THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Thursday, August 29, 1996 TAG: 9608290593
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
LENGTH: 56 lines
Target discount stores has stopped restocking cigarettes and will have all packs and cartons off shelves of its 714 stores by the end of September. The chain, a subsidiary of Dayton Hudson Corp., said cigarettes amounted to half of 1 percent of its $15.8 billion in revenue last year. ``I understand that people will be happy or unhappy about the decision, but it was a business decision,'' Target spokeswoman Gail Dorn said. George Rosenbaum, chief executive of Leo J. Shapiro & Associates, a Chicago market-research firm, said the decision could force Target's two major competitors, Kmart and Wal-Mart, to consider a similar move. (Associated Press) Credit-card losses hit highest level since 1991
The credit quality of American credit card holders in June was the worst since the 1990-1991 recession, Moody's Investors Service said. Its survey of consumer credit quality showed bad credit card debts - those that card issuers wrote off as uncollectible - jumped almost 50 percent in the year ended June 30. Bad debts rose to 5.73 percent of all card debts from 3.90 percent a year earlier. For three large issuers, Citicorp, MBNA Corp. and First Chicago NBD Corp., the average loan-loss rate rose to 6.30 percent from 4.35 percent, Moody's said. (Bloomberg Business News) Fidelity loses another star-name fund manager
Fidelity Investments, the nation's largest mutual fund company, has lost another star-name fund manager. Marc Kaufman, who managed the $966 million Fidelity Select Electronics Portfolio, left Aug. 23 to join Vinik Asset Management, Fidelity said. Kaufman's new boss is Jeffrey Vinik, who managed Fidelity's flagship Magellan Fund before leaving to start his own firm in June. Kaufman had run Select Electronics since March 1995. During his tenure, the fund had a 57.2 percent rate of return, and was ranked second out of 36 science and technology funds tracked by Lipper Analytical Services Inc. (Dow Jones News) Philip Morris raises dividend by 20 percent
Philip Morris Cos. raised its quarterly dividend by 20 percent, giving investors an incentive to own the stock even as the company faces mounting legal and regulatory battles. The maker of Marlboro cigarettes, Miller Beer and Kraft cheese raised the dividend to $1.20 a share from $1. That boosted the annual payout to $4.80 a share from $4. The increase will bring the stock's dividend yield to 5.25 percent from the previous 4.35 percent, based on today's closing stock price. The payout is about double that of the Dow Jones Industrial Average, which was 2.2 percent today. (Bloomberg) Heilig-Meyers to buy assets of McMahan's
Heilig-Meyers Company, the Richmond-based home furnishings retailer, intends to buy some assets of McMahan's Furniture Company, of Santa Monica, Calif. Accounts receivable and inventories along with other miscellaneous assets will be purchased.
Heilig-Meyers could lease real estate included in the purchase, which is expected to close in mid-September. (Staff) by CNB