Southwest closes $1 billion deal with AirTran
Published 12:01 am Tuesday, May 3, 2011
Southwest Airlines Co. closed its $1 billion purchase of AirTran on Monday, securing its spot as one of the biggest domestic airlines. For travelers, nothing much changes right away. They’ll continue to deal with whichever airline sold their ticket. And policies such as checked bag fees are not chan
ging right away. AirTran charges for checked baggage, while Southwest allows two bags for free. Integrating the two airlines will take years. Southwest plans to begin painting AirTran airplanes in Southwest colors next year. It expects to get a single operating certificate from the Federal Aviation Administration in the first quarter of 2012.
PUD’s Klein named executive of the year
Snohomish County PUD General Manager Steve Klein has been named “2011 Executive of the Year” by the Snohomish County Business Journal. Klein has served as the utility’s general manager since 2006. He will receive the award at the May 4 meeting of the newly formed Economic Alliance Snohomish County. In selecting Klein for the honor, the journal cited his “exceptional expertise in managing and directing the operations of the PUD, his successful management style and his community involvement.”
Banks eager to lend money to consumers
Banks are more willing to make loans to consumers than any time in the past 17 years, according to a survey released by the Federal Reserve on Monday. Several large banks have already eased lending policies on credit card and auto loans, according to the Fed’s Senior Loan Officer Survey for January through March. Consumer demand for auto loans did improve in the first quarter, the survey found. But demand was little changed for credit card loans and other consumer loans. Demand for home mortgages continued to decline. The Fed’s survey is watched closely by financial markets to get a sense of whether credit is flowing in the economy. The deep recession was due in part to the slowdown in credit after the housing bubble burst.
Factory growth up again in April
Manufacturing activity grew for the 21st straight month in April, fueled by a weak dollar that has made U.S. goods cheaper overseas. But the cost of raw materials rose for the fifth consecutive month, a growing concern for many companies. The Institute for Supply Management, a trade group of purchasing executives, said Monday that its index of manufacturing activity dipped to 60.4 in April. That’s down slightly from March and February, the fastest month for expansion in nearly seven years. A reading above 50 signals growth. Since the beginning of the year, manufacturing has grown at the fastest pace in 27 years, said David Resler, an economist at Nomura Securities. The index has topped 60 for four straight months, evidence that manufacturing remains one of the strongest components of the economy.
From Herald news services
