Federal Communications Commission Chairman Kevin Martin delayed Thursday’s scheduled vote on AT&T; Inc.’s purchase of BellSouth Corp., a sign he needs more time to win approval of the $79 billion transaction. The FCC meeting on the merger was postponed until today while Martin and fellow Republican Commissioner Deborah Tate try to persuade the panel’s two Democrats to support the deal. AT&T; may accept some conditions to secure a unanimous vote, senior vice president Robert Quinn said. Democratic commissioners Michael Copps and Jonathan Adelstein criticized Thursday’s Justice Department backing of the deal without conditions. The fifth commissioner, Republican Robert McDowell, has said he expects to be barred from voting because of his past work as a lobbyist.
Local
Ustler and Rampy are honored
Developers Craig Ustler and Phil Rampy, who both have been instrumental in the revitalization of downtown Orlando, were honored for their contributions Thursday by the Florida Real Estate Foundation. The two were honored during a reception at the Orange County Regional History Center. The foundation, created by the Orlando Regional Realtors Association, focuses on affordable housing, real estate education and research.
Broad Street gets new partner
G. John Carey, former president of Flagler Development Co., has joined Broad Street Partners of Orlando and Charleston, S.C., as a partner, Broad Street Managing Partner Steve Walsh said Thursday. Carey has opened a Broad Street Partners office in Jacksonville. Flagler Development, which is based in Jacksonville, has substantial real estate holdings in Central Florida.
Nation
Chicago program ranked No. 1
The University of Chicago Graduate School of Business is the best in the United States, according to Business Week magazine’s 2006 survey of the best business schools. Chicago ranked second in Business Week’s last survey, in 2004. It took first place this year because Dean Edward Snyder added “weekly breakfasts with students” and “improved support services,” the magazine said in a news release. Chicago was followed by the Wharton School at the University of Pennsylvania; Northwestern University’s Kellogg School of Management, which was ranked first in the 2004 poll; Harvard Business School and the University of Michigan’s Stephen M. Ross School of Business.
Home Depot trims management
Home Depot Inc., the world’s largest home-improvement retailer, altered its management structure to remove the layer between the store leaders and Chief Executive Officer Bob Nardelli. Carl Liebert, head of Home Depot stores, and Bill Lennie, head of merchandising, including flooring and appliances, have resigned, the company said Thursday. Chief Financial Officer Carol Tome was given responsibility for some store operations, including customer service, which has suffered under Nardelli. Meanwhile, the chiefs of the company’s regional retail divisions, marketing, merchandising and supply chain, will report directly to Nardelli.
Wendy’s to sell Baja Fresh chain
Wendy’s International Inc., the third-largest U.S. hamburger chain, agreed to sell its Baja Fresh Mexican Grill restaurant chain to a group of investors for $31 million. The 300 restaurants will be sold to a group led by investor David Kim, Wendy’s said Thursday. The transaction may be completed in the fourth quarter. Wendy’s said in March it was considering selling the struggling Baja Fresh chain, where same-store sales have been declining. In the second quarter, Wendy’s wrote off $93 million of assets because it decided Baja Fresh wasn’t worth its purchase price. The company bought Baja Fresh in 2002 for $275 million. Wendy’s wrote off $199 million of the chain’s value in 2004.
Court freezes Pinnacle assets
A federal court has frozen the assets of real estate promoter Pinnacle Development Partners and its owner, after federal regulators accused them of civil securities fraud in a Ponzi scheme that bilked investors of at least $30 million. In an order issued Wednesday, the U.S. District Court in Atlanta issued an order freezing the assets of the firm and owner Gene A. O’Neal, appointing a receiver for Pinnacle and the investor partnerships it controls, and halting the firm’s operations. Atlanta-based Pinnacle and O’Neal sold interests in the partnerships through a nationwide advertising campaign, running ads in more than 40 newspapers and magazines, the Securities and Exchange Commission said in its suit, promising high returns and a recouping of the investment after 90 days
Earnings
Costco Wholesale Corp., the largest U.S. warehouse club, said fourth-quarter earnings unexpectedly rose as gasoline sales became more profitable and employment costs declined. Profit rose to $355.6 million, or 75 cents a share, from $354.7 million, or 73 cents, a year earlier. Revenue including membership fees jumped 19 percent to $19.9 billion, the biggest gain in six years.
PepsiCo Inc., the world’s second-largest soft-drink maker, said third-quarter profit jumped 71 percent on overseas sales. Earnings at the company’s North American beverage unit missed analysts’ estimates as it spent more on commodities such as oranges. PepsiCo’s products include Tropicana juices. Profit rose to $1.48 billion, or 88 cents a share, from $864 million, or 51 cents, a year earlier when profit was hurt by costs to return overseas earnings to the United States. Sales rose 9.4 percent to $8.95 billion.
