Fort Lauderdale News from Fort Lauderdale, Florida • Page 60

trim vvnnn i-v Fort Lauderdale News -1 Disney wins injunction against striking workers Bass family hikes its Disney stock holdings 20C HF Wednesday. Oct. 3, 1984 YTV nwn Financial wire glTOMEMls 2 jells European consortium. i Patrick Croze, president of Airbus Industrie North America in New York, refused to comment on negotiations for return of the jets. Quinto conceded Tuesday that Airbus and Northeastern are at odds over terms of a contract between the two parties.

But he denied persistent reports that the airline isn't meeting its financial obligations. "We are making reasonable and rational progress, toward reaching a satisfactory relationship with Airbus on a long-term basis," Quinto said, Quinto said he hoped the two grounded jets would resume flying on Nov. 15, and the airline would announce its winter flying schedule next week. Meanwhile, he said the planes would be returned to By Jeff Pelline Basinets Writer Nine months after announcing it acquired A300 wide-body jet? to begin $75 flights to New York, Northeastern International Airways has grounded two of the four it flies, Stephen Quinto, president and chief executive officer of the Fort Lauderdale airline, said Northeastern grounded the planes because business slacks off in the fall. But an industry newsletter Jordan Greene's Aircraft Marketletterot Miami said in its October issue that Airbus was negotiating for Northeastern to return the two jets.

The 314-seat A300s are built by Airbus Industrie, a Europe for a scheduled maintenance check. The jets are being leased from Lufthansa German Airlines, based in Cologne, West Germany, through an agreement with Airbus. On Jan. 4, Northeastern announced it was acquiring the jets to carry passengers from Florida to New York's John F. Kennedy Airport on $75 and $89 fares beginning Feb.

9. Since then, fares have risen to $99 during peak travel and $79 during off-peak travel. The wide-body flights to JFK enabled Northeastern to post some of the highest load factors in the industry during the spring and summer. Load factor, a key indicator of an airline's performance, refers to the percentage of available seats filled. But in September, Northeastern's load factor plummeted to 57 percent from 71 percent a year ago.

Eastern traffic increases mew L0 HOME a Down 8.1 SALENS in August Seasonally 700 -4 adjusted annual rates 4 nj fl 4-44- In thousands a of single Been family homes 1650 1600 i J. ji ijl, .11. Up I oou SON FMAMJ A J983 J1984 Factory orders join declining indicators Tbe Associated Press WASHINGTON Orders to U.S. factories dropped 0.7 percent in August, the second time in three months that orders have declined, the government reported today. The Commerce Department said orders for manufactured products decreased $1.4 billion to a total of $192.6 billion.

The decline followed a 1.8 percent July increase and a 1.6 percent June decline. The report offered further evidence that the economy has slowed dramatically from the rapid pace set earlier in the year. Tuesday the government announced that sales of new houses fell 8.1 percent in August, victim of high mortgage interest rates, while the average price declined for the third straight month. Economic growth as measured by the gross national product advanced at a 3.6 percent rate from July through September, less than half the pace set during the first six months this year. The August decline in factory orders was attributed to a 2 percent slump in orders for non-durable goods, products such as clothing, chemicals, paper and food.

The decline in this category left orders at $90.5 billion, following a 1 percent July gain. Orders for durable goods, products expected to last more than three years, were up 0.5 percent. This was revised from a preliminary report last week that said orders for durable goods had dropped 0.9 percent in August By Jeff Pelline Basiness Writer Eastern Airlines today said its traffic rose 6 percent in September over last year, which may enable the Miami airline to break even or post its first quarterly profit In nearly two years." "I would say the traffic results are quite impressive," said Robert Joedicke, a leading airline analyst with Shearson LehmanAmerican Express in New York. "I would expect a good financial improvement over last year." The airline's traffic has risen for the past three months over last year, Eastern announced. In September, Eastern flew 2.12 billion revenue passenger miles, compared with 2 billion for the same month a year ago.

Revenue passenger miles refer to one passenger flying one mile. The airline's September load factor the percentage of available seats filled was 52.2 percent, up from 51.8 percent last year, -Eastern posted improved traffic figures for September despite widespread fare cutting. For the nine months ending Sept, 30, Eastern flew 22.14 billion revenue passenger miles, up 3.1 percent from 21.46 billion flown for the same period last year. Still, the airline's load factor for the nine months was 57.1 percent, compared with 59.5 percent a year earlier. tPI chart Currency trading THE DOLLAR continued to retreat early today for the third straight day.

In Tokyo, the dollar fell to a close at 245.10 Japanese yen from Tuesday's 246.20. In London, British pound was $1.2502, up from $1.2405 Tuesday. Other dollar rates at mid-morning, from late Tuesday: 3.0085 W. German marks, down from 3.0420. 2.4900 Swiss francs, down from 2.5080.

9.2325 French francs, down from 9.3375. 3.3878 Dutch guilders, down from 3.4280. 1,868.00 Italian lire, down from 1,882.00. 1.31175 Canadian dollars, down from 1.31395. Precious metals GOLD DEALERS reported slight bullion gains.

London's five major bullion dealers set a morning recommended gold price of $347.60 per ounce, compared to late Tuesday's $346.75. In Zurich, the bid price was $347.90, up from $346.00 late Tuesday. Hong Kong financial markets were closed for a bank holiday. In New York Tuesday, gold rose $2.70 to close at $347.20. Silver was quoted in London Wednesday at a bid price of $7.60 per ounce, up from Tuesday's closing bid of $7,545.

Florida business STEVE WALKER ASSOCIATES of Fort Lauderdale has been selected by the News and Sun-Sentinel Co. as its advertising agency. The selection culminates a three-month search including evaluations of 25 of South Florida's top agencies including presentations by Steve Walker Associates Caravetta Allen Kimbrough BBDO Group 3hree Advertising Hume Sindelar Wright Advertising Inc. and Mike Sloan Advertising Inc. Robert E.

Plaisted, News and Sun-Sentinel Co. vice president and marketing director, said, "Steve Walker Associates' presentation was the most on-target td our present marketing needs. They have a strong knowledge of the South Florida market, outstanding newspaper marketing skills and they produced a high-quality creative presentation." PRATT WHITNEY Tuesday received a $30 million slice of a U.S. Air Force contract to build a demonstrator engine for a new jet fighter. Pratt's Government Products Division, which has a large research and development facility northwest of West Palm Beach, will be part of a team headed by the McDonnell Aircraft Division of McDonnell Douglas which was awarded a $117.8 million contract.

The contract is to develop and perform flight tests on an advanced version of the F-15 fighter. The new version of the aircraft is to have short takeoff and landing capabilities. Two Pratt F-100 engines will power the aircraft. GUARDIAN SAVINGS AND LOAN ASSOCIATION of Fort Lauderdale has opened its first office at 1305 S. Military Trail in Deerfield Beach in the Meadowlands Plaza shopping center.

The new which has administrative offices at 6412 NW Fifth Way, Fort Lauderdale, will open another office in north Broward within a year. JARTRAN the Miami-based national truck and trailer company, announced that U.S. District Judge Lawrence Fisher has approved Jartran's plan of reorganization, which will lead to the company's release from Chapter 11 proceedings. Jartran has been in Chapter 11 since December 1981. J.

Kevin Murphy, chief executive officer of Jartran expects revenues of about $100 million for 1984. Jartran Inc. has 2,100 inde-pendent dearships nationwide, offering 28,000 vehicles for local and one-way rental service. TACO VIVA the Pompano Beach-based Mexican food chain, opens its 67th restaurant today in conjunction with the formal opening of the Coral Square mall in Coral Springs. Taco Viva will be in the mall's food court.

In the past two months, Taco Viva has opened food court units in malls in Louisiana, Mississippi, Alabama, South Carolina and West Virginia. Similar openings are scheduled for the next two months for malls in Georgia, Tennessee, North Carolina and Pennsylvania. The chain expects a total of 75 to 80 units by the close of the company's fiscal year May 31, 1985, according to J. Brion Foulke III, president. HERMAN'S WORLD OF SPORTING GOODS has announced it will open Total Sports, a sporting goods store in an existing building at 1685 S.

60th at U.S. 441 and Pembroke Road, Hollywood, at the end of November. The store, which will emphasize low prices and a wide assortment of equipment, is to employ 30 workers and is scheduled to be one of 30 to 50 Total Sports stores over the next five years. Herman's is the nation's largest sporting goods chain, with sales last year of $317 million. PANTRY PRIDE INC.

of Fort Lauderdale has agreed in principle to buy Adams Drug Inc. of Rhode Island for $99.9 million, an investment banker said today. A statement from Adams Tuesday announcing the agreement did not identify the buyer. But Richard W. Morsilli, managing partner in Drexel Burnham Lambert an investment banker in the transaction, identified the company as Pantry Pride.

He said the sale is subject to Pantry Pride's ability to find financing for the deal. LaBONTE DIVERSIFIED HOLDINGS INC. and The Franklin Realty Group have announced plans to build a $10 million, four-story medical office facility at a seven-acre site at the corner of Pines Boulevard and Douglas Road in Pembroke Pines. Completion of the medical center, which will contain a 24-hour emergency walkup, is scheduled for the fall of 1985. The complex is to include a diagnostic medical center on the first floor.

BUNING THE FLORIST opens its first major mall location today in the Coral Square mall in Coral Springs. It brings Buning's total number of company-owned and franchised shops to 30. Compiled by Mike Langberg, Sal Vittolino and Philip Bulman Money rates South Florida prime rate 12.75-13 Mortgage rate (fixed, 30-year) 13.5-14.75 Money-market funds (7-day average) 10.51 Money-market accounts (average) 9.78 13-week T-bills 10-23 26-week T-bills 10-35 Financial News Network show leaving Channel 51 if Economic expansion to continue Kahn By Philip Bulman i Writer KT 5 By John G. Edwards Bniaess Writer A television pioneer in all-day, financial news broadcasting will be going off the air within a few weeks, company executives announced Financial News Network (FNN) intends to stop broadcasting its program over WKID-TV 51, a Hollywood UHF station, by the end of this month or a bit later, said Chris Taylor, FNN director of affiliate relations. Oak Industries, current, owner of the station, is awaiting regulatory approval for the sale of the station to John Blair which intends to broadcast Spanish-language programs.

To see the ticker tape of stock prices and interviews with market analysts in the future, viewers must subscribe to a cable station which picks up the FNN show directly from a satellite transmission. "We've lined up quite a few cable affiliates," Taylor said. Group Cable, in fact, on Monday began carrying direct satellite broadcasts of FNN to subscribers in Boca Raton and deleted the UHF version. Another Group cable network, which serves residents from Boynton Beach to Jupiter, expects to start picking up FNN satellite transmissions before the program goes off Channel 51, said Chuck Blaine, general manager. Storer Communications' South Florida systems, which reach from southern Dade County to Hollywood, also will continue to get FNN from the satellite transmitter, a spokesman said.

No final decision on FNN programming has been made by Fort Lauderdale-based Selkirk Communications Inc. or by the American Cable System headquartered in Pompano Beach, spokesmen said. Some of the smaller cable networks may be unable to carry FNN, because they have a limited number of channels available and the federal government requires cable companies to air locally broadcast shows. In a related cost-cutting move, FNN on Oct 17 will close its South Florida bureau, which now interviews local stockbrokers and analysts on investment trends. On that date, FNN's local anchorwoman Kim Thomas will say good-by to her ence for the last time.

It will mark the end of the first television program that covered the stock market from opening to closing bell every day, said Frank Boulton, FNN's South Florida bureau chief. Boulton has been running the local show since The Market Report was founded as an independent program in 1973. Tbe Market Report made prof its by selling advertising to companies interested in reaching affluent investors, he said. But the show's income was invested in some unsuccessful ventures, and the company filed for bankruptcy court protection, Boulton said. BOCA RATON Americans can expect the current economic expansion to last at least another year, but inflation may gradually increase throughout that time, noted economist Alfred Kahn said Tuesday.

Kahn, who served as the nation's "inflation czar" during the Carter administration, made his predictions in a speech to the Interstate Natural Gas Association of America, which is holding its 40th annual convention at the Boca Raton Hotel and Club. His short-term view of the economy is very positive. As the recovery continues to moderate, some inflationary pressures in the economy will be weakened, Kahn said. "Interest rates may continue to ease," he added. A number of factors, including a slowdown in the rate of growth of the labor force and moderate wage increases, have contributed to the current low rate of inflation, Kahn Alfred Kahn said.

"There's been real progress on the inflation the cooling off was remarkable," he said. But he added that high levels of deficit spending by the federal government may stimulate the economy enough to boost inflation above its current level, which is slightly above 4 percent annually as measured by the Consumer Price Index. And the era of stagflation a combination of a weak economy and inflation will return sooner or later, Kahn said. "Only an ideologue or a fool could be confident that we've solved the problem of stagflation," he said. Stocks drop in early trading DOW JONES INDUSTRIAL AVERAGE 1,290 1,280 1,270 1,260 1,250 1 I Close-! Low ffi.l J'mfr 1,240 1 banking system.

Long-term bonds rose in response to that news. Analysts said such developments normally trigger a flight to quality among investors. Also federal funds rates, which spurted to 11.62 percent Tuesday, dropped to 10.75 percent in the early going. The Federal Reserve pumped money into the banking system Tuesday, indicating it wanted those rates at lower levels. On the trading floor.

First Chicago was delayed in opening because of an influx of orders. Bankamerica was the second most active NYSE-listed issue, off $1.12 to $17 with a block of 352.300 shares at $17. Atlantic Richfield was the most active NYSE-listed issue, unchanged at $52 following a block of 502,900 shares at $51.87. IBM was third on the list, off 32.5 cents to $121.32. Merrill Lynch was the fourth most active issue, off 12.5 cents to $27.25.

Other mined. NEW YORK The stock market headed broadly lower early today in fairly active trading. The Dow Jones industrial average was down 7.17 to 1,184.19 at 11 a.m. It skidded 7.62 to 1,191.36 Tuesday, the lowest closing level since it finished at 1,166.08 on Aug. 2 when the summer rally began.

The New York Stock Exchange index was off 0.49 to 93.89 and the price of an average share was down 17 cents. Declines led advances 873-315 among the 1,651 issues crossing the NYSE tape. First-hour Big Board volume amounted to about 25.39 million shares compared with 23.70 million in the same period Tuesday. Investors were disturbed by news that First Chicago National Bank said it will report a $70 million third-quarter loss because it has to increase reserves for bad loans. This was the latest in a series of negative news ir "lving the nation's 1,220 1,210 1,200 1.13C 1,180 AUGUST SrPTFM-T-t OCTCPFB indiistri." vi-.