Chicago is My Home

22
Feb

Continental Airlines Orders 27 New Jets From Boeing For $2.5 Billion

Author: Adam Fendelman, Category: Technology

Continental Airlines has placed an order for 27 new jets from Chicago-based Boeing. The Houston-based carrier has ordered a total of 111 new jets to be delivered in the next six years.

The new order, which is for eight 777s and 19 737s, will cost an estimated $2.5 billion. New Boeing orders from U.S. carriers have been struggling as airlines have seen financial downturns in recent years.

Continental, which is the fourth-largest carrier in the U.S., has one of the largest orders for new planes with Boeing. Continental says it’s purchasing the new planes to replace its older fleet and to pursue growth opportunities. Continental has been in merger talks with Chicago-based United Airlines.

By Stephanie Huls

22
Feb

U.S. Cellular Jumps on $99.99-a-Month Bandwagon For Unlimited Calls

Author: Adam Fendelman, Category: Technology

Chicago-based U.S. Cellular has jumped on the $99.99-a-month bandwagon and has joined Verizon Wireless, AT&T and T-Mobile.

All four companies will offer customers unlimited calls nationwide and no roaming charges for the flat price of $99.99 a month. There are different perks involved with each company as some include unlimited messaging, e-mail and Web service in their plans.

By Stephanie Huls

22
Feb

Motorola Makes Three Announcements to Facilitate Rebound Attempt

Author: Adam Fendelman, Category: Technology

The continuing saga of struggling Schaumburg, Ill.-based Motorola continues as three announcements regarding the cell phone maker were made this week. Here’s the rundown:

1) In a move that hopes to further the company’s reach, Motorola finalized the purchase of digital music download provider Soundbuzz, which is based in Singapore.

The acquisition is meant to target the larger Asian consumer sector as cell phone use is more prevalent than personal computer ownership. Motorola currently owns MotoMusic, which serves greater China. Soundbuzz will extend music download sales in Southeast Asia and India.

2) On Thursday, Motorola announced that private-equity partner Paul Liska will take over the CFO position and replace Tom Meredith. Liska previously worked as an executive at MidOcean Partners, CVC Capital Holdings and Ripplewood Holdings. The announcement did little to move Motorola’s lagging stock price.

3) Motorola and Waterloo, Ontario-based Research in Motion (RIM) (the maker of the BlackBerry) traded patent infringement lawsuits in U.S. district court.

RIM alleges that Motorola has refused to pay royalties for patents and Motorola says RIM is infringing on certain patents. Motorola and RIM previously had a cross-license agreement. The current lawsuits seem to stem from a failure to renew the agreement.

By Stephanie Huls

19
Feb

Upcoming Chicago Tech Events: Game Time Chicago, CIMA, TECH Cocktail

Author: Adam Fendelman, Category: Business, Events, Technology

Game Time Chicago has its inaugural professional networking event on Wednesday night at Reza’s at 432 W. Ontario St. in Chicago’s River North area. The three-hour event will combine professional meetings with gaming and brainstorming activities. More information about the program and the new organization can be found here.

On Thursday evening, the Chicago Interactive Marketing Association (CIMA) has a program called “The Changing Digital Media Landscape: What Will 2008 Bring?” where Dave Morgan – AOL’s executive vice president for global advertising – will deliver his forecast. More information about the program can be found here.

TECH cocktail, which is the popular Chicago gathering for virtual movers and shakers around town, returns on Thursday night for another soirée at John Barleycorn in Chicago’s Wrigleyville area.

By Brad Spirrison

19
Feb

Illinois Biotechnology Industry Organization Offers iBIO IndEX Event on Feb. 20

Author: Adam Fendelman, Category: Business

The Illinois Biotechnology Industry Organization (iBIO) on Wednesday offers the 2008 iBIO Industry Expo & Marketplace (iBIO IndEX) at the Hyatt Regency Chicago. The daylong conference will address topics including biomedical nanotechnology, industrial agriculture, food safety and hospital acquired infections.

iBIO IndEX will also feature heavy networking and keynote addresses from University of Illinois President B. Joseph White, Astellas U.S. CEO Yoshihiko Hatanaka and BP technology vice president of energy biosciences Paul A. Willems.

By Brad Spirrison

19
Feb

Chicago Serial Entrepreneur, Angel Investor Barry Moltz Strikes Back

Author: Adam Fendelman, Category: Business

Five years into his new career as business author and motivational speaker, former serial entrepreneur and angel investor Barry Moltz realizes you need to be both crazy and humble to start and grow your own business.

“You have to let go of your successes and failures,” said Moltz, 48, who is a resident of Chicago’s Lakeview neighborhood. “Your ego is important and helps drive your business, but you can’t let it get out of hand.”

Earlier in 2008, Moltz published his second book “Bounce!: Failure, Resiliency and Confidence to Achieve Your Next Great Success” (Wiley, 242 pages, $24.95). The former IBM and WhitmanHart executive – who previously founded three businesses and the Prairie Angels investment group – hopes to teach readers professional skills that aren’t offered in business schools and executive training programs.

Specifically, Moltz writes about how to deal with the inevitable winning and losing that exists within any business cycle. He added: “The theory that failure is a prerequisite to success is just nonsense. Sometimes you just fail. Waiting to see what failure teaches us holds us back from moving on.”

Throughout “Bounce!,” Moltz draws upon the words and experiences of people ranging from Northfield, Ill.-based venture capitalist Matt McCall to Type A Learning CEO Anna Belyaev in Chicago.

By Brad Spirrison

19
Feb

Chicago Consumers Hit With New People Gas Increase Based on Expected Use

Author: Adam Fendelman, Category: Business

CHICAGO – For the second time in a year, utilities customers in Chicago will see a rate increase. This time, though, it’s not ComEd. Gas bills are going up as well.

In a contentious move that could have consumers paying for gas they might not even use, the Illinois Commerce Commission (ICC) recently approved a $71 million gas rate hike for Peoples Gas and North Shore Gas. The increase residential and commercial customers accrue on bills will not be for actual gas usage but for expected use.

The initiative, which is called “decoupling,” gives the utility the ability to adjust billing statements based on determined revenue from Peoples Gas. Peoples Gas says a rate increase is a result of weather and customer conservation and the company isn’t guaranteed to garner a profit.

“They’re trying to put the best possible spin on the increase,” said Citizens Utility Board (CUB) executive director David Kolata in an interview with MidwestBusiness.com. “It’s a double whammy for consumers.”

In general, Kolata says people are using less gas as a way to conserve energy and thwart the high cost of gas. He says the increase isn’t fair for consumers. One issue that’s important to Peoples Gas is improved technology of furnaces. In the past, consumers were using machines with 82 percent efficiency to heat their homes.

By Stephanie Huls

15
Feb

United, Continental Merger Talks Closely Watching Delta, Northwest Merger Talks

Author: Adam Fendelman, Category: Business

Chicago-based United Airlines and Houston-based Continental are coming closer to a merger if Delta and Northwest move forward with their own merger negotiations.

The Delta and Northwest merger has been tied up in union negotiations and as to where the two airlines would be headquartered. United has said it hasn’t ruled out going after Delta if negotiations fall through.

A merger with either carrier would give United the largest percent of market share for the airline industry. If a United deal with Continental is approved, it is probable that Continental CEO Larry Kellner would run the new company.

By Stephanie Huls

15
Feb

Samsung, Sony Ericsson, LG All Not Interested in Buying Motorola

Author: Adam Fendelman, Category: Business

Three global cell phone makers have said purchasing sagging Motorola in suburban Chicago is a no go. Samsung, Sony Ericsson and LG this week all said they’re not interested in purchasing the No. 2 cell phone maker.

At this past week’s Mobile World Congress in Barcelona, Motorola introduced three new cell phones that experts said are just newer versions of old models. Competitors such as Samsung were introducing new, high-tech phones.

The Chicago Tribune reported on Friday that Chinese cell phone manufacturer ZTE Corp. has shown some interest in purchasing Motorola to help bolster its industry rank.

By Stephanie Huls

15
Feb

Sears to Cut 200 Jobs at Suburban Chicago Headquarters

Author: Adam Fendelman, Category: Business

Citing falling sales, Sears Holdings is cutting 200 jobs at its headquarters in Hoffman Estates, Ill. A majority of the jobs to be cut will be in support departments. The move will equate to a 5 percent reduction of the 5,000 employed at headquarters.

In 2005, Kmart billionaire investor Edward Lampert pioneered the purchase of Sears, Roebuck & Co. These job cut are a way to turn around his investment. Lampert owns a 48 percent share in the company.

Sears saw an almost 99 percent drop in sales for the third quarter of 2007 as compared to the previous year’s quarter.

By Stephanie Huls