Biz week
Published 8:14 pm Friday, April 10, 2009
More Boeing cuts
The Boeing Co. has announced plans to slow production next year of its 777 jet from seven planes a month to five. The move will mean cutbacks in addition to the 4,500 jobs the company is cutting this year in the Puget Sound region. Company officials announced the slowdown late last week, saying the reductions in air travel during the recession have hurt Boeing customers. Some have asked to defer deliveries. In addition to the 777 slowdown, Boeing will cancel plans to increase production of the 747 and 767.
More bank reprimands: Mountain Pacific Bank of Everett announced that it received a cease-and-desist order last fall from federal and state banking officials. The bank agreed to the terms of the order without admitting any wrongdoing. CEO Mark Duffy said the bank has been working hard to address the concerns, which stem from the steep decline in the real estate market. The bank has reduced staff, cut salaries and benefits, and set aside more money for bad loans.
Darrington mill cutbacks: The Oregon owners of Darrington’s Hampton sawmill are cutting production in a move that will lay off some 90 workers. The mill is the community’s largest private employer. Company officials said the recession and the sharp drop in home construction is forcing it to cut production at all its mills in Oregon, Washington, and British Columbia.
Gottschalks to close doors: The Marysville Gottshalks store started liquidating its merchandise last week. The California-based Gottshalks decided to close its 58-store chain, including seven stores in Washington, when efforts to reorganize its under Chapter 11 bankruptcy failed. CEO Jim Farnalette said the liquidation was the “only path” for the company. Customers of the Marysville store said they were sad for the closure.
