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November 19, 2004
Survey of Leading Indicators Hints at Slower 2005 Growth
The economy’s expansion may cool off in the months ahead,
according to a private survey of leading indicators, the online
Wall Street Journal reported yesterday. The Conference
Board, a New York-based research group, said that its composite index of
leading indicators fell 0.3 percent in October to 115.1, matching the
revised 0.3 percent decline reported for September. October’s
reading fell short of the 0.1 percent decline predicted by economists.
The index was equal to 100 in 1996.
Group Urges Senate Not to Include Class Action in Omnibus Bill
Aiming to counter business groups’ aggressive push to enact the
Senate’s class action bill this year, a coalition of labor, civil
rights and consumer advocates today urged House and Senate leaders not
to attach the legislation yesterday to a FY05 omnibus spending package,
CongressDaily reported. “We believe that it is highly
inappropriate to pass legislation behind closed doors that will severely
impact the rights of millions of Americans,” the groups said
Wednesday in a letter to Senate leaders. The AFL-CIO, the Alliance for
Justice, the Consumer Federation of America, the Consumers Union and the
Leadership Conference on Civil Rights were among the 17 groups that
signed the letter.
Delta Extends Debt Exchange Offer to Nov. 23
Delta Air Lines Inc. today extended its offer to exchange up to $680
million of newly issued senior secured notes to holders of $2.6 billion
of outstanding unsecured debt securities, Reuters reported. The airline
said the offer would now be open until Nov. 23, extended from Nov. 18.
There are no other changes in the offer that was launched as the airline
struggles to avoid a
bankruptcy filing.
Continental Seeks $500 Million in Labor Cuts
Continental Airlines said yesterday it would seek $500 million in
annual wage and other concessions from its workers to avert more losses
largely caused by record high fuel prices, Reuters reported. “This
is a difficult and painful decision, but we need to take this action
now, before we find ourselves in a severe crisis,” Continental
Chief Executive Gordon Bethune said in a statement. Continental said the
austerity measures aimed at workers follow $1.1 billion in yearly cost
savings and revenue enhancements that were previously announced.
Stelco Fails to Reach Labor Deal by GM Deadline
Stelco Inc said it will not reach a new labor agreement with the
union at its Lake Erie Works by midnight on Thursday, meaning
Canada’s No. 1 steelmaker will risk losing its biggest customer,
General Motors Corp., Reuters reported. GM had given Stelco, which
entered bankruptcy protection in January, a deadline of midnight on
Thursday to reach a deal with the United Steelworkers of America that
would assure the automaker of a supply of steel through 2005.
Enron’s Bankruptcy Plan Becomes Effective
Enron Corp. said yesterday it has canceled its nearly worthless stock
three years after declaring bankruptcy in a wave of accounting scandals
in the latest move toward liquidation, Reuters reported. The company, in
a flurry of filings with the U.S. Securities and Exchange Commission,
also said it completed the sale of its largest remaining assets on
Wednesday and its court-approved bankruptcy plan became effective.