Traverse City, Mich. – General Motors and A123Systems Inc. will co-develop batteries in an alliance that may get GM’s planned electric cars on the road sooner than models from rivals such as Toyota, vice chairman Robert Lutz said.
A123Systems has created battery-cell chemistry for “a long-lasting, safe and powerful” energy source, Lutz said in a speech Thursday in Traverse City. GM expects to have prototype cars early next year for driving tests, with a vehicle to sell to consumers by the end of 2010, he said.
“We’re hooked up with the right team,” Lutz said. “Our No. 1 competitor has some problem with their technology, and I do think that it very definitely opens a window of opportunity for us.”
GM, the largest U.S. automaker, is developing an electric car and rolling out gasoline-electric hybrids as governments push for vehicles with increased fuel efficiency and lower pollutant emissions. The Detroit-based company showed its plug-in Volt concept car in January.
DENVER
Judge grants stay on Nacchio’s fine
A federal judge on Thursday granted former Qwest chief executive Joe Nacchio’s motion to stay his $19 million fine pending appeal of his illegal-insider-trading conviction and sentence.
As part of the motion, which was unopposed by the government, Nacchio agreed to deposit the money into an interest-bearing account overseen by the U.S. District Court registry by Aug. 27.
In addition to the fine, Nacchio was sentenced to six years in prison and ordered to forfeit $52 million in ill-gotten gains for his conviction on 19 counts of insider trading.
DENVER
DIA marks record passengers in June
Denver International Airport had a record 4.6 million passengers in June, up 3.3 percent from June 2006.
For the first half of the year, DIA had 24.5 million passengers, up 4.2 percent from the same period a year earlier. Growth of Southwest Airlines and increased competition from Frontier and United Airlines has been driving traffic growth at DIA.
BISMARCK, N.D.
Power plant planned at former mine site
Westmoreland Power Inc. has notified North Dakota state regulators it plans to build a 500-megawatt power plant near Gascoyne in southwestern North Dakota, on the site of a former coal mine.
Westmoreland, which is based in Colorado Springs, recently sent a letter to the Public Service Commission declaring its intentions, along with a $100,000 filing fee, commission president Susan Wefald said Wednesday.
The letter is not a guarantee the project will be built, but it is considered a strong signal of interest. Westmoreland intends to begin construction late next year and have the plant running by 2013, said Robert Holzwarth, the company’s president.
CAMDEN, N.J.
Campbell may sell its Godiva brand
Campbell Soup Co. may sell its Godiva chocolate brand to focus on increasing global sales of healthier soups, snacks and beverages. The shares fell 4.6 percent, the most in more than three years.
Campbell, the world’s largest soupmaker, may spin off Godiva or sell it to private-equity investors or a manufacturer such as Hershey Co., analysts said. Company spokesman Anthony Sanzio declined to elaborate on options for the division.
ATLANTA
Home Depot to redo sale of supply unit
Amid tightening credit conditions that have slowed buyouts and roiled the stock market, Home Depot said Thursday it is in talks to renegotiate the pending sale of its HD Supply unit to a group of private-equity firms. The value of the sale – initially pegged at $10.3 billion – could drop as a result, Home Depot said.
The Atlanta-based retail chain also said it is revamping a massive stock buyback that is to be partially funded by the HD Supply sale.
UNION, N.J.
Importer recalling 255,000 Chinese tires
Foreign Tire Sales Inc., a New Jersey importer, said it will recall about 255,000 light-truck tires made to order by a Chinese company, the latest in a growing list of safety-related defect claims against goods from China.
The steel-belted radial tires, sold under the brand names Westlake, Compass and YKS, were produced from 2004 through 2006 for pickup trucks, sport utility vehicles and vans, Foreign Tire said Thursday. The company has reported two deaths in a rollover accident involving the tires.
CHICAGO
Toymaker knew of test showing lead
The toy company that issued a voluntary recall for a Thomas & Friends spinning top this week had a 2002 test report showing the toy contained lead paint, according to a published report.
The Chicago Tribune reported in its Thursday editions that toymaker Schylling Associates Inc. changed the design of the toy that year rather than recalling it when a test found it had lead paint.
SAN FRANCISCO
Gap has cut 1,500 workers this year
Gap Inc. has jettisoned 1,500 workers so far this year in a purge driven by a three-year sales slump.
The job cuts, disclosed Thursday as part of the San Francisco-based company’s monthly sales report, weren’t a surprise.
WASHINGTON
Fannie Mae wants portfolio limit lifted
Fannie Mae chief executive Daniel Mudd argued Thursday that a temporary limit on his company’s mortgage portfolio should be lifted so that the financing giant could provide more liquidity to the troubled housing market.
“There are those in subprime now that could qualify for our loans,” Mudd said in a television interview on CNBC. “That’s what we’re looking to do – provide liquidity where people really have the creditworthiness.”
LOS ANGELES
Universal will allow digital tracks sold
Universal Music Group said Thursday it will allow digital tracks from thousands of albums by artists such as Sting, 50 Cent and Stevie Wonder to be sold online without copy- protection technology for a limited time.
