Roanoke Times
                 Copyright (c) 1995, Landmark Communications, Inc.

DATE: SATURDAY, May 6, 1995                   TAG: 9505080077
SECTION: BUSINESS                    PAGE: A-6   EDITION: METRO 
SOURCE: 
DATELINE:                                 LENGTH: Medium

IN BUSINESS

Majestic Mortgage Corp. of Chicago, a banker-broker that specializes in single-family home mortgages, will open a Virginia division office in Roanoke late next week. Mary Prickitt, who formerly worked with NationsBanc Mortgage Corp. and Signet Mortgage Corp. in Roanoke, has joined Majestic as vice president and manager of the branch.

Majestic will occupy space in the Tanglewood West Office Building at Virginia 419 and Starkey Road. Jim Hodges of Hall Associates Inc. handled the lease transaction.

- Staff report

Consumer debt rising faster

WASHINGTON - Consumer credit increased more rapidly in March than it had in the prior seven months, despite other evidence that the economy is slowing, the Federal Reserve said Friday.

Borrowing rose 17.9 percent at an annual rate in March, or $13.8 billion, the steepest increase since a jump of 21.3 percent, or $15.2 billion, in August. In February, credit rose 10 percent, or $7.7 billion.

The use of revolving credit, including credit cards, increased 22.9 percent in March, compared with 22 percent in February. The advance was $6.7 billion, against $6.3 billion the previous month.

Automobile loans rose 9.8 percent, or $268 million, compared with 10.6 percent, or $287 billion, a month earlier.

Overall, outstanding consumer credit rose to $941.8 billion from $928 billion.

- Associated Press

First Virginia to buy Richmond branches

First Virginia Banks Inc. said it will acquire four branches in Richmond from Citizens Federal Savings Bank of Miami. Richard Bowman, spokesman for First Virginia, said the bank will pay $15.5 million for the branches and the deposits.

The transaction, which is expected to be completed during the third quarter, will add about $200 million in deposits. No loans are involved. First Virginia has 28 other branches in the Richmond area.

- Staff report

Cigarettes to cost more at the store

NEW YORK - Smokers will soon have to come up with an extra nickel or so a pack, the result of the cigarette industry's first price increase in 11/2 years.

R.J. Reynolds Tobacco Co., maker of Winstons and Camels, and Philip Morris USA, maker of Marlboros, Virginia Slims and Merits, both said Friday they are boosting prices to wholesalers about 3 cents a pack.

Industry analysts said the increases by the top two companies in the business will mean a rise of 4 cents to 5 cents a pack at shops and stands.

- Associated Press