the
                                                                                                                                             July 24. The S&P 500 in-
                                                                                                                                             dex rose 4.5 percent, its
                                                                                                                                             best performance since the
                                                                                                                                                                                                    $  250
been the point of controversy,       SuperTargets, as well as more    about 340 employees but                Fed will wind down its ex-      week ended July 17. The                            GRAND PRIZE
                                                                                                                                                                                                   2500!
with some neighborhood res-          deli foods, Dockum said.         hopes to hire 25 to 30 more as         traordinary stimulus mea-       Nasdaq added 4.5 percent.
idents citing the traffic that
the retail developments were
                                       The store will also include
                                     a restaurant with Pizza Hut
                                                                      the retailer gears up for the
                                                                      holiday shopping season.
                                                                                                             sures when the time is right.
                                                                                                             Some investors interpreted
                                                                                                                                                Despite the big gain in
                                                                                                                                             stocks, analysts warn that
                                                                                                                                                                                               $
adding. But the city of Tulsa        products and a Starbucks           “We’re fully stocked and             Bernanke’s comments as          trading could be bumpy in
and the state have widened           cafe.                            have millions of dollars of in-        a sign the Fed might raise      coming weeks as investors                           For official rules, go to
the intersection from four to          With the expanded food         ventory ready to go,” he said.         interest rates sooner than      sift through companies’                           tulsaworld.com/puzzlepix
six lanes.                           area, Dockum said the store                                             expected.                       quarterly earnings reports.
   The SuperTarget will in-          has put an emphasis on car-            Kyle Arnold 581-8380               The dollar is a double-       Major financial firms will
clude a large food section           rying more fresh, prepared            kyle.arnold@tulsaworld.com        edged sword for the stock       report results next week.

				
DOCUMENT INFO
Shared By:
Categories:
Tags:
Stats:
views:1
posted:11/3/2009
language:English
pages:1