Charleston, W.Va. – A West Virginia businessman was ready to sell four massive, 200-ton dump trucks with price tags as high as $3 million, when the orders were canceled.
The buyer, a coal company planning to open a new mine site, was ready to buy. It just couldn’t find the 12-foot-tall tires to keep the trucks rolling.
The mammoth tires, which can cost up to $30,000 apiece, are in short supply worldwide, leaving earth-moving industries, including coal, in a lurch. The shortage is due to a rise in equipment orders, an increase in worldwide mining because of increased mineral prices, and growth in China and other Asian counties.
Few manufacturers produce the giant tires, and those that do say they’re working around the clock to improve efficiency and fill orders. At Goodyear Tire & Rubber Co., company spokesman Dave Wilkins said every large tire produced through 2006 is already spoken for. Across the industry, demand is expected to outstrip supply until 2007.
DOUGLAS COUNTY
Former Charter exec joins EchoStar board
Carl Vogel, who left Charter Communications Inc. in January, has joined the board of EchoStar Communications Corp., which operates the Dish Network.
Vogel, who served as the company’s president from 1995 to 1997, also has served as vice president of Liberty Media Corp. and chief executive of Liberty Satellite and Technology, a related company.
LOUISVILLE
Sound Surgical downsizes its IPO
Sound Surgical Technologies of Louisville said Monday it plans to offer 4.25 million shares at $4 a share in an initial public offering first disclosed in December. The amount is down from an earlier proposal to offer 3.3 million shares priced at $5.50 to $7.50.
Sound Surgical makes ultrasonic devices to break up and remove fat deposits with fewer complications than traditional liposuction methods. The stock will trade on the American Stock Exchange.
DENVER
Settlement reached in excessive-trading case
The Colorado Division of Securities has reached a $259,228 settlement with Janney Montgomery Scott, a Philadelphia securities brokerage firm, for alleged excessive trading by a broker in the accounts of a Colorado client.
Colorado regulators said Boca Raton, Fla.-based Albert J. Copperstone executed 542 transactions in one of the investor’s accounts over 20 months. Copperstone allegedly earned $132,000 in commissions during that period, but the investor lost nearly $255,000.
DENVER
Qwest signs contract with defense agency
Qwest Communications International Inc. announced Monday a new contract to provide hosting services for the Defense Logistics Agency’s Enterprise Data Center program, which will give the agency redundancy and security it requires for its sensitive data-storage needs.
Under the 10-year contract, Qwest will provide infrastructure support services and connectivity at three cybercenters. The agency is part of the Department of Defense.
GOLDEN
Einstein Bros.’ operator reports loss
New World Restaurant Group, operator of Einstein Bros., on Monday reported a first-quarter net loss of $4.2 million, or 43 cents per share, compared with a net loss of $4.1 million, or 42 cents per share, a year ago. The firm reported a 2.3 percent rise in revenues to $93.3 million.
DENVER
Delta Petroleum’s quarter profits double
Delta Petroleum Corp., a Denver-based independent energy exploration and development company, on Monday reported profits on higher prices and increased production.
Net income rose 101 percent to $4.9 million, or 12 cents per share, in the third quarter, compared with $2.4 million, or 8 cents, in the comparable period last year. Revenues rose to $26.6 million from $10.3 million last year.
SAN FRANCISCO
Growth fund raises Qwest stake to 6.49%
The Growth Fund of America increased its stake in Qwest to 6.49 percent during the quarter that the telecommunications company made its bid to acquire MCI Inc., according to a filing.
The Growth Fund, overseen by Capital Research and Management Co., said in a shareholder report that it purchased 110.1 million Qwest shares during the three months ended Feb. 28. As of that date, the fund held 117.9 million shares, according to the May 6 filing with the Securities and Exchange Commission.
JEFFERSON COUNTY
Dillard’s to expand at Southwest Plaza
General Growth Properties, owner of the Southwest Plaza Mall, on Monday said Dillard’s will take over and expand the vacant Montgomery Ward space into a 180,000-square-foot department store.
General Growth is talking to other retailers about taking over Dillard’s existing 130,000- square-foot space. The Ward site has been vacant since the retailer filed for bankruptcy in 2001.
WASHINGTON
Treasury auctions $28 billion in T-bills
The Treasury Department auctioned $15 billion in three-month bills at a discount rate of 2.85 percent and another $13 billion in six-month bills at a rate of 3.12 percent.
The new discount rates understate the actual return to investors – 2.911 percent for three-month bills, with a $10,000 bill selling for $9,927.96, and 3.214 percent for a six-month bill selling for $9,842.27.
OTHER NEWS
Red Robin, CSU system, Chevron
Red Robin Gourmet Burgers will retain Linhart McClain Finlon Public Relations as its public-relations and strategic communications firm, extending a seven-year relationship between the companies. … Colorado State University officials announced that Patrick Grant will serve as chairman and Fred Kerst will serve as vice chairman of the board of governors of the Colorado State University system. Also, Diane Evans was elected secretary and Chad McWhinney was elected treasurer. … Oil giant ChevronTexaco shortened its name to Chevron Corp., returning to the moniker it used before its 2001 purchase of Texaco. About 1,200 Texaco service stations will keep their names.
