IN BRIEF
Terms of exit revealed for former executive
Western Alliance Bancorporation on Monday reported the terms of Larry Woodrum's July resignation as president and CEO of Bank of Nevada, a Western Alliance subsidiary.
Under the agreement, Woodrum received his $350,000 salary for the remainder of the past year and agreed to serve as vice chairman of the bank's board of directors. He receives $120,000 for that position this year through year-end 2009.
As part of the deal, Woodrum signed a noncompete agreement that continues while he is a director.
Western Alliance separately announced Friday that it completed its acquisition of First Independent Capital, the holding company for the similarly named bank based in Reno. First Independent Bank will continue to operate under its current name, management and board.
Harrah's, shareholders agree to settle lawsuit
Harrah's Entertainment and some stockholders agreed in principal Monday to settle a class action lawsuit involving the proposed buyout of the gaming company by private equity investors.
A number of stockholders filed a class action lawsuit in November challenging the proposed per share price of $83.50. The offer has since been raised to $90 per share.
Harrah's is seeking regulatory approval for a $17.1 billion buyout by Apollo Management and Texas Pacific Group.
The court hearing came ahead of Thursday's slated stockholders meeting to approve the merger.
Starwood says exec resigns after conflict
Starwood Hotels & Resorts said Monday that Chief Executive Steven Heyer, 54, has resigned after he and the company's board clashed over his management style, surprising analysts who say the company's overall strategy is sound.
The change at the top suggests the company could be sold, given the favorable buyout environment and the sector's strengths, analysts said.
Starwood is a joint-venture partner with Edge Resorts in developing 50 acres on Harmon Avenue behind the Hard Rock Hotel.
The company also holds a 15 percent share in OpBiz, the parent company of the Aladdin.
Representatives for both developments said the announcement shouldn't affect their individual developments.
Starwood Hotels holds no formal business relationship with the private investment company Starwood Capital Group, which is trying to buy the Riviera.
Earnings increase for Las Vegas-based Exx
Exx, a Las Vegas holding company whose units make and sell electric motors and toys, on Monday said its fourth-quarter net income rose from a year earlier.
In a statement, Exx said its net income was $1.4 million, or 11 cents per diluted share, for the three months ended Dec. 31, up from net income of $204,000, or 2 cents per share, a year earlier. The number of diluted shares outstanding rose to 12.79 million from 12.36 million.
Sales fell 1.8 percent to $36.8 million from $37.5 million.
WASHINGTON
Passport production moves at feverish clip
Passport delays got your summer travel plans in limbo? You may be able to rest easier.
The State Department says it is cranking out U.S. passports in historically high numbers to meet an unprecedented surge in demand caused by tough new immigration rules.
Last week, it issued a record 412,000 of the documents, the most ever issued over a seven-day period, easily besting the only week-old previous high mark of 379,000, the department said in a statement on Monday.
A boost in staffing and overtime and weekend hours at the 17 passport agencies has succeeded in reducing some processing delays that had threatened a huge number of overseas vacations for Americans and sparked congressional concern, it said.
SAN FRANCISCO
New Century Financial files for bankruptcy
New Century Financial filed for bankruptcy protection on Monday and said it would lay off 3,200 people, or half its workforce, immediately as the second-largest subprime mortgage lender succumbed to a credit crunch in the sector.
The company's shares fell 14.5 cents, or 14 percent, to 91.5 cents at 3:59 p.m. New York time in over-the-counter trading.
The company filed for Chapter 11 bankruptcy in Delaware.
WASHINGTON
Interest rates fall in Treasury auction
Interest rates on short-term Treasury bills fell in Monday's auction with three-month bills dropping to the lowest levels since last December.
The Treasury Department auctioned $17 billion in three-month bills at a discount rate of 4.91 percent, down from 4.925 percent last week. Another $14 billion in six-month bills was auctioned at a discount rate of 4.87 percent, down from 4.875 percent last week.
DALLAS
Greyhound drivers reject contract offer
Drivers and other employees at Greyhound Lines Inc. rejected a company contract proposal, leaving two weeks before their current contract with the bus operator runs out, the company said Monday.
Greyhound had called the proposal its final offer. But Local 1700 of the Amalgamated Transit Union rejected the offer by more than a 3-to-1 margin, union officials said. The union represents 3,300 Greyhound workers, including 3,000 drivers and about half the company's mechanics.
Union leaders had unanimously recommended a "no" vote. The union said 77.4 percent of voters opposed the contract, which called for a 2 percent increase in wages.
DENVER
First Data agrees to $27 billion buyout
Credit card transaction processor First Data Corp. said Monday that it is being acquired by an affiliate of private equity firm Kohlberg Kravis Roberts & Co. for about $27 billion, which would be among the richest ever private takeover offers in the U.S.
KKR has offered $34 a share for First Data, a premium of about 26 percent over First Data's closing price on Friday.
NEW YORK
Manufacturing news sends bond prices up
U.S. Treasury bond prices rose slightly Monday, failing to make much of a report of manufacturing activity that came in weaker than expected.
At 5 p.m. EDT, the 10-year Treasury note was up 31 cents per $1,000 in face value, or 0.03 points, from its level at 5 p.m. Friday. Its yield, which moves in the opposite direction, fell to 4.64 percent from 4.65 percent.
The 30-year bond rose 0.06 points. Its yield was unchanged at 4.84 percent.
