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Web posted Sunday, February 4, 2001

Around the World February 4, 2001


STATE

Utility woes dim retailer

FAIRBANKS -- California's power woes have dimmed the lights of some Alaska department stores.

Officials with Fresno, Calif.-based Gottschalks Inc. an-nounced that all 79 stores in seven states -- including Alaska -- would turn off unneeded lights and close stores early in an effort to conserve power.

"There may not be an energy crisis there. We just felt it was in our best interest to conserve energy," said Fred Bentelspacher, Gottschalks spokesman.

The firm says its stores will resume regular business hours when the energy crisis is over.

The stores are employing other conservation measures, including shutting off the Gottshalks signs when the stores are closed. Employees now restock merchandise and clean during store hours as well.

Ticket change fees rise

JUNEAU -- Travelers making connecting flights at airports in Anchorage or Seattle may have to pay more if they want to change their tickets.

Two major airlines have hiked their fees to change nonrefundable advance-fare tickets.

Continental Airlines in-creased its fee from $75 to $100 and American Airlines' fee has gone from $15 to $90.

Both airlines serve the Ted Stevens Anchorage International Airport and the Seattle-Tacoma International Airport.

Fishing decline probed

ANCHORAGE -- The Alaska Department of Fish and Game is mailing out 8,500 surveys to randomly selected Alaskans in an effort to learn the reasons behind a decline in resident fishing license sales.

The first batch of surveys is being sent mainly to those who haven't purchased a sport fishing license recently.

While Alaska's population grew by 4 percent from 1993 to 1999, resident fishing license sales declined nearly 8 percent. A total of 176,000 resident fishing licenses were sold in 1999.

Joblessness up slightly

JUNEAU -- The state Department of Labor reported that December's unemployment rate was 6.1 percent, up from 5.8 percent in November, and 0.2 percentage points higher than a year earlier. The national unemployment rate for December was 3.7 percent.

The state gained 4,000 jobs from December 1999. The only two sectors losing jobs were manufacturing, and finance, insurance and real estate. Prior to 1997, unemployment rates of 8 to 10 percent were more typical for December, said Neal Fried, state labor economist.

Workers can get refund

JUNEAU -- People who worked for more than one employer last year may be eligible for a refund if more than $133.92 taxes were deducted from all employers combined. Employees who had excess unemployment insurance taxes deducted in 2000 may apply for a refund through the end of the year. The taxes are usually designated as ESC, ESD, UI or SUI on the employee's W-2 form.

Alaska is one of three states where the employer and employees share the burden of building reserves from which unemployment benefits are paid. The employee's share for 2000 was 0.54 percent of wages up to $24,800. For refund forms, contact the Employment Security Tax Office in Juneau, 465-2757. Forms are also available at www.labor.state.ak.us/estax/forms/toc_forms.htm.

NATION

26,000 auto jobs cut

AUBURN HILLS, Mich. -- DaimlerChrysler AG's slashing of 26,000 jobs at its ailing Chrysler division stands as the most dramatic sign yet that the 1998 merger of German and American automakers has not lived up to its promise.

"Instead of making the billions of dollars in cost savings and synergies at the time of the merger, they're making desperate cuts to get Chrysler back in the black,'' said analyst David Healy of Burnham Securities.

Now, he said, "surgery is necessary to save the patient.''

On Jan. 29, the man tapped in November to stem Chrysler's financial hemorrhaging said the U.S. unit would slash about one-fifth of its work force over three years, as well as idle six plants over the next two years.

OfficeMax shuts 50 stores

CLEVELAND -- Office products retailer OfficeMax Inc. said Jan. 29 that it is moving ahead with plans to close 50 superstores across the country and will scale back new store openings to fewer than 25 -- about half the number previously announced.

The Cleveland-based company said 46 of the superstores being shut down will close within 90 days. Closing dates for the other stores will be announced later, OfficeMax spokesman Steve Baisden said.

About 1,250 employees will be affected by the closings but some will be given the option of transferring to other OfficeMax stores, Baisden said.

The company also said it expects to post a loss of more than 5 cents per share for its fourth quarter, which ended Saturday. OfficeMax blamed the "far-reaching consumer slowdown'' and winter storms in the Northeast and Midwest for its poor performance.

Alaska Air group posts loss

SEATTLE -- Alaska Air Group, hurt by the crash of one of its airliners a year ago near Los Angeles and by record fuel prices, reported a loss Jan. 26 of $28.9 million for its fourth quarter.

The loss worked out to $1.09 per share and compares with a profit of $17 million or 64 cents a share a year earlier, the parent company to Alaska Airlines and commuter airline Horizon Air said.

For the quarter ended Dec. 31, operating revenues were $532.4 million, up 6 percent from $501.9 million in 1999.

For the year, Alaska Air Group had a loss of $70.3 million or $2.66 per share, compared with a profit of $134.2 million or $5.09 a share in 1999. Operating revenues were $2.17 billion, up 4 percent from $2.08 billion in 1999.

Compiled from business wire services.

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