Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: THURSDAY, September 7, 1995 TAG: 9509070065
SECTION: BUSINESS PAGE: B8 EDITION: METRO
SOURCE:
DATELINE: LENGTH: Medium
NEW YORK - USAir Group Inc., the airline struggling to return to profitability with cost cuts and wage concessions, said Wednesday its chairman, Seth Schofield, is retiring.
The unexpected move may enable the carrier to restart talks with its three major unions over reductions in labor costs, analysts said. USAir has been seeking a half-billion dollars in cost savings as it seeks to compete in an industry hurt by weak demand and continuous fare discounting.
USAir, which serves the East Coast primarily, didn't give any reason for Schofield's retirement beyond the need to pass the torch to a new manager.
Schofield, 56, started at USAir as a baggage handler and worked his way up during a 38-year career to lead in the company in 1992. USAir said he will retire as chairman and chief executive after a successor is picked.
Schofield's departure comes a day after the carrier predicted it would report a pretax profit for the third quarter and the year. The news surprised analysts.
-Associated Press
Explosives maker to pay record fine
WASHINGTON - Dyno Nobel Inc., one of the world's largest makers of explosives, agreed Wednesday to pay a $15 million fine for fixing prices on commercial explosives. The Justice Department said it was the biggest fine ever paid by single defendant in a criminal antitrust case.
The Salt Lake City company pleaded guilty to conspiring to fix prices of commercial explosives sold in Kentucky, Illinois and Indiana. It also admitted trying to eliminate competition in the sale of explosives to three limestone quarries in central Texas, the Justice Department said.
-Associated Press
Hearing delayed on GTE-South rates
Because of confusion over the restructuring of GTE-South's telephone rates, the State Corporation Commission has ordered the company to send additional notice to its customers.
Customers also have been given more time to file written comments with the SCC. The new deadline is Oct. 6. A public hearing will be held Nov. 28 at 10 a.m. in the SCC courtroom in Richmond.
GTE-South operates in 104 Virginia telephone exchanges, including those in Tazewell and Buchanan counties, and serves 515,000 phone access lines.
The company's proposed price increases for local service would range from $3.03 per month to $12.89 per month for one-party residential service. Business rates also would increase, and other changes would be made, including expanding local calling areas and reducing short-haul long-distance charges.
Briefly ...
The Kroger Co., Cincinnati-based supermarket chain, said Wednesday all of its 6 3/8 percent convertible junior subordinated notes, a $200 million issue due in 1999, have been converted into 10.7 million shares of common stock. The notes were issued in December 1992. Kroger said the conversion will reduce annual interest expenses.
Two Western Virginia companies have been awarded contracts by the Department of Defense. Cagas Precision and Research Corp. of Bedford won a $426,448 contract from Hill Air Force Base in Utah for aircraft components and accessories. Litton Systems Inc. of Blacksburg won a $31,897 contract from Tinker Air Force Base in Oklahoma for electric wire and power and distribution equipment.
Guertin Brothers, a Roanoke jeweler, has become a member of the American Gem Society, a Las Vegas-based trade group.
Craighead-Zimmerman & Associates Inc. of Salem has become a representative of The Maryland Insurance Group, provider of personal insurance for homes, autos, boats, condominiums and apartments.
PYA/Monarch Foodservice Distributors of Salem has won a five-year $20 million contract as prime vendor for Virginia Tech's dining services. The company will supply about 75 percent of food and food-related supplies purchased by the university's culinary service.
Carter Machinery Co. Inc. in Salem has been named a commercial distributor for Mobil Oil Corp. Carter will carry Mobil lubricants and synthetic oils in its 20 stores in Virginia and West Virginia and will supply bulk lubricants.
by CNB