The News and Observer from Raleigh, North Carolina • D1

102030405060708090 102030405060708090 1D, TUESDAY, JANUARY10, 2006 HE EWS BSERVER Business DUKE ENERGY The Charlotte-based company said it plans to sell unprofitable North American power generation assets to a subsidiary of LS Power for $1.5 billion. PAGE 2D TUESDAY, JANUARY 10, 2006 MORTGAGE COSTS Interest rate increases and higher loan costs are changing the way some first-time and moderate-income buyers finance their mortgages. PAGE 3D For the latest stock information, news and quotes, go to www.newsobserver.com keyword: stocks DOW 52.59 at 11,011.90 NASDAQ 13.07 at 2,318.69 AMEX 4.56 at 1,809.02 NYSE 21.76 at 8,053.42 500 4.70 at 1,290.15 10-YEAR NOTE YIELD 4.367%, down from 4.375% Dow breaks 11,000 The blue-chip stock index last reached the barrier on June 7, 2001. confused by all of Annie Marbert of Fayetteville said. She speaks with a Medicare counselor.

STAFF PHOTOS BY TAKAAKI IWABU HRISTOPHER ANG THE ASSOCIATED PRESS NEW YORK The Dow Jones industrial average closed above 11,000 Monday for the first time since before the terrorist attacks on Sept. 11, 2001. The index was lifted by a five-day rally that has sent stocks soaring so far in 2006. The average of 30 blue-chip stocks ended the day up 52.59, or 0.48 percent, at 11,011.90, its first finish above 11,000 since June 7, 2001, when it closed at 11,090.74. advance followed a 241-point surge last week as investors grew increasingly optimistic that the Federal Reserve will soon end its string of interest rate increases.

Investment upgrades of Dow components General Motors and JP- Morgan Chase gave the Dow the final push above 11,000 Monday. The increase signal that the U.S. economy has weathered some pretty harsh storms over the past few said Art Hogan, chief investment strategist at Jefferies Co.Hesaid more clarity about the rate tightening, stabilizing oil prices and new money from 401(k) and pension funds have contributed to the gains in the new year. But the market could be tested by data on retail sales and wholesale prices this week and the quarterlyearnings season. Broader stock indicators were also at multiyear highs.

The Standard 500 index rose 4.70, or 0.37 percent, to 1,290.15, a year high; the Nasdaq composite index added 13.07, or 0.57 percent, to 2,318.69, its best close since Feb. 20, 2001. The Dow came within 16 points of 11,000 last March, but fellamid worries about inflation and highoil prices, con- cernsthat dogged the market for much of 2005. The blue chips are still about 6 percent below their all-time high of 11,722.98, reached Jan. 14, 2000, as the high-tech boom approached its peak, but they have recovered well from their low of 7,286.27, on Oct.

9, 2002, while the nation wrestled with an economic slowdown spurred by the terrorist attacks on the World Trade Center and Pentagon the year before. The markets rebounded strongly in 2003, then gained modestlyin 2004. The Dow ended 2005 with a slight loss while the other major indexes edged higher. Every time stocks made a significant advance last year, concern about the effect of high energy pricessent the market retreating. But mood changedlast week with the release of minutes from the last policy-making meeting, during which the Open Market Committee signaled that its streak of rate increaseswould soon end.

NBC to sell station Network puts 3 others on block ONATHAN B. OX STAFF WRITER WNCN, the NBC station in Raleigh, is for sale. An NBCUniversal spokeswoman confirmed Monday that the Raleigh operation is one of four that the network has decided to put on the market. But Liz Fischer, the spokeswoman, declined to provide any other details. All of the stations are in small markets Raleigh, Columbus, Ohio; Birmingham, and Providence, R.I.

And analysts speculated that NBC Universal wants to focus more resources on its stations in cities such as New York, Miami and Philadelphia. The network also might have concluded a market. a little bit said Dave Schutz, a founder of Hoffman Schutz Media Capital in San Diego. The firm advises on broadcast industry sales, calculating the value of television and radio stations. guess there are only two apparent said Schutz, who is not involved in the deal.

No. 1, NBCcould believe independent operator of the stations may be able to operate them more efficiently. The second implied reason might be that NBC believes at a high point for prices. During the summer, Emmis Communications of Indianapolis sold several stations as it shifted its strategy. The stations fetched prices 12 to 15 times higher than their cash flows, a feat that surprised some.

Pessimists have contended that traditional television stations are less valuable as they cede share to cable and satellite TV and other entertainment options on the Web. The prices that Emmis won caused some to question that logic. is a good time to sell for A NNE RISHNAN STAFF WRITER Kevin first patent began as scratchings on a napkin. It all started when the IBM software engineer and his colleagues went out to lunch to brainstorm new ways of using wirelesstech- nology. By the time they returned to the office, the men had come up with a system that would monitor car speeds and help notify drivers of traffic jams ahead.

Nearly three years later, in November, Bell, Eugene Mazim- ilien and Phuc Do received patent No. 6,967,592. Theirs was one of 2,941 patents in 2005 earned by IBMers, helping to make the com- panythe top U.S. patent-earner for the 13th consecutive year. was very said Bell, 26.

consider all the great inventors that have been among us in this nation and the things that have come from it, and definitely excited to be a part of that. Hopefully there will be more to IBM led its nearest competitor, Canon Kabushiki Kaisha of Japan, by more than 1,100. The other IBM tops in patents in 2005 SEE PATENTS, PAGE 3D EAN P. ISHER STAFF WRITER FAYETTEVILLE The top executive at Medicare, accompanied by a bus plastered with photographs of beaming senior citizens, came to Fayetteville on Monday to urge older adults and disabled people to enroll in theprescription drug program that took effect Jan. 1.

people are finding out that the coverage is better and costs less than they said Dr. Mark McClellan, administrator of the Centers for Medicare and Medicaid Services, the federal agency that runs Medicare. But even some North Carolina seniors who have signed up for the benefit, Medicare Part so sure. And many pharmacists and consumer advocates have been frustrated by enrollment glitches, computer problems and other difficultiesin the new first days. In North Carolina, 38 Part options are being offered by 16 private companies.

Medicare HMOs and other private Medicare plans are offering 15 plans. Christina Washington, a pharmacist who owns Medical Arts Pharmacy in downtown Fayetteville, told McClellan the federal government adequately prepare pharmacists. have been in an awful said Washington, whose pharmacy was inundatedlast week as patients with Medicare drug coverage cameto fill prescriptions. Particularly difficult to deal with, she said, were patients who previously got medicines through Medicaid, but had been automatically assigned to Medicare Part D. The phone line that pharmacists were to call to resolve Medicare problems and questions was- available untilThursday days after the coverage took effect.

of them even have Washington said. people came in with prescriptions for drugs that are not covered by the plans that were preselected for Durham pharmacist Jennifer Burch said she was glad to hear that someone spoke up for pharmacists at McClellan, a top Medicare official, said the agency is helping to answer questions. have been in an awful position. Some people came in with prescriptions for drugs that are not covered by the plans that were preselected for CHRISTINA WASHINGTON, OWNER OF A FAYETTEVILLE PHARMACY INSIDE MILESTONE: Dow catching up to 500, Nasdaq. 4D EE -A NN URBIN THE ASSOCIATED PRESS DETROIT Lexus and Chrysler are introducing luxurious sedans at this North American International Auto Show.

Ford is offering a chiseled new crossover. Honda is hyping a subcompact. As the age of the SUV comes to an end in the United States, the automakers are engaged in a race to figure out the next hot trends. theme of this show is customer saidBob Cosmai, head of North American division. Crossover vehicles which ride lower to the ground than sport utility vehicles but offer similar interior comfort are expected to outsell SUVs in the United States this year.

Ford wants to lead that segment with the Ford Edge crossover. The 2007 Ford Edge, which boasts sharp lines and the distinctive three- bar grille of the Ford Fusion sedan, is expected to hit showrooms this fall. Mark Fields, executive vice pres- ident, said the vehicle will stand out in a crossover market that is getting more crowded. you look at the CUV right now, populated by a lot of vehicles, that, quite honest, are somewhat Fields said. But this showstoppers are the muscle cars.

After seeing the success of the Ford Mustang and hearing the clamoring of baby boomers U.S. automakers went back 40 years for some inspiration. DaimlerChrysler Chrysler Group is showing the Dodge Challenger concept, which is based on a model from 1970, while General Motors unveiled the Chevrolet Camaro concept, an update of that muscle car. think anyone will walk away from the said Jim Sanfilippo, Bell and his co-workers got a patent. Mark Fields, Ford executive vice president, shows off the 2007 Ford Edge, a crossover vehicle, at the North American International Auto Show in Detroit.

GETTY IMAGES PHOTO BY BRYAN MITCHELL SPORT UTILITIES OUT; VARIETY IN SEE AUTO SHOW, PAGE 2D INSIDE CARS: Mercedes to Geely, first entry in the 2D WHAT IS MEDICARE PART AND WHO IS COVERED? Medicare Part is a new optional prescription drug program. It is available to anyone who is now eligible for Medicare, which is everyone 65 and older and some younger disabled people. IF YOU'RE COVERED If you signed up for Medicare drug coverage by Dec. 31, here are some things you need to know. AT THE PHARMACY Your coverage began Jan.

1. You may be able to avoid long waits at the drugstore by calling in your prescription refills especially if you have already received your new Medicare insurance card. Most pharmacies have automated telephone refills. If you received an identification card or other written confirmation of your enrollment, take it to the pharmacy. If you signed up online, especially if you did so at the end of the year, take a printout of any confirmation message.

It may take a while for the Medicare computer database to be updated. There may be restrictions on covered drugs. Some plans require you to get approval before a drug can be dispensed; others may insist you take drug A before you are allowed to try drug B. The pharmacy may have to call your doctor, which could cause delays or prevent you from getting the prescribed medicine. Medicare official fields questions about drug plan New federal benefit puzzles many seniors SEE MEDICARE, PAGE 8D SEE NBC, PAGE 8D.