Business Briefs
Business Briefs

DALLAS — Exxon Mobil Corp. Chairman and Chief Executive Officer Rex Tillerson will retain both of those jobs at the world's biggest publicly traded oil company after a highly public, Rockefeller-led push to separate the roles failed again Wednesday.

Stripping Tillerson of the chairman's job in favor of an independent director was the main focus of the company's annual shareholder meeting at a downtown symphony hall. In the end, the measure got support of only 39.5 percent of shareholders, slightly less than last year's 40 percent, despite a hard push by descendants of John D. Rockefeller, the founder of Exxon Mobil predecessor Standard Oil Corp.

WASHINGTON — Federal regulators have won a court order freezing the assets of brokerage firm North American Clearing Inc., and two current and one former executives, whom they accuse of defrauding investors.

The Securities and Exchange Commission on Wednesday announced the asset freeze and a temporary restraining order issued against North American Clearing, based in Longwood, Fla.; founder and owner, Richard Goble; president Bruce Blatman and former financial and operations officer Timothy Ward.

In a lawsuit filed Tuesday in federal court in Orlando, the SEC charged the firm and the three individuals with civil fraud and other violations of securities laws, alleging that they misused customer funds to conceal the firm's financial problems and pay for its daily business operations.

DETROIT — Ford Motor Co. plans to conduct involuntary layoffs of salaried employees by August as part of a restructuring in the face of slumping sales and record-high gasoline prices, a spokeswoman said Wednesday.

Marcey Evans said the company hasn't yet determined how many white-collar jobs will be cut. But she said that unlike previous rounds of layoffs in recent years, employees won't be offered voluntary buyout packages with financial or early retirement incentives. Evans said the company wants the cuts done by Aug. 1.

A newspaper report Wednesday said that some employees were told that Ford plans to cut its salaried work force by 10 to 12 percent, or more than 2,000. But Evans said Ford hasn't yet decided how many people will be cut.

WASHINGTON — Interest rates on short-term Treasury bills rose in this week's auction to the highest levels in three months.

The Treasury Department auctioned $25 billion in three-month bills at a discount rate of 1.87 percent, up from 1.855 percent last week. Another $23 billion in six-month bills was auctioned at a 1.92 percent rate, up from 1.885 percent last week.

The three-month rate was the highest since three-month bills averaged 2.16 percent Feb. 25. The six-month rate was the highest since 2.07 percent, also Feb. 25.

The discount rates reflect that the bills sell for less than face value. For a $10,000 bill, the three-month price was $9,952.73.

ALBANY, N.Y. — Customers can apply at a new Web site for restitution from Dell Inc. after a state judge found the computer maker falsely and deceptively advertised its warranties and promotional financing.

Dell was told to more clearly disclose that most customers don't qualify for free financing or "next day” repair service.

Customers who bought Dell computers from a New York address may apply for restitution at www.nyagdell.com.

NEW YORK — Blockbuster Inc. unveiled a prototype of an in-store kiosk for downloading movies at its annual meeting on Wednesday, part of its plan to transform into more than just a DVD rental chain.

Blockbuster's proposed takeover of electronics retailer Circuit City Stores Inc. for just over $1 billion was only mentioned briefly during the meeting. Chairman and Chief Executive Officer Jim Keyes said thecompany is in the due diligence stage of considering a possible acquisition.

Keyes said acquiring Circuit City would be an "accelerator” of the company's strategy to grow Blockbuster's core rental business and enhance its product offerings of movies, games and entertainment gadgets.

Billionaire investor Carl Icahn, Blockbuster's largest shareholder, did not attend the morning meeting. Icahn has said he is prepared to buy Circuit City if all else fails.

WASHINGTON — Federal Reserve Governor Frederic Mishkin will leave at the end of August and return to teaching at Columbia University, the central bank announced Wednesday. His departure leaves three of seven seats empty on the Fed as it battles housing, credit and financial debacles.

Mishkin, who has been on the Fed board since Sept. 5, 2006, submitted his resignation to President Bush.

Mishkin, 57, will return to Columbia University's Graduate School of Business as a professor of economics and resume teaching in the fall, the Fed said.

RICHMOND, Va. — Altria Group is reiterating its interest in growing its business in other tobacco categories as domestic cigarette sales continue to decline.

The company on Wednesday held its first shareholder meeting since the March spinoff of its international cigarette business.

The company has said it will deal with fewer cigarette sales by capitalizing on its Marlboro brand and selling more smokeless products. It has projected that cigarette sales volume will fall between 2.5 to 3 percent in the U.S. over the next few years.

The Associated Press

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