LITTLE ROCK — QUOTE OF THE DAY "The public was not at risk at all and the parts on our planes were not faulty." Ashley Rogers, a spokesman for Southwest Airlines Article, 1DLaBarge in Huntsville to craft radar parts
LaBarge Inc.'s Huntsville manufacturing location will make electronic parts for the defense contractor's multirole electronically scanned array-radar system as part of a $2.6 million contract expiring in February.
The St. Louis-based specialty electronics manufacturer said it has been a part of Northrop Grumman Corp.'s radar-system production team since 2002. Northrop Grumman of Los Angeles operates several business units.
The radar mounted atop a military aircraft's fuselage has a long detection range with a 360-degree electronic scan that can simultaneously track air and sea targets, according to a news release. The technology is in use on 737-700 series aircraft made by Boeing Corp.
LaBarge employs about 165 people at its Huntsville location and another 115 people in Berryville. It also operates plants in Missouri, Oklahoma, Pennsylvania, Texas and Wisconsin.
Chrysler can't block suits, creditors say
Chrysler LLC's creditors said the reorganized automaker, "New Chrysler," can't use bankruptcy law to block lawsuits filed by dealers in state courts.
Chrysler said the litigation is barred by Chapter 11 of the U.S.
Bankruptcy Code, which automatically blocks lawsuits while a company reorganizes. Creditors disagreed in documents filed Tuesday in U.S. Bankruptcy Court in Manhattan.
"Contrary to the movants' assertions, the state actions do not violate the automatic stay provisions," lawyers for the creditors wrote. Any damages awarded in the lawsuits would come from New Chrysler, not the bankrupt estate, they said.
U.S. Bankruptcy Judge Arthur Gonzalez approved Chrysler's plan to reject 789 dealer agreements before most of the Auburn Hills, Mich.-based company's assets were sold to a group led by Italy's Fiat SpA in June, creating the world's sixth-largest automaker.
Chrysler faces at least four lawsuits in state courts related to the rejections, from Boucher Imports Inc. in Wisconsin, Crain CDJ in Arkansas, Spitzer Autoworld Sheffield LLC in Ohio and Sun Country Chrysler Inc. in Utah. Chrysler said Tuesday that it is seeking contempt sanctions from the dealers to cover the costs of enforcing the court-approved sale agreement.
"This court should enforce its own orders and bring the litigation filed by the noncompliant dealers to an end," lawyers for Chrysler wrote in papers filed Tuesday after the creditors' objection.
Johnson & Johnson cuts business unit
TRENTON, N.J. - Health-care giant Johnson & Johnson is consolidating management and scrapping one of its new business groups.
A spokesman said Wednesday that the company is eliminating its comprehensive-care business, one of three business units created in November 2007 to increase sales.
Just a few months ago, unit head Donald Casey told analysts that comprehensive care and the rest of the firm would benefit from a health-care overhaul focusing on chronic care and boosting the number of people with health coverage. Comprehensive care includes vision care, diabetes products, heart stents and diagnostic tests.
Now, Casey will be leading a transition to break up the group and shift its businesses to other parts of New Brunswick, N.J.-based Johnson & Johnson's structure.
Word of the change came in a letter from longtime Johnson & Johnson Chairman and Chief Executive Bill Weldon to employees at the end of last week, company spokesman Bill Price said.
Johnson & Johnson is the world's most broadly based healthcare company, with nearly $64 billion in annual revenue and more than 250 operating companies in 57 countries around the world.
Johnson & Johnson shares fell 51 cents Wednesday to close at $60.63.
US Airways checked-bag fees to rise by $5
NEW YORK - US Airways said Wednesday that it is bumping up its fees for first and second checked bags by $5 each, and is tacking on an additional fee for a second checked bag on trans-Atlantic flights.
The Tempe, Ariz.-based airline it will charge $20 for the first bag and $30 for the second, when bags are checked online. The current charge is $15 for a first bag and $25 for a second bag when checked online.
Rates will be an extra $5 per bag checked in at the airport.
The current bag fees at the airport are $20 for the first and $30 for the second.
US Airways Group Inc. is also matching a $50 second checked-bag fee on its trans-Atlantic flights, a charge recently introduced by American Airlines and Delta Air Lines. The new trans-Atlantic second bag fee will apply to all European destinations served by the airline.
The US Airways fee changes were effective starting Wednesday for travel on or after Oct. 7.
The carrier's top-tier frequent fliers - those with Silver, Gold, Platinum or Chairman's Preferred statuses - will be exempt from the fees. So will Star Alliance Silver and Gold status members, first-class passengers and active-duty military personnel.
Shares jumped 31 cents Wednesday, or 9 percent, to close at $3.76.
Wal-Mart jet makes emergency landing
A Learjet 45 registered to Wal-Mart Stores Inc. made an emergency landing Wednesday at Boeing Field in Seattle shortly after takeoff when the pilot couldn't retract the front landing gear.
Mike Fergus, a spokesman for the Federal Aviation Administration, said the landing gear locked up on landing, causing a fire that firefighters extinguished. No one was injured.
Dan Fogleman, a spokesman at Wal-Mart headquarters in Bentonville, said the jet was on a routine business trip, headed to Anchorage with company employees.
"We are very appreciative of the quick response of emergency personnel at Boeing Field to help assure the safety of our associates on board," he said.
HP to create new airline system for AMR American Airlines, the world's second-biggest carrier, said Wednesday that Hewlett-Packard Co. will design a computerized system for reservations, pricing and ticketing.
The companies signed a letter of intent to develop the program, known as Jetstream, in the next four years. American and Hewlett-Packard declined to comment on the cost of the system, which will process flight data, traveler check-in and airport operations data for employees.
Jetstream is intended to improve efficiency and consistency, reducing operating costs. It gives Hewlett-Packard a system to sell to other airlines, capitalizing on the $13.2 billion purchase a year ago of Electronic Data Systems Corp. to supplement its computer-sales business with service contracts.
Business, Pages 24 on 08/27/2009