Month: October 2000

U.S. consumer confidence slumped to a one-year low in October over worries about oil prices, shaky stocks and slowing growth. New housing data showed the economy remained on a solid footing, however. Sales of new single-family homes in September shot up 9.2 percent.

The death toll from the crash of a Singapore Airlines Boeing 747 in Taipei Tuesday may be 100, Taiwan officials said. There were four dead, 62 injured and another 93 unaccounted for. The plane took off during a storm and was hit by strong winds; it crashed seconds later.

Better-than-expected results by France’s Alcatel today lifted the spirits of investors in North American telecom equipment suppliers. Ailing telecommunications suppliers such as Nortel Networks Corp., Lucent Technologies Inc. and Cisco Systems Inc. all gained today.

Two Russians and an American are headed for the $60 billion International Space Station. The Soyuz TM-31 rocketed took off today. They are due to dock with the station on Thursday.

Torvec Inc. has been awarded a patent for its modular track suspension system, the cornerstone of the company’s Fast Tracked Vehicle.
The suspension system can be substituted for the undercarriage of any full-size automobile that is built with a load-carrying frame. The patent covers 13 claims of individual technology advances.
“The Torvec undercarriage is modular, so we can inexpensively bolt it onto a truck frame,” said Keith Gleasman, Torvec’s president. “This feature keeps manufacturing costs very low, in turn allowing us to price the FTV very competitively with four-wheel drive trucks.”
Gleasman also said the company has confidentiality agreements with approximately two dozen automotive companies, and is working with them to commercialize the FTV, the company’s pump and motor assembly, and its constant velocity joints.

Riedman Corp. has acquired a North Dakota company.
The local company purchased Moran Insurance Inc., based in Jamestown, N.D. Terms of the deal were not disclosed.
“The merger allows the Jamestown office to deliver new products, services and expertise to their clients,” said James Riedman, president of one of the country’s leading insurance brokers. “We welcome them to our growing network.”
Riedman Corp. is the nation’s ninth-largest privately held insurance firm and 26th-largest insurance broker. The company operates 74 offices in 13 states.
The company earlier this year signed a definitive agreement to merge its insurance operations into Brown & Brown Inc. Florida-based Brown & Brown is the nation’s ninth-largest insurance broker.
The transaction, for an undisclosed price, is expected to close Jan. 1.
Riedman last year posted insurance-related revenues of $51.1 million. Brown & Brown’s revenues have soared since 1993, from $35 million to $176.4 million last year. The companies project the combined firm to top $250 million in 2001 revenues.

Genencor International Inc. today signed a four-year agreement with Danisco A/S, establishing itself as Danisco’s exclusive partner for the development of bioingredients for the food industry.
The agreement provides $20 million in funding for Genencor’s R&D efforts.
The biotechnology company hopes to become a leader in developing and supplying new bioingredients in the food market. Genencor will use its i-biotech system to create the products.
Danisco brings its application technology and global market reach to the alliance.
“The agreement demonstrates how we work with leading companies to leverage our successful technology platforms into new market areas for Genencor,” said Thomas Mitchell, chairman and CEO of Genencor.
Danisco is a leading global supplier of food ingredients. The bioingredients area is one of its fastest growing business segments.
Genencor (NASDAQ: GCOR) uses an integrated technology to develop and deliver products into the health care, agriculture and industrial chemicals markets.

Mpower Communications Corp. easily beat the Street’s diminished expectations for the third-quarter, including 206 percent jump in revenues.
Mpower logged $45.9 million in revenues, up more than 200 percent from a year ago and nearly 50 percent from the second quarter. The company reported a loss of $1.60 a share.
Analysts expected Mpower to report a loss of $1.70 a share for the quarter compared with a loss of 51 cents a year ago, according to First Call Corp.
“We had a strong third quarter vs. the revised estimates,” said Rolla Huff, president and CEO. “The pace of expansion came with challenges.”
The company took a $12 million one-time charge in the quarter associated with network optimization costs. It also recognized a one-time gain of $6.2 million resulting from a settlement of disputes and the collection of switched access charges from major carriers.
The company has expanded into 42 markets, but has decided to stop its expansion to new markets, including the Northeast and Northwest,
Mpower stock (NASDAQ: MPWR) was unchanged in mid-afternoon trading, at $6.59.
Huff said speculation over Mpower imminent demise was unfounded. Many people expected the company-which has some $660 million in cash-to run out of money this summer, he said.
“I think there was a collective sigh of relief on the conference call,” Huff said. “We will continue to stay focused on our core strategy.”
Huff and Mpower top officials plan to begin a series of visits to analysts and institutional investors on Wednesday.

Mpower Communications Corp. easily beat the Street’s diminished expectations for the third-quarter, including 206 percent jump in revenues. Mpower logged $45.9 million in revenues, up more than 200 percent from a year ago and nearly 50 percent from the second quarter. The company reported a loss of $1.60 a share.

Genencor International Inc. today signed a four-year agreement with Danisco A/S, establishing itself as Danisco’s exclusive partner for the development of bioingredients for the food industry. The agreement provides $20 million in funding for Genencor’s R&D efforts. The biotechnology company hopes to become a leader in developing and supplying new bioingredients in the food market.

Riedman Corp. has acquired a North Dakota company. The local company purchased Moran Insurance Inc., based in Jamestown, N.D. Terms of the deal were not disclosed. Riedman Corp. is the nation’s ninth-largest privately held insurance firm and 26th-largest insurance broker. The company operates 74 offices in 13 states.

Torvec Inc. has been awarded a patent for its modular track suspension system, the cornerstone of the company’s Fast Tracked Vehicle. The suspension system can be substituted for the undercarriage of any full-size automobile that is built with a load-carrying frame. The patent covers 13 claims of individual technology advances.

Prudential Securities today said today that, effective immediately, it is shutting down its institutional bond trading, a change that will leave more than 400 people without jobs. The company plans to switch its focus to retail bond accounts, Reuters reported.

Primedia Inc. has agreed to purchase About Inc. in a stock deal valued at approximately $690 million. The merger is expected to broaden the offerings of Primedia and increase its level of niche content.