FIRST UNION PROMOTES FLORIDA EXEC: Florida continues to be a training ground for leaders of First Union Corp. Two weeks after naming a former head of its Florida operation, G. Kennedy Thompson, as its president, the Charlotte, N.C., bank tapped the current president of First Union Florida, Benjamin Jenkins, as head of the company's General Bank. Jenkins, 55, will oversee all retail and commercial banking operations in the 12-state organization. He also will continue as Florida president, working out of state headquarters in Jacksonville. Another key operation, electronic commerce, is headed by former Florida president David Carroll. The management shuffle comes as the country's sixth-largest bank struggles to regain investor confidence after missing its revenue and profit goals. The changes take effect at year-end upon the retirement of bank president John Georgius.
PAXSON CONSIDERS SALE: Paxson Communications Corp., owner of the largest TV station group, said it hired investment bank Salomon Smith Barney to explore a possible merger or sale of a stake in the West Palm Beach company. Paxson said its board decided to pursue the moves in anticipation of last week's Federal Communications Commission ruling that will allow broadcasters to own two TV stations in one large market. Home Shopping Network co-founder Lowell "Bud" Paxson parlayed his fortune from selling his interest in St. Petersburg-based HSN into ownership of 72 stations.
TREASURY AUCTION: Interest rates on short-term Treasury securities rose in Monday's auction. The Treasury Department sold $8-billion in three-month bills at a discount rate of 4.790 percent, up from 4.695 percent last week. An additional $8-billion was sold in six-month bills at a rate of 4.915 percent, up from 4.750 percent. The new discount rates understate the actual return to investors _ 4.930 percent for three-month bills and 5.125 percent for six-month bills. The Federal Reserve said the average yield for one-year Treasury bills rose to 5.13 percent last week from 5.07 percent the previous week.
The Tampa-based pay phone company reported its losses widened and sales declined 10.9 percent during the second quarter ended June 30, driven down by a drop in coin call revenues during the period. Sam Zell, the Chicago real estate mogul who took over as chairman of Davel in July, said: "Davel is navigating the current industry climate by aggressively managing its cost structure and leveraging its industry leading position and broad geographic coverage."
2ndQtr Year Ago
Revenue $48.2-mil $54.1-mil
Net Income -$5.4-mil -$4-mil
Per Share -53 cents -55 cents
The Clearwater manufacturer of aircraft instruments said fiscal second-quarter net income more than doubled as the company started seeing the results of some new, long-term military and commercial contracts. Revenue increased 20 percent in the quarter ended
July 31 from the year-ago period.
2ndQtr Year Ago
Revenue $5.9-mil $4.9-mil
Net Income $143,000 $55,000
Per Share 4 cents 1 cents