Cleveland Ohio Business News

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Huntington National Bank led all banks in northern Ohio over the past year in loans made under U.S. Small Business Administration programs.

It's only the second time that the same bank has led in all four categories the SBA tracks -- number of loans made, total value of loans, loans to minority-owned businesses and loans targeted for plant expansions -- and earned the Cleveland SBA's Grand Slam award.

Huntington will receive its Grand Slam award Friday at the Wyndham Cleveland Hotel downtown.

Continue reading "Huntington top SBA lender among area banks" »

National City Bank supporters will stage a "Save NCB" rally noon Friday on the southwest quadrant of Public Square in downtown Cleveland.

"We need bodies," said organizer Dave Hunsinger of the ad hoc Save NCB Task Force.

Hunsinger, who owns the Granny Annie's dry cleaning stores, hopes to save the historic National City Bank, and its roughly 8,000 Greater Cleveland workers from the takeover plans of PNC Financial Services Group of Pittsburgh.

"This city can't keep getting kicked in the teeth," Hunsinger said.

For more information, see www.savencb.com.

Updated 5:11 p.m.

Citing uncertainty about the economy, KeyCorp on Thursday slashed by two-thirds the dividend it pays shareholders. It was the second cut in less than six months.

The board of directors voted to cut the fourth-quarter dividend to 6.25 cents per common share, down from 18.75 cents. The board in June had cut the dividend from 37.5 cents per quarter.

On an annualized basis, the Cleveland bank's dividend stands at 25 cents per share, down from $1.50 in June.

Continue reading "KeyCorp cuts dividend for second time this year" »

Stocks have plunged again to levels not seen in more than five years as hopes fade that lawmakers will soon put together an aid package for U.S. automakers.

Huge declines in the financial and energy sectors led stocks lower today. The pullback for the second straight day amid heavy volume sent the Standard & Poor's 500 index down 54 points to a level below the closing low of 776.76 logged on Oct. 9, 2002.

Continue reading "Closing Market ... Dow down 444.99 ... S&P down 54.14... Nasdaq down 70.30" »

Congressional leaders today postponed any decision on an automaker bailout for two weeks, saying they want to hear fresh ideas from the industry on how it can become viable. Only then will Congress consider ways to rescue the industry from what some say is impending bankruptcy.

Senate Leader Harry Reid and House Speaker Nancy Pelosi repeatedly stressed that the industry needs to present a plan that will work and holds the industry accountable.

"The key is accountability and viability," Reid said at a news conference. "That's not too much."

The congressional leaders criticized the industry for changing its goals in recent weeks, noting that when auto executives first approached Congress for help, they wanted to discuss a possible merger. Soon that changed to a request for a massive cash infusion to save the industry.

Continue reading "Senate Democratic leaders say they'll delay auto bailout plan, for now" »

Although PNC Financial Services Group is getting $7.7 billion from the U.S. Treasury as part of its deal to buy National City Corp., PNC said today it may need more money.

In a roughly 200-page regulatory filing, PNC said it is exploring a common stock offering at some point in the future, although it is not definite.

Separately, PNC said today it plans to issue 93 million shares of common stock and 1,500 shares of preferred stock to pay for its purchase of National City.

PNC is buying National City of Cleveland for $5.6 billion in a deal that's expected to close by Dec. 31.

Continue reading "PNC: $7.7 billion may not be enough" »

WASHINGTON -- A compromise auto-industry bailout bill put together by Sen. George Voinovich of Ohio and Kit Bond of Missouri has gained more support, and sponsors and supporters plan to unveil it at a 2:30 p.m. news conference at the Capitol. (Related story: See The Plain Dealer's original report from Wednesday.)

Besides Sen. Carl Levin of Michigan, who joined talks yesterday, other Democrats who have signed on today are Ohio's Sherrod Brown and Michigan's Debbie Stabenow, according to Voinovich's office. Arlen Specter of Pennsylvania also is on board.

"It's a sensible compromise, and we feel that if there is a vote, it's going to pass," Voinovich spokesman Chris Paulitz said.

The deal would provide up to $25 billion in loans to Detroit. The money was already approved by Congress for a different program, one to retool the industry for advanced-technology cars and trucks. Instead, the bailout legislation would let auto makers borrow the money to meet their immediate payroll and cash-flow needs. As the companies repaid and the pool was replenished, the companies could re-borrow for the retooling originally envisioned.

The bill still could face hurdles from House or Senate leaders who wanted the money to come from the $700 billion financial industry bailout fund. They also worried that the effort to produce cleaner, more efficient cars would suffer if the money for the necessary retooling is deferred or diverted.

But if the Democrats who signed on can convince their leaders to compromise, political squabbling might take a back seat and Detroit will get its $25 billion rescue to avoid auto maker bankruptcies.

"Thank God, saner heads prevailed," said Jim Graham, president of the United Auto Workers Local 1112 in Lordstown.

TransDigm Group Inc., a Cleveland designer and manufacturer of military and commercial aircraft components, today reported a fourth-quarter profit of $38 million, or 75 cents a diluted share, a 54 percent increase from a profit of $24.7 million, or 50 cents a share, in last year's fourth quarter.

Sales for the three months ended Sept. 30 were up $189.2 million, up 12.6 percent from sales of $168 million a year ago.

Continue reading "TransDigm profit up sharply for quarter, year" »

CLEVELAND -- Cleveland school officials have asked the Public Utilities Commission of Ohio to reject a FirstEnergy rate plan that would scrap discounts for schools and would nearly double the district's electric bill to almost $10 million.

In documents filed Wednesday, lawyers also requested that the PUCO freeze the district's present rate until the two sides negotiate a new deal or the commission sets the amount.

The commission is expected to approve a new three-year rate structure for FirstEnergy by Dec. 31. That is when the utility's existing rate plan expires.

Continue reading "City schools fight FirstEnergy rate plan" »

COLUMBUS -- Emily Jerry died because a pharmacy technician wasn't trained well enough to know she was making a lethal mistake by mixing a heavy dose of salt into the tiny girl's chemotherapy treatment.

That tragedy should never be repeated, the girl's mother, Kelly Jerry, told state lawmakers Wednesday as they held a hearing on a bill to regulate and train pharmacy technicians in Ohio for the first time.

Known as "Emily's law," the measure would require that Ohio pharmacy technicians pass a competency test as well as a criminal background check. The measure passed the Ohio Senate in May, and is now undergoing hearings in the House Health Committee.

Propping up a picture of her curly-haired toddler in front of her, Jerry described holding the 2-year-old in her arms as the Mentor girl first went limp and then began screaming as the saline coursed through her veins.

Continue reading "'Emily's law' for pharmacy technicians expected to pass" »

OHIO AND REGION PD fileAAA: Ohio holiday travel to shrink Columbus firm says it owns Facebook technology Chrysler dealer tries to lure buyers by taking losses on cars Liquid crystal company moving to KSU research park U.S. AND WORLD Putin: Russian will come out stronger from crisis AstraZeneca to cut 1,400 jobs, restructure logistics

Credit-card users face higher fees, rates Asian stocks head lower; Nikkei sinks 6.9% ON THE WEB New York Times: Web sites wage holiday price wars Seattle Times: Who's hiring? WaMu's bankrupt parent company Wall Street Journal: Report finds heavier cost for caregivers AP fileAtlanta Journal-Constitution: Stormy skies at the Weather Channel