The Baltimore Sun from Baltimore, Maryland • Page 47

THE SUN BUSINESS 15C THURSDAY, AUGUST 20, 1992 Baltimore Bancorp's CEO will retire MERCHANDISE TRADE DEFICIT In millions, seasonally adjusted Busch's ad attacks on Coors are fair, judge rules in beer war Chairman Hale will add post to his duties as "the taste of the Rockies," based on the use of water from the Rocky Mountains. The Anheuser-Busch ads charge that Coors ships Its light beers In concentrate form in railroad cars to Virginia, where It is mixed with Virginia water for distribution in the Northeast. "After having advertised for years that Coors beer tasted better than other beers because Coors beers are made from Rocky Mountain water," the Judge said, "Coors now cannot seek (an Injunction that would prohibit defendant's hoisting Coors by Its own petard." Reuters NEW YORK A Manhattan federal Judge refused yesterday to bar Anheuser-Busch Cos. Inc. from airing television and radio advertisements attacking Its chief competitor, Adolph Coors Coors Brewing unit.

Coors sued Anheuser-Busch this month seeking an Injunction that would have barred Busch from airing the ads, which question the purity and freshness of its Coors Light brand beer. In his ruling, U.S. District Judge Michael Mukasey noted that Coors has promoted its beers lyst who follows Baltimore Bancorp for the investment firm Chapin Davis in Baltimore, said she did not think the move was a big deal. "The way they structured this doesn't surprise me," she said. Mr.

Spilman said the new post does not mean that Mr. Hale will be spending significantly more time at the bank, which he runs In addition to his transportation companies. "He can't get any more active than he is," Mr. Spilman said. "He's fully immersed In the bank." Mr.

Whittum will remain a director and a consultant to the company, Mr. Spilman said, because he knows the bank's portfolio of troubled real estate loans "better than anyone In the bank." Mr. Hale's first year of leading the bank has been eventful, marked by big losses on real estate loans that the company blamed on the previous management. It has also Included the unhappy departure of several directors and the bank's outside law firm. By Timothy J.

Mullaney Staff Writer Baltimore Bancorp's chief executive officer. C.H. "Buck" Whittum announced yesterday that he will retire next month and be replaced by the company's chairman, Edwin F. Hale Sr. Alan C.

Leberknight, president and chief operating officer of the company's banking unit, the Bank of Baltimore, will take over from Mr. Whittum as chief executive of the bank. Yesterday's move had been expected. Mr. Whittum, who took the job last summer after a bruising proxy fight for control of the bank, which has $2.9 billion In assets, had said he would stay at the company for only about a year.

Mr. Whittum retired from Union Trust Co. of Baltimore after it was acquired by Bank of Virginia In 1985. The merged company Is now called Signet Banking and the old Union Trust was renamed Signet JCPenney, Cap Cities, GTE plan mall network Retiree benefits no longer 0 -1000 -2000 -3000 -4000 -6000 -6000 -7000 -8000 JFMAMJJASONDJFMAMJ 91 '92 SOURCE: Bloomberg Business News Imports, exports both broke records in June TRADE, from 13C slump In domestic demand. Despite the June Improvement, many analysts expect the deficit to reach $80 billion this year, surpassing the $65.4 billion gap In 1991.

That was the first time it had fallen below $100 billion since 1983. The trade deficit is running at an annual rate of $70.94 billion this year. "Foreign economies are still enduring varying degrees of stagnation, with robust recovery still very much In question," said Wlllard A. Workman, a vice president of the U.S. Chamber of Commerce.

Kevin Logan, an economist with Swiss Bank Corp. In New York, said much of the export improvement came from an Increase in Boeing Co. aircraft shipments to 27 in June from 13 in May. "We won't see that again next month," he said. Mr.

Logan also said any Improvement in the U.S. economy would revive consumer demand for goods, including those produced overseas, and further widen the trade gap. Imports were up modestly in all major categories, but rising oil prices were largely responsible for the record In June. The price per barrel Jumped 9.2 percent, to $18.25, while the number of barrels Imported per day rose 4.7 percent, to 6.4 million. The combination produced an oil bill of $4.62 billion, 12.6 percent more than in May.

TJTTmTTT A Ml 3 Is i I i 4 i By Mensah Dean Staff Writer Three of the nation's largest companies have announced that they expect to form a Joint venture by early 1993 to provide an array of communications services to more than 1,000 shopping malls. JCPenney, GTE Spacenet Corp. and Capital CitiesABC plan to launch Advanced Retail Communications In the 1.150 malls that have JCPenney outlets, said Jean Davis, a GTE spokeswoman. That Includes JCPenney stores at five Maryland locations, including Security Square Mall In Woodlawn, Lake Forest Mall in Gaithersburg and Valley Mall in Hagerstown. The venture would deliver television, audio and data services to the retail outlets through a satellite and ground-level transmission network.

Retailers would get background music, ABC videos Including sports Proposed British Airways deal defended by USAir chairman PHONES, from 13C medical expenses for Its 3,200 retirees. "We wanted to continue to offer health care to our retirees despite the fact that costs are going through the roof," said Elaine Johnston, senior benefits analyst for "The only way for us to do that was to have some level of control over those costs." McCormick Co. also requires retirees to pay a portion of health-care costs. Company spokesman Jack Felton said the retiree plan was altered about three years ago to reflect that change. Previously, he said, McCormick picked up the entire tab.

Some companies have gone to extremes to limit retiree health costs. One local manufacturing company, for example, plans to stop paying insurance premiums for employees who retire after Jan. 1, Ms. Hinds said. The company, which she declined to name, will maintain a group retirement plan, but employees will have to pay the premiums.

"Most companies feel they can't change benefits for people who are already retired," Ms. Hinds said. "That means changing benefits for those who are retiring in the future." "The most common changes employers are making Involve 'take- Van in a variety of outlandish situations, never batting an eyelash until he was given a Colt 45. One of the ads, which showed Mr. Van lounging on a beach In the middle of a Marine landing, won one of Mr.

Evans' four Clio awards, the ad business' equivalent of an Oscar. For another client, Ozlte Indoor-outdoor carpets, Mr. Evans' team carpeted the Baltimore Zoo to show the product's sturdiness. "We had tigers pawing at it. We ran it down the steps into a hippopotamus pit," Mr.

Evans said. That BankMaryland. Mr. Hale led a slate of directors that ousted Baltimore Bancorp's former chief executive, Harry L. Robinson, but Mr.

Whittum was put in charge of day-to-day management partly because Mr. Hale's business experience was concentrated in shipping and trucking. "What we see in this move is continuity in management," said David L. Spilman, Baltimore Bancorp's treasurer and investor relations director. Mr.

Leberknight "has been working shoulder to shoulder with Buck since last November," when Mr. Leberknight left his post as executive vice president of Signet BankMaryland to Join Baltimore Bancorp. Elisabeth Albert Hayes, an ana such as raising premium contributions and increasing cost-sharing provisions," said the study of health-care benefits, released this week by Foster Hlggins, an International employee benefits consulting firm based In New York. Nearly half of the 1,380 employers surveyed either have raised retiree contributions or plan to do so by 1993. Others have tightened eligibility requirements.

And 3 percent of the respondents have ended coverage for future retirees altogether. According to the study, the cost of retiree medical plans In 1991 averaged $2,486 per retiree, 9.3 percent more than In 1990. Bell Atlantic wants Its future retirees to pay up to 50 percent of Increased health-care costs. Those costs have historically been covered by the company, which currently lists 4 1 ,800 retirees on Its books. The unions contend Bell Atlantic Is trying to break an unwritten promise to workers that was made long before the company was spun off from American Telephone Telegraph Co.

In 1984. "Our feeling Is that, over the years, workers have worked very hard to win employee-paid benefits," said Gaye Mack Williams, a CWA spokeswoman. "Once they are retired and on a fixed Income, it be retires from campaign won two more Clios, he said. Mr. Evans began his advertising career in New York but took a Job as a writer at W.

B. Doner and rose to become creative director there and later at Richardson Myers Donof-rlo. Along with Mr. Schnably, he formed his own agency In 1984. Renamed EvansMcLaughlin, it merged with Smith Burke Azzam to form Gray Kirk Evans.

Mr. Evans was chairman of Gray Kirk Evans until its merger with VanSant Dugdale last year. Since minimum 1 ,000 CityStateZip your free report 8C0 541 1452 Rowe Price, Send a prospectus i including I 1 will read it I Also send information Name Address Invest a sure thing comes very Important that they not be required to pay, and for the company not to go back on that promise." Just ask Charlie "Boots" Buttlgll-eri, 40, executive vice president of CWA Local 2101 in Baltimore and a 21 -year veteran of the telephone company. Mr. Buttiglierl Joined up when the telephone company was a monopoly and the promise of post-retirement care was guaranteed.

Like other longtime workers, Mr. Buttiglierl Is alarmed that Bell Atlantic would even consider asking retirees to pay so much of their health-care costs. "The way they're talking, I'm afraid that by the time I get out of here I'd wind up signing over my entire pension check to the company every month," said Mr. Buttiglierl, who won't be eligible for retirement for 15 years. Companies faced with the burden of retiree health care, meanwhile, continue to look for ways to hold down costs.

Some, such as have Injected some creativity Into the process. But even acknowledges that the days of guaranteed retiree benefits are gone. "This Is our policy now, but there is no commitment to do that provide retiree health care In the future," Ms. Johnston said. Gray Kirk the merger, he cut back to part-time status as he prepared ior retirement.

Now that his retirement Is official. Mr. Evans plans to spend his time at his bayfront condominium In Gra-sonvllle. But he's not planning to spend all of his time putting out crab pots. He's planning to write a book about marketing for small businesses andj to do a little consulting worn.

And if it doesn't violate the "noncompete" clause in his contract with Grak Kirk, he might even create an ad campaign or two. state and local taxes, Ad executive Bill Evans and women's programming, and a computer network that could be used for check and credit approvals. "With this venture we are allowing smaller companies to take advantage of leading-edge communications tools." Ms. Davis said. "By working In a shared environment, the tools are more cost effective." Yesterday's move came one day after International Business Machines Corp.

and Sears. Roebuck Co. announced a similar agreement to create Advantls, which would be one of the world's largest computer Information networks. Advantis would operate voice and data networking systems, as well as design, develop and integrate custom networks that companies operate themselves. However, Robert Apter of ABC Sports said ABC, GTE and JCPenney, by putting their resources together, should be able to provide superior service.

sis, we believe there Is no reason for the deal not to be approved." Mr. Schofleld said USAlr's prediction that 1991 and 1992 would be very difficult years had proved true. The airline, the sixth-largest In the nation, has lost more than $750 million over the past two years. It reported an operating loss of $171 million on revenue of $6,514 billion in 1991. Mr.

Schofleld said the fare wars that started In the spring made for a "very difficult year" but that he was optimistic about 1993, particularly "from the second quarter on." or a limited time, we're offering this great low rate on approved Home Equity Loans of $10,000 or more when the monthly payments are automatically deducted from a First Virginia checking account. Monthly payments on a loan of $1 0,000 at 7.74 for five years are $201 .52. This offer cannot be combined with any other advertised First Virginia home equity product secured by the same property. And Remember, You Don't Have to Bank Here to Borrow Herel ims THE SIGN OF SAFETY, CONVENIENCE AND SERVICE Office Member FDIC Alnfo in Payment Nationwide Infiniti York Timonium Roads Next to the Timonium Fairgrounds 561-1000 it' -30 ElieilO irJOQMl mora u.s. mtmm T.

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So you earn more than with bank accounts, CDs, and money markets, without the volatility of long-term investments. Of course, yield will varv. and share nrice will fluctuate more than with shorter-term investments. USAIR, from 13C USAir-Brltish Air transaction. Delta, which is absorbing the European routes once owned by Pan Am, opposes the deal under any circumstances.

It argues that the deal's supermajority provision In effect allows a foreign carrier to control a U.S. airline. Mr. Schofleld said that USAir and British Airways carefully configured their transaction to conform with U.S. law.

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No sales charges. EVANS, from 13C Gray KirkVan Sant. the last of several agencies where Mr. Evans worked since he settled in Baltimore in 1961. Mr.

Schnably. whose association with Mr. Evans goes back to W. B. Doner Co.

in the 1960s, said his friend Is "a real pro" who was also a devilishly clever practical Joker at a time when the Baltimore agency was populated by a particularly wild, creative team. "We worked hard, but boy did we play hard." said Mr. Schnably. who now runs his own creative service out of his home In Freeland. Part of Mr.

Evans' work was to put the charm in "Charm City." Early in Baltimore Mayor William Donald Schaefer's administration, when the Inner Harbor was known more for its rotting piers than Its attractions, Mr. Evans was asked to come up with a tourism slogan for Baltimore as a public service. "1 looked all over the city and drove for miles, and all I found was charm," Mr. Evans said. "So it was Charm City by default." Mr.

Evans said the campaign he remembered most proudly was the one he helped devise for the city during the mid-1980s to explain the renovation of the Jones Falls Expressway to about 95,000 commuters. It was not a campaign with a memorable slogan, Mr. Evans recalled. The key to the campaign was that it didn't try to fool people, he said. The ads told them up front that the renovation would be a big headache that would last 2'A years.

The campaign went on to suggest alternate routes and to offer a hot line for commuters who needed help. As a result of the candid campaign, complaints were held to a minimum. "People sort of rallied around," Mr. Evans said. When he was at W.

B. Doner in the 1960s, Mr. Evans created a long-running campaign for Colt 45 malt liquors that showed comedian Billy tj mMRmmnnin'S 92 INFINITI G20 1 1 if i MW 92012 Charge 100 E. Pratt Baltimore, MD 21202 with more complete information, management fees and other charges and expenses. I carefully heforc I invest or send money.

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