The Montgomery Advertiser from Montgomery, Alabama • 12

12A Wednesday, July 10, 1996 Montgomery Advertiser I Nancy King Dennis, Metro editor, 261-1520 Colonial Bank acquires offices in Dothan, Florida, Georgia By Richard Thompson I ADVERTISER STAFF WRITER stitutions in order to expand our community banking management approach to the higher growth markets in the Southeast." Combined, he said, the acquisitions add $510 million in assets to Colonial BancGroup and establish a solid base to build on in these markets. Colonial BancGroup has 126 full service offices in Alabama, Florida, Georgia and Tennessee. en locations to Colonial's existing three locations in the greater northern Atlanta area. The combination of Commercial and Colonial gives Colonial a strong base in Atlanta, with $464 million is assets, he said. Robert E.

Lowder, Colonial's chairman, chief executive officer and president, said through a news release: "We have worked hard to complete the mergers of these in sets, in a stock transaction valued around $50 million. Southern Bank is the largest independent bank in the rapidly growing three-county central Florida market, Mr. Oakley said. Using Orlando as a the bank plans to springboard into other areas of the state, he said. Mr.

Oakley said the acquisition of Commercial Bank of Georgia for about $46 million in stock adds sev- Central Florida in Orlando and Commercial Bank of Georgia in Atlanta. Flake Oakley, the multibank holding company's chief financial officer, said Colonial paid about $5.2 million in a stock-cash transaction for Dothan Federal. Dothan Federal has $45 million in assets, he said. Mr. Oakley said the acquisition of Dothan Federal adds the last major piece of Colonial's efforts to increase its presence in south Alabama.

Mr. Oakley said the Southern Bank acquisition marks Colonial's entrance into the city of Orlando as well as the banking operation's initial presence in Florida. Colonial acquired Southern Bank, which has $232 million in as- Montgomery-based Colonial BancGroup has completed its ac- i qjuisition of three banks, increasing the group's total assets to more than $4.5 billion. In three separate transactions, Colonial acquired Dothan Federal Savings Bank, Southern Bank of (BO til Check PRfl a r. -J been known to prevent the car from starting and in rare cases can cause an engine fire.

The recall includes certain 1996 Pontiac Bonneville sedans, Oldsmobile Ninety-Eight and Eighty-Eight luxury cars, Buick Park Avenue, LeSabre, Riviera and Regal models and some 1997 LeSabre sedans that have 3.8-liter engines. The models were built before prior to the problem being corrected at the assembly line, GM said. The Wall Street Journal reported the recall cost would be about $10 million, mainly in dealership labor. Car owners will be notified by mail to go to their dealers for free repairs. Johnson said the work should take less than an hour.

2 Toyota, Japan's largest automaker, said its recall involved 12,000 Corollas exported to Hong Kong, Singapore, Brunei and Macao. The recall is expected to cost about $40 million. In the cars being recalled, the driver is able to shift out of park without stepping on the brake, possibly causing the steering-wheel lock to malfunction, Toyota said. The Associated Press and Gannett News Service contributed to this report diseases. The bills also differ in how they would pay for the tax cuts.

The House version would phase out, over 10 years, the Section 936 fix break for factories in Puerto Rico and other U.S. territories. The Senate bill would reduce the credit but allows it to continue indefinitely. The Senate bill, but not the House's, would impose what amounts to an exit tax on billionaires who renounce their citizenship to avoid U.S. taxes.

Both bills would end a tax break for financial institutions lending to employee stock ownership plans. Market in brief July 9, 1996 DOW (Industrials) NYSE Jonathan Hayward, vice president of Stores Automated Systems Inc. in Bristol, demonstrates a self check-out grocery store machine recently. RiteAid, a drug store chain with 2,771 stores in 21 states, is currently testing the system at two of its Philadelphia stores. Tax bill would aid small businesses, expand IRAs It out ASSOCIATED PRESS Senate's package is broader $11 billion over eight years, compared with the House's $7 billion.

Before enactment, differences would have to be resolved by negotiators from the two chambers. The Senate measure, but not the House's, would expand Individual Retirement Accounts by allowing couples to make tax-deductible contributions of up to $4,000 a year, even if one spouse does not work outside the home. The current limit for such single-income couples is $2,250. Both bills would help small businesses by liberalizing the limit on ing to get area farmers interested in raising chickens for the plant. Escambia County farmers are already producing corn and other grains that often end up as feed for poultry plants elsewhere.

Having farmers willing to raise chickens is important because the plant will handle 72 million broilers annually. Foreign investment up again in 1995 WASHINGTON Foreigners poured $54.4 billion into the United States last year in direct investments to buy business operations. It marked the third straight year foreign direct investment has increased. In its annual look at foreign investment, the Commerce Department said direct spending by foreigners to acquire or establish U.S. businesses climbed 19.2 percent from a revised 1994 level of $45.6 billion.

German companies led the way in 1995. German investors recorded more than a fourfold increase, K7U IT IT Toyota recall: Toyota officials announced a recall of cars sold in Asia for faulty transmissions FROM WIRE REPORTS DETROIT General Motors will recall 292,860 cars because their engines may not start and in rare cases can even catch fire, the carmaker said Tuesday. GM plans to reprogram on-board computers controlling engines on the 1996 and 1997 cars. Complaints from consumers led GM to recall the models because of a glitch that may cause a backfiring engine to break the intake manifold, prevent the car from starting and lead to engine fires in extreme situations. In another recall, Toyota Motor Corp.

said Tuesday it would recall 257,000 Corolla and Sprinter cars with faulty transmissions that were sold in Asia. The GM problem has resulted in no accidents or injuries, spokesman Kyle Johnson said. However, the recall notice tells drivers not to start the cars with the hood open. immediate equipment writeoffs from $17,500 to $25,000 by 2003 and by permitting them to offer employees a new type of simple pension plan. About 36 million employees at firms with fewer than 100 workers would be able to contribute up to $6,000 or 3 percent of salary, whichever is lower, into Individual Retirement Accounts or 401(k)s.

Both bills also would retroactively renew the $5,250 exemption for employer-paid tuition through the end of this. year. About 800,000 Americans would be able to get refunds for 1995 by filing amended pushing that country's total to $14.2 billion. While the overall investment total marked the third straight annual gain, in percentage terms it was far below the huge jumps of 74 percent in 1994 and 71 percent in 1993. Still, the advance pushed total investment for the year to the highest level since 1990, when foreigners spent $65.9 billion acquiring U.S.

operations. The all-time high for foreign investment was $72.7 billion, set in 1988. Falling bond rate spurs stock buying NEW YORK Heartened by falling bond market interest rates, stock investors resumed buying Tuesday, looking for bargains among shares that had been beaten down by four straight days of losses. Some encouraging second-quarter earnings reports helped support the market, analysts said. The Dow Jones industrial average gained 31.03 to 5,581.86.

In the four previous sessions, Wall National Market Tuesday's volume 486,897,400 shares Most Active Stocks IS to Compass taps new president By Richard Thompson ADVERTISER STAFF WRITER Massachusetts native George J. Hall has been bank teller, a branch manager, a consumer lender and a commercial lender during his 13-year career, to name a few positions. Now he has a new one: president of Compass Bank's Montgomery operations. Compass Bank has eight branches in Montgomery. The Birmingham-based subsidiary of Compass Bancshares a $10.2 billion bank holding company, made the announcement Tuesday.

Mr. Hall has 13 years of banking and management ex- Hall perience. He joins the bank from First New Hampshire Bank, where he was senior vice president and regional manager of that bank's Southern region. The University of Connecticut graduate's career began with Wachovia Bank and Trust Co. in North Carolina his first job after a three-year stint in the U.S.

Army. At Wachovia, Mr. Hall said he worked in retail and commercial banking before joining First New Hampshire in 1990 as vice president and group chief. Mr. Hall's diverse past has enabled him to adjust to his new position.

"I feel comfortable," said Mr. Hall, who is married with three children. He spent some time Tuesday searching for a house as his family prepares to move from New Hampshire. Mr. Hall said Compass already has a large corporate lending presence in Montgomery.

One of his goals will be to increase the bank's small business and retail banking products and services, he said. In turn, that will help make Compass more of a full provider of banking services in the area, he said. Winn-Dixie increases dividend Winn-Dixie Stores the nation's fifth-largest retail food chain, recently increased its cash dividends for the 53rd consecutive year. The Jacksonville, chain said its new dividend rate of 8 cents per share per month represents a 6.7 percent increase over the previous rate, as adjusted to account for a 2-for-l stock split in November 1995. The company's board declared a regular monthly dividend of 8 cents per share on the common stock, payable Aug.

1, Sept. 3 and Oct. 1 to shareholders of record at the close of business July 15, Aug. 12 and Sept. 16.

Atmore in running for poultry plant BIRMINGHAM Atmore is one of three finalists for a massive poultry processing plant that could 654.75 2.21 4196 519 6196 1,1 High Low General Motors is recalling some models for a defect that might cause cars to backfire and sometimes lead to engine fires. GM says it will notify owners by mail. 1996 models (some vehicles) Pontiac Bonneville sedans Oldsmobile Ninety-eight Oldsmobile Eighty-eight Buick Park Avenue Buick LeSabre Buick Riviera Buick Regal 1997 Buick LeSabre (some models with 3.8-liter engines) Total recalled: Almost 300,000 Cost to GM: About $10 million Source: AP i- i KNIGHT-RIDDER TRIBUNE Johnson said the engine problem causes backfiring and could break the intake manifold. It has also returns. The House bill covers graduate-level tuition in .1995 but not in 1996, but the Senate bill covers it for both years.

Both versions also would renew a tax credit for companies offering summer jobs to poor young people and hiring welfare recipients and other disadvantaged applicants. And they would liberalize the rules for Subchapter corporations, a popular method of organizing family-owned businesses. The Senate version would temporarily renew credits for research spending by businesses and for the development of drugs to treat rare Street's best-known indicator tumbled 179.15 points, or 3 percent. Advancing issues outnumbered decliners by about 4 to 3 on the New York Stock Exchange, where volume totaled 379.20 million shares as of 3 p.m., up from 366.10 million on Monday. The market's weakness in recent days has been spurred by fears that the economy was speeding ahead too fast and that the Federal Reserve Board was about to boost consumer and business lending rates to slow it down as a way to forestall a resurgence in inflation.

Stock traders took their cues from the Treasury bond market, where interest rates spiked upward Friday after a June employment report showed much stronger job growth than economists predicted. Increased lending rates generally hurt stocks because of expectations that consumers will spend less and individual and corporate borrowing will cost more, resulting in lower corporate profits. From staff and wire reports 5581.86 31.03 4196 5196 67196 High Low THE ASSOCIATED PRESS WASHINGTON The winners in a Senate tax bill attached to the minimum-wage increase include small businesses, couples where one spouse does not work outside the home and employees receiving company-paid tuition. Airline travelers, millionaires who renounce their citizenship and manufacturers in Puerto Rico are among the losers. Many of the Senate provisions, adopted Tuesday, are similar to the House bill passed in May.

But the create 1,400 to 2,000 jobs, an extension agent said. Olin "Buck" Farrior, extension agent and project coordinator for Escambia County, wouldn't name the poultry company, but he said the company has narrowed the list of possible sites for the $70 million plant to three locations, including Atmore. The company approached Alabama Power economic development office in search of a potential site for the massive plant. Alabama Power and the Alabama Development Office have been working at luring the poultry plant to Atmore. "A decision will come any day now," Alabama Power spokesman Dave Rickey said.

Mr. Rickey said the company has been looking at sites in other states. Mr. Farrior said the new plant is needed to meet the growing demand for poultry in the Far East. It would include a feed mill, hatchery, processing plant and cooking plant.

Mr. Farrior said he has been try July 9, 1996 500 AMEX 5 MidCap NASDAQ NYSE Diary Advances: 1,376 Declines: 1,036 Unchanged: 774 Composite volume: 457,933,700 1995 avg. comp. 422,909,640 AP July 9, 1996' MARKET HIGHLIGHTS 656.60J Highest close 652 May 24, 19 p78-51 5,622.491 Highest close I g--Bnn 1 5,540.121 My n-1 Tuesday's volums 379,430,000 shares Most Active Stocks Tuesday's volume 22,404,000 shares Most Active Stocks 6150 5975 5800 5625 5450' 5275 5100 7196 8196 VolurrwBM AXtod 12.011,400 1SW S7V) 4494400 73 4.461.2O0 53 4,207400 17 700. 680 660 640 620 600 7196 6196 Nam volutin Lait Ch.

Noma Volum Lait Ch. LSI Logic l.WSOO 1WI -1 Unllob 2.408.100 1 3-14 HMrtottPk 4,303,600 I7V -Hit VlOcomS 3tVt I'Jk Uar Corp 4.I73.K0 IVOxCp 1,040,400 154 FordWotor 3.471.400 KV PLC Sviteml 782,800 11V) 1V4 Motorola 3,421,500 UVl Wt Viacom 734,300 35V4 V. LorolSpocotl 3,24,600 l2' IPDR. 701,200 45IA3-1 UtdHltnCort 4SV -lit CrnyennoSoft tm.OOO 17Vi -IVt MicronTfCh 1.039,500 23W Vi YwA II Vt Vt P0MICO I Mlr.lOO Vl EchoBoy 497,400 1074 Vt marl IH7M0 im V) AmtoxCp 9,00 7 11 1 3-14 CM. yt Vl VI -IVt 9-10 Vt 2 IH Nam Macrmd ClfCOl Intel SunMIc I TllCmA 1 Imalrn MCI AmorOns Atmtll Symntc 3,943,0005 29-32 3,763,000 1,730.000 3434.900 2rt 3J4JJK0 10.