The Tampa Tribune from Tampa, Florida • 41

TBO.COtn THE TAMPA TRIBUNE WEDNESDAY. AUGUST 14, 2002 MONEYSENSE 9 THEATER THRILL Digital Lightwave CEO Resigns For 2nd Time "I don't think it's going to drive the its certainly going to enhance the experience." TIM O'BRIEN On the new theater nology to create a family fun-type thing that you don't find everywhere," O'Brien said. "More people will probably see that every year than will ride la new roller coaster." Not everybody likes to ride the big, looping roller coasters, he said they might actually drive some customers away. More theme parks are installing family-oriented attractions, he said. Busch Gardens' most recent attraction was Rhino Ralley, which opened in May 2001.

Reporter Cherie Jacobs can be reached at (813) 259-7668. Continued From Page 1 One amusement park expert said it's a good move. "I don't think it's going to drive the gate, like a roller coaster would, but it's certainly going to enhance the experience once someone gets in the park," said Tim O'Brien, senior editor of Amusement Business, a weekly trade publication for the theme park industry. There are fewer than 10 4-D theaters in the United States, O'Brien said, and many of them are in Florida. Two Disney parks and Universal Studios each have 4-D theaters, such as "A Bug's Life." Busch Gardens" park in Williamsburg, has a similar theater.

"They're using high tech- 1 Stepping down again "frees up Bryan's time," spokesman Paul Harris said. "He'll be focusing on strategy, direction, mergers and acquisitions." Zwan is Digital Lightwave's largest shareholder, with some 60 percent of the shares. Digital Lightwave makes diagnostic equipment for the fiber-optic lines used in telecommunications networks. The company, like its competitors, has performed poorly since 2001 because its clients telecommunications companies such as Lucent Technologies and Qwest Communications have cut their spending. Zwan's announcement wasn't the only news from Digital Lightwave on Tuesday.

The company also said it would reorganize into four divisions, reflecting the company's four main product lines. The reorganization is a major move because it diversifies the company's offerings, Harris said. Reporter Cherie Jacobs can be reached at (813) 259-7668. Reporter Dave Simanoff can be reachedat (813) 259-7762. FOUNDER WILL STAYAS CHAIRMAN OF BOARD By CHERIE JACOBS and DAVE SIMANOFF I 1, TheTampaTribune CLEARWATER Bryan Zwan can add the word "former" to hisTdsume" again.

The founder of Clearwater-based Digital Lightwave resigned as his company's president and chief executive officer Tuesday. He'll remain chairman of the board of directors. Jim Green; the company's chief operating officer, takes over as president and CEO. The news sounds familiar because it happened before. In 1999, two years after Digital Lightwave moved from California to Clearwater and went public, Zwan stepped down as president, CEO and chairman.

Company officials said Zwan wanted to spend more time on research. They bought in Gerry Chastelet as president and CEO to drive sales and boost investors' confidence. Zwan returned to Digital Lightwave in January, when Chastelet left the company. Tribune photo by JASON BEHNKEN Busch Gardens officials say moving the dolphins makes sense because of SeaWorld's expertise with marine mammals. FALLING PRICES DEFLATION VS.

INFLATION Some consumer categories tliat have experienced the largest price decreases and increases: DEFLATION PastYear Past Yean Personal computers -263 Gasoline 7.4 Televisions Ship fares Cellular telephone services Toys Coffee Apparel Long-distance telephone Airline fare 4.0 INFLATION PastYear Past) Years Cigarettes 8.8 12.1 Hospital services 7.5 6.4 Motor vehicle insurance 7.0 3.2 Veterinarian service 63 65 College tuition 6.1 43 Prescription drugs 53 5.2 Admissiontosportingevents 53 6.0 Child care and nursery school 5.1 5.2 Cable television 4.7 45 Rent of primary residence 4.5 3.9 SEEKING AN ADVANTAGE BATTERED AIRLINES American Airlines said it will cut 7,000 jobs by March and retire 74 Fokker aircraft to boost profits. Red ink Quarterly profits, losses (In millions) 200 0 Note: Excludes most volatile food and energy categories SE7TTTT -200 4 I IP -600 -800 2000 2001 2002 vey by the National Association for Business Economics, fewer than 1 in 10 thought deflation was likely in the next two years. Still, "one man's bargain is another man's pain," says Paul McCulley, an economist with giant California bond-fund manager Pacific Investment Management best-known as Pimco. "The risk of deflation is real." That risk would become greater if frothy home prices in the United States began falling. Some economists and real estate experts worry housing prices have risen too fast and could fall.

The other key to watch in the United States is the gargantuan service industry. So far, prices here are largely continuing to climb. The cost of hospital service, for example, shot up 7.8 percent during the past year because of surging demand for medical services. Education costs, meanwhile, rose 5.9 percent. "When education costs and hospital costs start falling then talk to me about deflation," says James Smith, professor at the Kenan-Flagler School of Business at the University of North Carolina at Chapel Hill.

The result is many households are living through an odd mix of price increases and decreases. New car prices, after adjustments for improvements in quality, are as low today as they were in 1994, thanks in part to 0 percent finance deals. But the cost of insuring that new car is up 7 percent from a year ago. Television prices have collapsed, but hook your new flat screen up to cable TV, and the service will cost 5 percent more today than it did a year earlier. Prices for sporting goods are down, but if you want to attend a sporting Plunging share prices Weekly stock price Jan.

3, 2000 Continued From Page 1 1930s. In June's report, clothing prices fell 2.7 percent from a year earlier because of inexpensive imports from places such as China and Bangladesh. The result An average dress costs about as much today as it did in 1984, even though overall prices have risen 73 percent in that period. Prices of men's shirts, meanwhile, cost nearly 7 percent less than they did a year ago. For many consumers, such deflation is welcome news.

Shoppers are benefiting from lower prices on a variety of goods and services. PC prices tumbled 28.9 percent, in part because of worldwide overcapacity and slumping demand for high-tech products. Even wine prices edged down 0.2 percent as imported wines from Australia, New Zealand and Chile flooded into the U.S. market. So Where's The Downside? But if deflation spreads into other segments of the economy, it could turn into a major problem.

Both the Great Depression of the 1930s and Japan's economic slump since 1990 were accompanied by severe and widespread deflation. Falling prices savaged corporate profits, forcing compa-nies to fire workers and squeeze salaries. In the case of Japan, sharply falling real estate prices have crippled the banking system and hurt household confidence and consumer spending. No mainstream economists are predicting a replay of the 1930s. In fact, in a recent sur $63.69 I AUg.

13 20 rfn 2000 2001 2002 Chart by Knight RIdderTrlbune; Sources: American Airlines, Yahoo! Workers in industries beset by falling prices already are feeling the pain. Erin Nelson, a Galesburg, 111., employee at a Maytag refrigerator plant, experienced the downsides of deflation first hand when she was laid off in early August. This is normally peak season at the plant, but the company just laid off 300 workers in an effort to cut costs. One of Maytag's problems: falling prices. Appliance prices have fallen at a 1.7 percent annual rate during the past three years, leaving Maytag quick at the trigger when it sees signs of waning demand.

Nelson, who has two children ages 13 and 15 and a fiance who was laid off, too, says she is going to start looking for a job in the health care sector, where there are more opportunities and prices happen to be rising. In the meantime, however, she says, "I won't be going out and shopping." event you've had to fork over 6 percent more each year for the past three years running. Not all service-sector prices are rising. Air fares, hotel rates, car-rental rates and cellular telephone service are all experiencing drops. Delta Air Lines is cutting some round-trip overseas routes by as much as $6,000.

Trans-Atlantic trips on the Concorde have been cut more than $3,000. Fears Reborn Fears of an American spell of deflation first emerged late last year when the Consumer Price Index briefly dipped. Those fears dissipated as an economic recovery appeared to take hold. Now, as the recovery falters and stock market prices swoon, deflation worries are creeping back. One of the recent best sellers at Barnes Noble and Amazon.com, for instance, is a gloom-and-doom book called, "Conquer the Crash: You Can Survive and Prosper in a Deflationary Depression." Continued From Page 1 The biggest problem has been losing revenue from traditionally high-paying business travelers.

They are buying lees expensive tickets and limiting trips until the economy rebounds. Security-related hassles since Sept. 11 have been another turnoff. Domestic passenger traffic remains 8 percent below a year ago. The biggest carriers have lured leisure passengers with lower priced fares, but that isn't a workable strategy because their costs of doing business are much higher than successful discount airlines such as Southwest and JetBlue.

With debts mounting and revenue shrinking, US Airways had little choice but to reorganize itself under the protection of bankruptcy court a move already made by Midway Airlines and Vanguard Airlines. US was essentially thrust into Chapter 1 1 on Sunday after the federal government refused an immediate bailout in the form of a $900 million loan guarantee, US Airways hopes to emerge bankruptcy court a healthier, if smaller, airline with fewer labor troubles and a better cash position. At that point, the government has signaled it would support the Arlington, carrier's loans. -American Airlines, on the 'other hand, has enough cash to avbid Chapter 11 and is trying the problem by trim-Jning the size of its work force and fleet. The Fort Worth, airline also is trying to "make its hub-and-spoke network more efficient by smoothing out peaks and valleys in the flight schedule at its Dallas hub.

Spreading flights more evenly, though, means passengers waiting for connections will have to spend more time at the airport waiting for their next plane to arrive. Michael Boyd, a Denver-based consultant, said Ameri- can's cost-cutting strategy could backfire if the inconvenience turns off customers. "What airlines have to do is not just get efficiencies up. They also have to get more bodies on the airplanes," Boyd said. The customers likely to be affected by the capacity reductions announced by American and the service cutbacks expected from US Airways will be travelers flying into hubs from smaller cities, said Randy Petersen, the editor of InsideFlyer magazine.

"It'll just be less convenient for small-town America," Petersen said, as major carriers reduce the number of flights from so-called secondary markets. The goal at American and other major carriers is to reduce operating costs enough to justify the lower fares that are needed to attract increasingly frugal travelers. A Continental Airlines spokesman said Tuesday that "some tweaking" of its operations could be announced within a few weeks. "We're looking at what do customers want and what are they willing to pay for," the spokesman said. INTEREST RATES omist for PNC Financial Services Group, described the Fed decision as "prudent" because, like the Federal Open Market Committee, he said the economy is doing better now than it did in the spring quarter when it grew at only a 1.1 percent annual rate after a strong 5 percent annual growth rate in the first three months of the year.

"It's not exactly a spurt in the economy, but some of the weakness we have seen will not continue, and there will likely be a winding down in the corporate scandals," Hoffman said. tilt toward weakness was a hollow one," said economist Robert DiClemente of Salomon Smith Barney in New York. "I am not sure what to make of the language because of the background of optimism. I am not satisfied that the current level of rates will be sufficient." The markets had a negative reaction. The Dow Jones industrial average on Tuesday closed at 8,482.39, down 206.50 points.

The Nasdaq composite index ended off 37.56 points, at 1,269.28. Stuart Hoffman, chief econ anced with the risk that inflation might rise. This shift in the bias in the committee's thinking doesn't necessarily mean the 1.75 percent target will be lowered at the next committee meeting Sept 24. What happens then will depend primarily on how the economy performs between now and then. Some Wall Street analysts were disappointed the committee's language suggested the officials don't expect to reduce rates and that the economy will gather momentum.

"From my viewpoint, the Continued From Page 1 accounting and other scandals not necessarily at an end, the Federal Open Market Committee concluded the risks facing the economy "are weighted mainly toward conditions that may generate economic weakness." At its past several meetings, the committee had said the risk of economic weakness was bal Stock Mi yii Cam Oaj. I IKdi Mi tWCkaoCha. Jka Ml 31 Caa Oa Hock 0t. VU Oca Qie, NASDAQ STOCK MARKET tM OatDt Tumm L300 -II 9kck Hi am 0 Tttiar OS Ml Vat CamOaj, tMvrJt U) 14917 JrWWw JJ4 Wtdarcca) L77t -J9 Wfl LU7 a TfartftAD TrSum Tnffy Twaum 2300 12949 -40 L99 -41 U9 -47 5rpConti Vafnlon 71 24 IVMjaji Visfrfnafl Varp 444 25 Continued from Pag 5 Stock Mi vatm 14 aaMaa LOO 24 Varvx Vawctct Vara) Vanaom Varan LU0 579 -71 Ua.ll a 20 -ill IU0 -71 168 M7 I 1 UMMlda J7 UtCMGal 75 19 UtdCmmy JO 34 UFMC LM6 4.5 UfrraC .72 10 UNWU X9 UntrMal UMOnlnA UMPn lUMat UtnvcK SI Mat VH OOM 0 LLVtt -It LVD -M .00 WM 1.1S UM L25J4 400 -10 TUCtXHU TacoCp Tevnao TetraTct Ttva TwRegs VoaMxIa 70) i JObU 979 3 1 0) UJO 2J0 77 L477 -M 499i8 L960 74 2.73 iJ2 L37J6 155 Li oo -a 591 -SI L70 01 23 00 .93 L4J9 -JO 71 i3 J3t LL2S TJ WMfn .71 2.1 a) .72 14 Wwnara .09 4 WaabarC 941 44 Wntncpn 441 44 msri 71 14 WCorp I Jt 24 UMBFn USClWt IE IK ITmwwt Jwkc1 TmSyA Twwpnme Tmskn Tlnwwtl tfmpAm Tmswtc J6LaM TnStrt TharaSeno LU 153 272 -m 11555 -SI UJO 09 2 00 I 1V9 Vitna VrirKf IU9 AW9i47 04 I4IS -49 1J9 -47 11674 -73 242 -49 U5 En XOMA Xicor .19 A VMcn 1514 49a 94 SJI -41 12565 -JS L0.42 -Ai 20J5 Ai 13520 L70 5S .95 11910 -JO LI0S6 -J) 6)0 491 -a 1750 2.95 449 174 83 L274I -Ul LI2J0 -46 1175 -95 675 -70 L60t -74 LU2 -49 L900 -70 Llll -4f 9.50 .10 U724 .1.11 L19 55 05 12401 4.06 L4I9 -44 14.09 Wknnt) 49 27 Sttc Ml Ytt OMO SwrRArm 995 -42 Swtthbrd 250 -it Sycarm UM -M Sylvan 1271 iSyMun uz -3) Symantcl L4t Syiwtrtc L3.31 4.11 SymyKT U3 -JI SyyvwPrtlt SJ0 -10 SynavKall UB tSymvant LU 2 Syncot 11151 Symow tll -1" SynnvH 660 Synfcty U51 04 SvnW SymroCpn 1175 SvwH WO --51 sync UA-LB TMOiv JI 1050 73 VfnnrSyl Tnolrt L7JW 14.11 Xool r1 Wfflaafl Wnttiai 4) II Wfttrt wrvta IJ41 JPSkj IT ThfteRtV I It 80 L13.ll 77 1459 -49 11)70 4 45 L9.1S -44 114 IS .45 U6 5S -47 2175 L16M U1JS -171 1461 JJ 11669 -45 U7J9 475 1961 Ol LUI1 442 LN95 -44 119 -41 150 441 14 00 459 177 2795 474 LI 42 -71 111(15 1719 -79 L1IS6 -41 144 -49 11742 409 1144 454 23)0 -45 La -76 1471 -44 299 13205 -171 1 00 -42 I4.lt -Jt L4J9 -49 15.91 -JI 11575 -JS UiM 4J9 14104 -7t 11)91 -49 1753 444 L640 -43 III -41 L33I4 JI L2271 -U7 115 -49 lit) -a 7Jt 4a 11313 -J7 950 L2040 L7T -ii 1.61 -79 L574 -41 1469 -4) LU.49 -179 U9.I9 49 -49 110.70 42 -44 11961 -74 660 1447 -41 1152 02 L64I 2.70 445 L745 1479 -43 UJ9 I7J9 75 475 L9.9I -J9 1493 -47 TTtTm TTMTdl TVIAW TltoTwo Tatuvmr Tandy TanTedin TanOKtnc Tarqtent TaroPti Tafraqon L4St TtafTfnpt Twpfnt JO TtvnSt tcWyUS TfrtTVH TpchTwffl Thjhinji TpamvB 179 TttumA Troaf Tipe TKmSyl T2 Tifsfi TrtO 22 51 -139 Trtcnw U79 -J9 tnHW 1400 TnapToil L490 Trim 112 -J2 Jrttm) JH 31 17 i list am UtrJSun UtrHhfp UldQM UMyRop Umamr UmCMpa UnvCic Unrvfor UnvStain UPrnrOnIS Vntm UnXM Urramjix UtahMed II U0J7 -M 9M .14 US tiO W.I Jt oi 130 1500 'Jt 5 IS MM) -JO 2.1 5 (J 03 3M JS Ir as vti 15.30 1.00 -JJ2 0.67 or 7.9 44 50 147.64 uu 19 US I0J4 74 14107 L4367 JI LSJ0 -JO 2J3 -IS 75 11412 Ut -24 3J9 -m 11191 12170 -50 MO ..05 t.77 -JI9 LJ0 9I 1646 -A 11600 -73 L49 -99 1615 -77 L9J0 449 J75 1,63 .03 Ii3ji -it 11659 .40 117 40 -49 L374 t.tl L2679 1)06 05 1350 .39 14 75 149) -JO L29.93 US Oncol ITSPMTh ISUwrel U5Vrn USXprtt usAm UWTrt USANAH9 UVrwjW UT'Wrld invrcm UhKum uncom wtf lei utrtmSoft Urrak ijyp umpquan UniM UrwnnA UnFnC9 Ik OMCh StolKXMl 562 sumnm JS 111." -31 StnrNatwri 11 77 Strata! 5.50 4.10 SWM MS StrtU Mae out 4 Straw (l 9-55 Strayw 29 153.33 -JO SuffoftactttfU 0135 v. Sum 990 -45 SmnVTX 40 2145 -Jn SunBrP a 34 2275 -70 SunCaop( 10 SunMicro U90 IS SnrTtan 149 til Summon M5 Supta 11 SupartoH 12.79 Suocoml 3 Supfnd 49 JJ II' ISuprHF.

11040 SunnortSIt 2 suwdplm uo a -in isurtum U4 SurUork ill -I Suva 49 Ul SwiMtcti uk li nfi SMfilm i 1179 LUt 4J9 14.71 -47 170 -JI 212 -JI 1413 441 11719 -41 L44 U177 4 27 LI949 U3.5I -49 19 OS L2999 15143 472 5.09 -49 1.14 -49 LS154 2 54 -47 131 -I4t 2 05 4 01 17-52 -71 59 -41 11219 13 L6.17 Jt 1770 Vmimr Vanot WMltll Tnmeris JWo IKOt WO 40 JOmlJ 174 53 .142 WtSfnd LU4I 59 WICrm 47 Wa JTtU U440 -193 TW5fS 79 ,7 126717 472 WVSFri44 4415.3g-4 Wart 11 KISJbS jOl5.i8 Warmk .40 15 26D9 T17 a 1324 UM 04 115 62 -45 11545 JS 1475 SjOO LM 9.75 ..79 L3.30 L10 9S -M iwvai WWnyHilJJ 14 W'WXHS wamwi 14 Wtsnsrj) Wvwlr) Vm fNM VouM Tranans 2rra ZrCorp 2a linnnrv 49 2r1C0 Irmm inn 3-Domrtl TcWmsl TlerTpttl TrfrtninrB Mf t.9 TtTWrSf J9 TWTlN TlppngPfl livofnen Tc4kjnla Joom TofcnOfl Ltt9 174 Ot -M 59 All 1695 -7J L57I v41 5.10 4.15 129.04 54 TrfPattfl TnpaltiTO TnpoS iTntJuW TrwrSol tVkrSat Vianl IM 8-j TO Woo JO 1.1 U1 fSI 1.72 3J 5700-75 lai Trrjyfncl LI2J1 -M WmaCffl Winlnrsti J2 4 TK icwn tiofU VTrtanOap rCo 25.75 WaslajHI WWJ ww WtfPCrw Wtrrorl 19 79 2.1 17 )9 -44 421 17 174 79 7-9 11961 14 L335I 03 L5.09 -47 154 4 09 TTC5C0 Tuna loaf 1207) -U3 TmyWp 2.69 -M TrusttU PS 2JjJ23.4?-,55. TrsWY UhU L11.92 -J4 Truant it L24 43 TuRMnt 115.36 4.03 Tufra 5.5 ra Mark 17J9 -LIS 7urrtpdC 1.12 VASW7 U.U 4JJ VUMI L1379 -47 Vlln 1 -Jt mcp L14.90 -45 VaWks 741 24 II -41 Vanx LU9 -42 iValenS L69 -41 5)5 -m j'65-. i15 -JOTLilJ 500 Jt L5870 JS JJ JO 34 J7127 11 32 II 2oomTaofl Zorana 2roa ZyrrnOcnl Unionfncn UnmnBC UtlWOM URWV 3900 LWUnVra Da-H JI 2J Wawn towrtinfl TowwS TraIMa TncSW 113 30 -74 IS -M TfiWne TrtaM WrjM Vkaotat VitUrXf ROD .17 140 mi not -a TBFnd JO TtCVon TMMSIl IMP WW 1.