Business Briefs: Pilot divorces spur lawsuit

NATION

HOUSTON — Continental Airlines Inc. is suing nine pilots that it says got sham divorces so their spouses could collect their retirement benefits while they kept flying. The airline says the pilots and their spouses remarried after they got the money — between $10 million and $11 million in all. Continental says most of the pilots involved have been fired or quit, but one was rehired after he promised to pay back the retirement money. The airline filed the lawsuit Wednesday in federal district court in Houston.

WASHINGTON — Amtrak is cutting fares by 25 percent on some Eastern trains this summer as the national passenger railroad looks to boost demand during the recession. The discount runs from June 2 through Sept. 3. It applies to those taking regional trains on the Northeast Corridor, which runs from Washington to Boston. The discount also is available from Washington to Newport News, Va. In addition, Amtrak is extending a February price cut on its higher-speed Acela service, which runs from Washington to Boston. Passengers must make reservations two weeks in advance to get the lower fares.

CLERMONT, Ky. — Bourbon drinkers have been mixing Jim Beam for years. Now, the world’s top-selling bourbon maker is doing the same. Jim Beam is preparing a national rollout of Red Stag, a specialty whiskey that infuses natural black cherry flavors into the brand’s 4-year-old bourbon. It’s billed as the first major innovation by Jim Beam in a decade. Jim Beam senior brand manager Adam Graber says the goal is to appeal to people who have passed up bourbon. Beam isn’t the only Kentucky bourbon maker dabbling in new flavors. Heaven Hill Distilleries Inc. is planning its own specialty spirit mixing bourbon and honey flavoring. Company spokesman Larry Kass says Evan Williams Honey Reserve is due out in September.

CAMDEN, N.J. — The Campbell Soup Co. is trying to reassure investors that the company is having a strong year even though soup sales were down for the third quarter. The company released its quarterly results Thursday afternoon — a day before they were planned. The unusual move came as analysts were speculating that the report would be particularly rough. Instead, it was a case of good news-bad news. Profits were down. Adjusted profits were up. Soup sales were down. But the company raised its outlook for the rest of the fiscal year. During a conference Friday, Campbell President Douglas Conant told analysts that the company’s fiscal year so far has been good despite many challenges.

CHICAGO — United Airlines says it will recall 107 furloughed mechanics. The nation’s third-largest airline says it needs the line mechanics to help with repairing cabin items, reducing the number of out-of-service planes, and ensuring the reliability of the fleet. Chicago-based United says the recalls will begin immediately and will be spread across all its hubs. United, a unit of UAL Corp., has 2,995 mechanics furloughed.

COLUMBIA, S.C. — South Carolina’s highest court has lifted a temporary stop on thousands of pending foreclosure sales in the state. Supreme Court Chief Justice Jean Toal on Friday replaced an injunction with procedures to ensure foreclosures are handled uniformly while eligible homeowners seek out federal assistance. Earlier this month, Toal ordered South Carolina judges to stop finalizing foreclosure sales on thousands of properties to give homeowners time to take advantage of a federal program to help them refinance. Mortgage experts said Toal’s ruling was the nation’s first court-ordered stop for an entire state. Foreclosure listing firm RealtyTrac Inc. said Toal’s order could affect 5,000 homes.

HOUSTON — The number of rigs actively exploring for oil and natural gas in the U.S. fell by 18 this week to 900, down more than half from a year ago. Of the rigs running nationwide, 711 were exploring for natural gas and 180 for oil, Houston-based Baker Hughes Inc. reported Friday. Nine were listed as miscellaneous. A year ago, the rig count stood at 1,889. The U.S. count is down 56 percent since the end of August as weak energy demand has hampered oilfield activity. Oil prices peaked at almost $150 a barrel in July before plunging. Light, sweet crude rose 9 cents to $61.14 a barrel in trading Friday on the New York Mercantile Exchange. Of the major oil- and gas-producing states, Texas lost 11 rigs, Oklahoma lost eight, Louisiana lost five and Alaska and Wyoming each lost one. New Mexico added four rigs and California and North Dakota each added one. Arkansas and Colorado were unchanged.

World

CARACAS, Venezuela — Venezuela says it has reached a deal to pay Spain-based Banco Santander $1.05 billion for the nationalization of its local unit. Vice President Ramon Carrizalez said Friday that the takeover of Banco de Venezuela will allow the government to assert greater control over the economy as it moves toward a socialist model. President Hugo Chavez announced last year that his government would nationalize the bank, but authorities had been locked in negotiations over a purchase price. In March, Chavez said the bank’s value had fallen due to the world financial crisis.

FROM WIRE REPORTS

---

Leave a Comment

Business Photo Galleriesview all