Qwest’s bid to provide video in parts of Springs rejected
Colorado Springs – Qwest will try again to get a video franchise in Colorado Springs, after its bid to offer video service in only limited areas of the city was rejected.
Chuck Ward, Qwest’s Colorado president, said Wednesday he wants to meet with Colorado Springs officials to negotiate an agreement that does not require the Denver-based Baby Bell to build a video network to every house and business.
Colorado Springs officials in a letter told Qwest it would need to comply with terms of a franchise agreement the city already has with Adelphia Communications Corp., the city’s main cable-TV provider.
“We are strong believers that competition is going to benefit consumers,” Ward said. “If the city will let us get started, they will see benefits.”
Qwest offers video service in Highlands Ranch and a subdivision in Lone Tree, as well as in Phoenix and Omaha. Qwest also has talked to Denver and other metro-area communities about offering video service, although no franchises have been approved.
Comcast Corp. has complained that Qwest wants to “cherry-pick” certain neighborhoods rather than provide blanket TV coverage, as its cable system does in many Denver-area communities.
DENVER
Rule on Adelphia sale to Comcast expected
The Federal Communications Commission may rule next month on the proposed $17.6 billion sale of bankrupt Adelphia Communications Corp. to Comcast Corp. and Time Warner Inc., FCC Chairman Kevin Martin said. The FCC has had the deal under review for more than a year.
The world’s biggest media company and Comcast agreed to extend to Aug. 31 a deadline that would trigger a $440 million breakup fee from Adelphia if the purchase isn’t closed, Adelphia said in court papers last month.
DENVER
Metro chamber taps chairwoman-elect
Patricia Vincent, president and chief executive of Public Service Co. of Colorado, has been named 2006-07 chairwoman- elect of the the Denver Metro Chamber of Commerce. Her term will begin in September, when Rob Cohen, chief executive of IMA Financial Group, Inc., takes over as chairman. She will move into the chair in 2007.
NEW YORK
Morgan Stanley doubles profit figure
Morgan Stanley Inc. on Wednesday took another step closer to fulfilling chief executive John Mack’s pledge of a financial turnaround, posting second-quarter profit that more than doubled on stronger trading, underwriting and investment gains. The company’s shares soared more than 4 percent to their biggest one-day gain this year.
A struggling stock price and sluggish earnings caused a shareholder revolt at the New York- based investment house that ushered Mack back into power a year ago.
MEMPHIS, Tenn.
FedEx raises profit forecast after gains
FedEx Corp. reported a 27 percent increase in fourth-quarter earnings Wednesday, raised its profit forecast for the coming year and saw its shares rise more than 5 percent.
The company earned $568 million, or $1.82 a share in the quarter ending May 31. That was up from $448 million, or $1.46 a share, a year ago. Revenue grew 10 percent, from $7.72 billion to $8.49 billion.
Shares of FedEx soared $5.54, or 5.1 percent, to close at $113.86 in trading on the New York Stock Exchange. That is near the high end of the stock’s range of $76.81 to $120.01 over the past year.
BROOKLYN, N.Y.
Ex-CA official pleads guilty in bribery case
Former CA Inc. senior vice president Thomas Bennett pleaded guilty Wednesday to conspiring to bribe two people in an effort to hide transactions related to a $2.2 billion accounting fraud at the Long Island, company.
Bennett, who left the company in 2004, was accused of conspiring with former chief executive Sanjay Kumar to pay off two individuals who threatened to report attempts to artificially boost the company’s fourth- quarter 2000 revenue.
DENVER
Open-air markets staged at Pavilions
The Denver Pavilions will host an “urban open-air market” on Thursdays throughout the summer, featuring food vendors and the artwork of local artists.The market will precede the 5 p.m. Hot Sounds concerts on Thursdays through Aug. 10.
DENVER
Xylem founder leaving company
Xylem Interactive, a Denver- based interactive advertising agency, announced Wednesday that founder Jeremy Irwin is leaving the company to pursue other ventures.
Co-presidents Benjamin Ray and Scott Snyder will continue to direct the agency and run the day-to-day operations. Xylem also has offices Austin, Texas, Chicago and San Francisco.
COLORADO SPRINGS
Software firm lands Air Force data deal
Intelligent Software Solution, based in Colorado Springs, has been awarded a five-year, $49.9 million contract to provide secure-data analysis and dissemination for the Air Force.
DENVER
WisperTel snares $2 million investment
Wisper Telecommunications in Denver said Wednesday it received $2 million in cash and stock from a private Denver investment group.
The wireless broadband company was founded in 2001 and provides the infrastructure consumers need to get on the Internet. It plans to use the funds to expand its service area in central and western Colorado, said company president Barry Pier in a statement. WisperTel does well in areas where traditional phone lines don’t reach or where customers want faster Internet access.
Wednesday’s equity investment comes after a $700,000 credit agreement with Silicon Valley Bank in April.
DENVER
Frontier gets nod for L.A.-Mexico route
Frontier Airlines has received federal approval to start flying between Los Angeles and San Jose del Cabo. Two airlines already serve the route, and Frontier’s proposal would introduce new competition to carriers flying to Mexico from Los Angeles and other West Coast cities, according to the U.S. Department of Transportation.
Frontier plans to start the service Sept. 20.
With San Francisco-Los Angeles flights beginning, Frontier will offer direct flights from San Francisco to San Jose del Cabo, meaning no changes in planes during the stop in Los Angeles.
