The Orlando Sentinel from Orlando, Florida • 64

jrr Back to business Sentinel Star Orlando, Florida 0 0 12-D Wednesday, May 1980 Marshall Field to acquire Dvey's stores By MIKE POLLICK in the Jacksonville area and individual stores in the St. Petersburg suburb of Pinellas Park and in Clearwater. The deal is subject to writing a definitive merger document, and then having it approved by directors and shareholders of both companies. If the merger goes through, J.B. Ivey would retain its identity as a separate operating unit of Marshall Field the joint announcement said.

Ivey's Florida will "continue to be based in Winter Park, as it has been," said Stanley Zweck-Bronner, president of the Florida subsidiary. While Ivey's never announced a final plan to open a store at Colonial Plaza Mall in Orlando, it has been negotiating to do so. "As far as expansion in Colonial Plaza or anywhere else, it (the proposed merger) should only help us," Zweck-Bronner said. Each of Ivey's 1,075,023 shares of common stock would be exchanged for a share of a new Marshall Field Co. convertible preferred stock.

Each preferred share would have a fixed annual dividend of $1.50 and would be convertible into 1.75 shares of Marshall Field common stock. The conversion ratio would increase by .05 each year to 2 shares of Marshall Field common stock at the end of five years. Ivey's stock closed at a bid of 23 Tuesday, up sharply from the 18 closing bid of Monday. Ivey's balance sheet shows it is cash-rich. It has $4 5 million or $4 14 per common share.

Marshall Field with a capitalization of 10.25 million shares, has only $3.2 million in cash. In acquiring the Ivey chain, Marshall Field makes its first move into the southeast United States, but not its first move into the South. In addition to its 15 Chica go area stores, the company is presently building stores in Texas. It also owns the John Breuner a West Coast chain of home furnishings and furniture rental stores; Frederick Nelson, a 13-store chain in the Pacific Northwest; and Halle's, a nine-store chain in the Cleveland, Ohio, area. This retailing operation pulled in $904 million for Field in the year that ended Feb.

2, with $18.9 million showing on the bottom line. Ivey's, meanwhile, grossed $147 million in the same period and netted $3.5 million. utllMM WrlUt Marshall Field the premier Chicago department store chain, plans to make a sunbelt play through a proposed acquisition of B. Ivey based in Charlotte. JV.C.

The two companies said Tuesday that they agreed in principle to merge. The Ivey chain consists of 23 stores 10 in Florida and the rest in North and South Carolina. In addition to four Central Florida stores in Winter Park, Merritt Island, and Daytona Beach's Volusia Mall and Bellair Shopping Center Ivey's has four stores Dick Marlowe Business Editor I 1 "1 I- Fed approves Southeast Bank Pasco invasion Homebuilding surges ahead at Williamsburg Pipes jutting skyward pin- ft i'i -( 1 -f'i at Williamsburg, the retire 1 "IjTV ment community under de- Southeast Banking the state's largest bank holding company, has received Federal Reserve Board approval to acquire Community Bank of Pasco from Community Banks of Florida Inc. Southeast will pay about $16.6 million for Community Bank of Pasco, which operates six offices in the fast-growing Gulf Coast county just north of Tampa. The acquisition, which received state banking authority approval on April 1, will put Southeast into the Pasco County market for the first time.

"St velopment south of Orlando by builder William J. Levitt. t4 Between 7,500 and 8,000 ii houses are to be built on some 3,000 acres near Sea World east of Interstate 4. A Levitt spokesman estimated that 300 homes are current- ly under construction with 950 sold since work started on the project in late 1978. v' Approximately 600 families have moved into the The spokesman said Levitt is shooting to complete 1,000 units this rT' I year.

A very strong consumer home improvement market is keeping Scotty's Inc. sales soaring. The Winter Haven-based building supply firm Tuesday reported sales of $20.1 million for the four-week period ended April 26, up from sales of $16.9 million in the same four weeks of 1979. Scotty's, which opened a store last week on F.ast Colonial Drive and has others under construction in Altamonte Springs, Jacksonville and Neptune Beach, said strong home improvement sales "minimized" the effects of a softening of sales for new construction. For the first 43 weeks of the current fiscal year, Scotty's sales were at $201 million, up 25 percent from sales of $161 million in the 1979 period, Martin Marietta Corp.

has received an $8.9 million contract to manufacture target detectors and containers for the Navy's Sidewinder missile. The detectors will be produced at the company's Ocala plant. Aj. Airlines' free flight games send Americans into wild blue yonder Nation 's business Grumman says earnings soar like its F-14 jet From tntlnl Star Srrto Grumman Corp. says it posted a 502 percent gain in first-quarter earnings as deliveries of its supersonic F-1 4 jet fighter climbed.

Grumman, of Bethpage, NY, said it earned $6.14 million, or 51 cents a share, against $1.02 million, or 12 cents a share, a year before. Sales rose to $456 9 million from $328 8 million. The company's aerospace sales increased $89 million from last year, with F-14 revenues accounting for $71 million of the total, as it delivered six more of the aircraft than it did in the first quarter of 1979. Grumman also said its Flexible bus division recorded a "substantial operating improvement." delivering 450 buses compared with deliveries of 178 models in the first quarter a year ago. The 110-story World Trade Center could be sold lor about $1 billion in the next eight weeks, the Trump Organization said Tuesday.

The organization, headed by Donald Trump, is trying to work out a deal for the purchase of the world's third-largest buildings by the Prudential Insurance which expressed an interest in buying the center from the Port Authority of New York and New Jersey more than a year ago. "There is an interest in the possible purchase of the center by Prudential." John Barron, vice president of Trump Organization, said "I don't known if it's going to happen or not, but it is a possibility. "I think we'll know in the next eight weeks," he said, adding that the sale price could be "around billion." The center was constructed and financed and is operated by the port authority. Several New York state legislators have urged the sale of the center to a private owner so it could be put on the tax rolls. The Trump group is acting as a broker.

The Federal Home Loan Bank Board wants to make it easier for federally-chartered savings and loan associations to open branches. The board, which governs the nation's thrift institutions, passed new rules which on Jan. 1 will cut the paperwork required for establishment of a new office. The bank board estimated the simplified rules could save the industry and regulators more than $29 million over the next five years. Industry figures indicate the nation's 4,700 savings and loan associations had more than 14,000 branches in 1978, the most recent year for which figures were available.

Liggett Group which has been fighting a $50-" a-share takeover bid by the British hotel and food company Grand Metropolitan said it agreed in principle to a more valuable proposal from Standard Brands Inc Grand Metropolitan's offer is worth $415 million. At current stock market prices, the Standard Brands proposal would be worth about $527.4 million, according to calculations based on statistics provided by a Liggett official. The Montvale, N.J -based Liggett has attempted to block the Grand Metropolitan move, and last week said it was talking with another unidentified suitor "with a view toward obtaining a higher price." Liggett Monday sold its Austin, Nichols Co. li-' quor subsidiary to the French distiller Pernod Ricard i for $97.5 million, a move opposed by Grand Metropolitan. Falling silver prices have prompted price reductions of as much as 28 percent on commercial and industrial photo films and papers at Eastman Kodak Co.

Kodak said the reductions averaged 28 percent for phototypesetting papers, 14.5 percent for Ektacolor paper in sheets, and 9 5 percent for Ektachrome paper in sheets. The cuts "remove the effect of the artificially high price of silver earlier this year," a spokesman said. Silver prices have dropped from a high of $52 50 an ounce in January to under $13 now. Prices were lowered up to 10 percent for black and white papers and color and black and white film in sheets, long rolls and in non-miniature sires. Other price cuts included an average of 10 percent for graphic arts, instrumentation and drawing reproduction films and papers.

Cadillac will offer its first subcompact car as a 1982V2 model, according to the trade publication Ward's Automotive Reports The car reportedly called "petite" by insiders would be a twin of the front-wheel drive replacement for the Chevrolet Monza and Pontiac Sunbird scheduled for introduction about a year from now. The Buick and Oldsmobile divisions of GM which offered twins of the Monza until a few months ago would get the new front-wheel drive model along with Cadillac a year after Chevrolet and Pontiac. The new car, the first small car to be sold by all GM divisions, would have a 99-inch wheelbase compared with 97 inches for the Monza, 105 inches for the "X-body" line of compacts sold by all GM divisions but Cadillac, and 114 inches for Cadillac's present lineup of full-size cars. Leonard L. Farber, founder of Leonard L.

Farber which developed Orlando Fashion Square, has announced the election of Eric W. Deckinger to president of the Pompano Beach-based firm. Farber moves up to chairman of the board where he will devote more time to financial matters and to "originating new projects." Deckinger, formerly executive vice president, also will be chief operating officer. Farber will remain active in overall operations, but will be freed from daily corporate concerns. The count of shopping centers developed by Farber is now up to 34.

Deckinger's first test as chief operating officer will be supervision of the Galleria center in Fort Lauderdale. Farber said the reorganization "was brought about by the continued expansion of our company and in anticipation of even greater growth during the next decade." He said the firm has scheduled "several new regional malls" for construction in the early '80s. get 500,000 write-ins, has attracted 3.3 million so far. In the week after it unveiled the contest, it received 300,000 requests and honored them even though they came in before the official starting date. As a result United, the largest domestic carrier, says it will give out at least 20,000 free trips to anywhere it flies double the original estimate.

The deluge has brought problems for the airlines in their first experience with contests. Write-in requests have piled up unanswered, making entrants anxious. All the carriers say now they have geared up and anyone who has entered the contests properly will get a game card. scraping off the coating on the game card reveals if it is worth a free trip. United's competition was livid with the appearance of the travel game.

TWA and American tried to get state and federal regulators to block the gimmick but with no luck, and had to offer their own games through May 10, each with another 10,000 free trips. United then extended its deadline to the same date. While intended to get people to fly the airlines for a game card handed out on board, the contests also have a loophole for non-passengers. Regulations mandate a "no purchase required" provision so the airlines had to set up a mail-in system for those seeking game cards without buying a ticket. Through that loophole have poured millions of requests for free game cards.

American, United and TWA last week said they had given out 6.2 million cards on board flights but another 4.71 million requests have come by mail, far outdistancing pre-contest predictions. United, which thought it would United PrMi imowiimI NEW YORK Designed to boost airline traffic by giving paying passengers chance for a free trip, airline contests have turned into a boon for sharp consumers who are doing their winging by mail to play the games. Airline contests being run by United, American and Trans World Airlines have reached craze proportions with some 1 1 million entrants so far and millions more expected before the sweepstakes end May 10. By that time there will be more than 40,000 winners of free trips to domestic destinations of their choice. "It's a big splash but the airlines really have very little to lose," said airline analyst Michael Derchin of the investment firm of Oppenhei-mer Co.

"Contests divert attention from the fact that air fares have gone up 40 percent in a year." United was the first big carrier to launch a contest offering free travel as prizes. It figured it would hand out 3.25 million game cards during April, of which 10,000 would be winners. No skill is involved; just TWA also had a foul-up when it announced that cards would be Jerry J. Chicone a partner in Chicone Groves, and who also is active in downtown Orlando real estate, has been elected to the board of trustees of the National Federation of Independent Business a nonprofit, nonpartisan organization of small, independent business people. Chicone, past chairman of the Downtown Development Board and past president of the Orlando Jaycees, is a director of First Federal Savings Loan Association and is a member of the Orlando Central Business District and the Florida Citrus Showcase.

He has served on the-NFIB board of di-, rectors for several years. available free at its ticket counters as well as by mail. Visions of around-the-block lines waiting for cards made the carrier change its mind and it said the walk-in an nouncement "was in error." Research group to discuss travel trends Tourism Dixie Kasper The state Division of Tourism, for example, has won several first-place awards in the Miami and state "Addy Awards" for its 30-second commercial which, amid a backdrop of sandy beaches, sunsets and sailboats, tells potential visitors, "When you need it bad, we've got it good." Now, the commercial will go on to nationwide competition. Closer to home, Cypress Gardens has come up with a new twist to the thrill ride scene and is getting a fair amount of feedback from visitors on its new billboard which shows a boy riding on a turtle "The World's Slowest Ride." cupancy in the metropolitan Orlando area was down slightly for the second 10 days in April, from 95.7 percent for the first 10 days to 84 percent, according to the economic research department at the Orlando Area Chamber of Commerce. But the average occupancy rate for April 1-20 was up from 87.1 percent in 1979 to 89.8 percent this year The number of people getting on and off planes at Orlando International Airport is also on the upswing.

According to preliminary figures, 363,902 passengers boarded planes in March, up from 325,614 for the same period last year. And 380,396 passengers got off planes, compared to 335,652 in 1979. 8:30 a.m. to 4 p.m. the following day.

The purpose of the semiannual meeting is to bring together all segments of the state's tourism industry "to exchange research information, spot new travel trends, boost marketing results and promote industry unity." International visitors and emerging travel trends will be discussed at the spring seminar of the Florida Chapter of the Travel Research Association. The meeting is scheduled for May 15 and 16 at the Tampa Airport Inn. The seminar's list of speakers includes Robert Whitley, director, U.S. Tour Operators Association; Sidney M. "Bo" Swope vice president, Gray-line of Orlando; Richard D.

Weaver, public relations manager, Sea World' and John F. Gillooly, properties manager, Greater Orlando Aviation Authority. Also scheduled to speak are U.S. Rep. Bill Nelson and James Harvey, a deputy director in the governor's energy office.

They are expected to address such topics as sources of international and domestic marketing information, applying that information to marketing efforts and weaknesses in current information sources. Discussion on the coming year's international and domestic travel outlook is also on the agenda. A reception will be held the night of May 15. The seminar is scheduled for The search is on for a permanent director of the Dick Pope, Sr. Institute for Tourism Studies at the University of Central Florida.

At an April 24 meeting, the advisory board agreed to formally begin looking for a director who would be responsible for developing the institute's policies, overseeing research and service activities, generating community and industry support, and locating and developing research and grant opportunities. The National Tour Brokers Association convention in January and February's Midland Travel Extravaganza were attendance pacesetters for the Tupperware Convention Center's first quarter of 1980. The NTBA meeting drew 4,500 and the travel show attracted 15,000 people. Facts and figures Hotelmotel oc Sid Levin, Florida secretary of commerce, warned tourism industry representatives at Tourism Day in Tallahassee April 23 that the industry, in order to stay No. 1, is going to have to be more creative and more aggressive to successfully meet the test of the '80s.

It appears, though, that some have already donned the ol' creative thinking cap and their efforts are paying off. i mm m1. 11.