Press Journal from Vero Beach, Florida • 27

'i' W9 rmrt HPitwSoumal rn CLOSINGS Dow Joms tndiislftate: 961824 -24781 NASDAQ: 139299 -5092 500: 110064 -3242 NYSE CmapMlta 56493 -1470 Am Index: 82669 -713 Business WEDNESDAY JANUARY 30 2002 1 MW Lata business and market news can be found at wwwpressloumaLcombuslnest WTCN loses WB network affiliation A worker polishes the Enron emblem in front of the Enron quarters building in Houston on Monday Cooper is named new Enron CEO more than producing a TV station The Brothers WTCN TOP OF THE MORNING WAIL STREET Accounting worries send Dow tumbling NEW YORK Increasing lack of faith in corporate accounting practices sent the Dow Jones industrials tumbling nearly 250 points Tuesday the biggest drop in three months Analysts said Wall Street already jittery about the timing of an economic recovery was concerned that more companies might suffer ftom the same type of balance-sheet irregularities that brought down Enron One target of ftiry the conglomerate Typo fell nearly 20 percent the heels of this Enron situation people are very concerned about accounting aaW Todd Clark head of listed equity trading at Wells Fargo Securities get concerned that we may have some other companies pulling ahananlgana like Enron People want to own them and undermining CONSUMER CONFIDENCE Orders for durable goods rise NEW YORK Consumer confidence strengthened far the second straight month in January end orders to U3 factories for durable goods climbed more than expected two economic reports said Tuesday suggesting that an end to the economic slump may be in sight The Conference Board a New York-based industry group reported its Consumer Confidence Index rose to 972 this month from a revised 942 in December Analysts were expecting a reading of 96 The Commerce Department announced earlier in the day that orders to U3 factories for durable goods items expected to last three years rose a larger-than-expected 2 percent in December The gain surpassed expectations for a 12 percent increase MONETARY POLICY Fed expected to hold line on rate cuts WASHINGTON The Federal Reserve which has pushed a key Interest rate down to its lowest point in four decades is expected to leave rates unchanged at a two-day meeting that winds up tosday The central bank is ready to call a cease-fire in its aggressive credit easing private analysts said Tuesday because of growing confidence that the first recession in a decade is coining to a dose is pretty clear that the economy is coming out of the said Sung Won Sohn chief economist at Wells Fargo in Minneapolis Issue now is how strong and healthy the recovery is going to OILINDUSTRY ChevronTexaco suffers $25 billion loss SAN FRANCISCO The newly combined ChevronTexaco Corp stumbled to a fourth-quarter loss of $25 billion as the company paid for the aftershocks of its merger and revised its outlook in the depressed energy market The loss which translated into $226 per share stemmed from $3 billion in charges as the company lowered the projected value of some holdings and dealt with the costs of the October marriage between Chevron and Texaco The fourth-quarter setback announced Tuesday contrasted with a profit of 3224 billion or $192 per share in the prior year That figure represents what the company estimates it would have earned had Chevron and Texaco been together in the final three months of 2000 STEEL INDUSTRY US Steel reports $174 million loss PITTSBURGH US Steel reported a fiar-wider-than-expected loss for the fourth quarter as -domestic steel shipments and production continued to dwindle The Pittsburgh-based steelmaker reported a loss Tuesday of $174 million or $125 a share compared with a loss of $139 million or $127 a share in the same period in 2000 Excluding one-time costs the steel company reported a loss from continuing operations of $121 million or $126 a share That was more than double the loss of $57 million or 64 cents a share the company reported in the fourth quarter of 2000 when adjusted for special items TELECOMMUNICATIONS Wireless reports $12 billion loss NEW Cellular carrier Wireless reported a fourth-quarter loss of $123 billion on Tuesday blaming much of the loss on a $12 billion writedown related to the phasing out of its find wireless business operating loss was worse than analysts expected but a boost of almost a million new subscribers tempered the bad news The Redmond Wash-based company which was spun off from Corp in July 2001 said its toss of 48 cents per share for the October-December period compared to a profit of $411 million or 15 cents per share a year ago Excluding one-time items Wireless said its operating loss was 3355 million or 14 cents per share Wall Street analysts surveyed by Thomson FinancialFirst Call had expected the company to lose about 6 cents per share before special items From wire services SAVINGS INTEREST YIELDS By Kristen Hays The Associated Press HOUSTON Enron Corp picked a veteran corporate turnaround expert Tuesday to guide it through the biggest bankruptcy in US history and a maze of criminal and congressional investigations The selection of Stephen Cooper as interim executive and chief restructuring officer came less than a week after former CEO Kenneth Lay resigned saying the investigations would prevent him from running the company effectively Cooper said he would start working immediately with available to thousands of potential viewers Brothers said the lack of car Me pickup in Palm Beach County was the for losing The WB affiliation to stronger WTVX WTVX is widely available by cable and antenna from Sebastian to Boca Raton It airs on Channel 6 in Vero Beach and Channel 4 in Sebastian WTCN based in a small office-studio on US 1 just north of the Roosevelt BridgB is tiie only commercial network TV affiliate based on the Treasure Coast The WB network schedules its programs from 8 to 10 pm mostnights Brothers said beginning in April he anticipates filling that time with a combination of one-hour syndicated shows movies and to-be-announced sports Brothers said he learned cf the affiliation loss last week at a programming convention inLas Vegas were trying to negotiate a new tong-term affil-i a i he said Not all WB ties will be cut at WTCN The day time children's lineup will confine to run on the Stuart station said Hal Protter senior vice president of affiliate relations for The WB in Los Angeles Brothers said WTVX will run all WB programs on tape delay between 10 pm and midnight also reported the post-10 pm schedule but added that some WB shows will be slotted in unspecified weekend time slots WTVX already airs "Dawson's at 11 am Sundays The WTCNWB network time slot for the show is 8 pm Wednesdays Brothers said the affiliation loss will mean new chances for the station leaves us with the opportunity to be a strong independent I really have no problems with he said have a wider demographic profile to better service the community are more than capable of producing a quality TV station without The he said already expanded the weekly Saturday night fishing show to two hours and well have more local Brothers said it is possible that locally produced TV shows which for years were a hallmark in the 7-to8 pm hour weeknights might return are considering he said mean yes it mean The change will take place in April but the WB daytime lineup will continetorun on the station while WTVX will run the full WB lineup on tape delay By Bob Batcher staff writer STUART WTCN Channel 15 the Stuart-based WB affiliate for more than two years will lose its primetime network affiliation in April and return to independent status the network said Tuesday WTVX Channel 34 a UPN affiliate out cf West Palm Beach will pick up the foil roster of WB shows But the programs air in their normal network timeslots Instead programs such as Creek" Gilmore and which are aimed at teens and young adults will air after 10 pm nights and perhaps at other times The move means more viewers on the Treasure Coast and in Palm Beach County will have access to TheWB got wind cf our continued growth and they decided to make a preemptive WTCN owner Bill Brothers said magazine put it another way: WB satisfied with the weak signal of WTVX already has been carrying five hours of WB programming on a delayed basis at 10 pm weeknights at the conclusion of UPN primetime lineup Beginning in April WTVX will carry the foil 13 hours of WB programming after 10 pm all on tape delay signal reaches Martin and St Lucie counties by antenna and cable and extends into Indian River County by cable only The affiliate airs on Channel 20 in Vero Beach and does not reach Sebastian In 200L it added a repeater television station in Palm Beach County Channel 53 which readies as for south as Boynton Beach However Adelphia Cable repeatedly has declined to add WTCN to its systems in population-rich Palm Beach County That in turn meant many WB shows were un are capable of quality without Bill Owner i i Bush: State should sue Alliance for Enron losses management and others in planning the emergence from bankruptcy focus is on the fixture of Cooper said in a statement will work closely with the board of directors management and the creditors committee to develop a reorganization plan to maximize value for the company's Cooper is managing principal of Zolfo Cooper a New York-based reorganization adviser whose past clients indude Polaroid Corp retailer Liberty House and the Pegasus Gold Corp Also Tuesday Enron said Jeff McMahon has been promoted from chief financial officer to succeed Lawrence Whalley as president and chief operating officer Treasurer Ray Bowen was named vice president and chief financial officer Bush asked the director Tom Herndon at a Cabinet meeting Tuesday why Alliance been sued too particularly since the company continued to buy Enron stock for the pension fluid even after the company was under investigation by the Securities and Exchange Commission Herndon said SBA lawyers were working toward that and said it was likely correct thing to Alliance spokesman John Meyers said the New York-based company had no comment No state workers will lose pension money because of collapse The amount lost by the pension fluid was about 13 of 1 pep cent of the fluid loan or guarantee a percentage of the loan to smaller high-risk clients Kocourek and Fancher use taxpayer money to guarantee loans that banks and other money lenders because of the risk of lending to an unestablished business or to one that isn't likely to yield large returns at first They offer long-term tow-rate loans to qualifying small businesses The small group met to get the word out about the loan possibilities so Fancher and Kocourek can help more business owners in Indian River County Fancher said One of the attendees was Ken Stephanz a business analyst with the Indian River Community College Small Business Development Center He said he had never heard of the loan possibilities before but he has clients By David RoYte The Associated Press TALLAHASSEE Gov Jeb Bush said the state should considering filing a lawsuit against the company that bought spiraling shares of Enron Corp for the pension fluid pension fondlost $325 million when it was forced to dump 72 million Enron shares as the energy stock price dropped in the wake of an investigation into the practices The shares had been bought by Alliance Capital Management Corp one of several securities firms contracted to invest pension money for the State Board of Administration which over-i the $94 billion fluid Loan advice is available for small businesses Progressive Civic League was most concerned about how Fancher and Kocourek could help minority-owned businesses flourish sister used to have a restaurant and I think the main reason not hi business today is because she get a he said Kocourek told him that to apply for the 504 loan start-up business hopefuls will need to make a business plan before going to his corporation for help with a loan He said there are additional possibilities for minority business people For information about financial assistance for small businesses call Fancher at (786) 845-0400 after Feb 1 or visit the Web sites (wwwdosstateJLusfift!) and ffifixom Another helpful Web site is (wwwJkrtdasmaJr Umsinesscom) who would be able to use information Fancher sees his corporation as a way to help both businesses and banks are in business to be profitable banks are in business to make he said By helping them take on high-risk clients at a tow risk to the bank he makes it possible for them to lend to new clients who have never taken a bank loan or established a financial statement before have people that will walk up to us and hand us a checkbook and will say my financial Fancher said waving his own checkbook in the air And sometimes they can help- Freddie Woolfork attending the meeting as a representative from the Gifford By Beth Green staff writer Small businesses are a big part of the Florida economy and small-business owners who have been denied loans may not know they have a network to help them Steve Fancher and Todd Kocourek heads of two not-for-profit corporations that guarantee and finance loans to small businesses spoke Monday with a group of Indian River County business professionals about what they can do to help foster small business Kocourek's Florida First Capital Finance Corp and Florida Export Finance Corp were founded by the state government but are now financially independent agencies that complement loan services offered by money lenders They take on a portion of the requested ME AS OF 1471 asaggasegaa sssr CMkaAteah4nai4te4lBAmBte 1.