Chicago is My Home

19
May

New Survey Finds Average Gasoline Prices in Chicago Highest in the Nation

Author: Adam Fendelman, Category: Transportation

CHICAGO – A national survey released Sunday found that Chicagoans are paying the highest prices for fuel in the U.S. On average, gas in the Windy City is selling for $4.07 a gallon.

Conducted by Lundberg Survey, Inc. – an independent market research company that specializes in U.S. petroleum marketing and related industries – the survey said the national average price for gasoline rose about 17 cents in the last two weeks.

On Friday, national average gas prices were $3.79 a gallon for regular, $3.91 for mid-grade gas and $4.02 for premium gas. Average gas prices crossed the $4 mark in two metropolitan areas: Chicago and Long Island, N.Y.

OPEC President Chakib Khelil said on Monday it is unlikely to increase its output of crude oil in the coming months because there is no shortage in supply. The announcement sent oil prices climbing once again above $127 a barrel.

By Megan O’Neil

19
May

Motorola Strategy Executive Resigns; Fourth Executive Leaves in Six Months

Author: Adam Fendelman, Category: Business

SCHAUMBURG, Ill. – The purging continued at Motorola over the weekend as chief strategy officer Rich Nottenburg resigned. He is the fourth executive to leave the company in the past six months.

The Wall Street Journal first reported on Saturday that Nottenburg would leave Motorola. The Schaumburg, Ill.-based equipment maker has lost $1.6 billion in the 15 months as cell phone sales have significantly struggled.

CEO Greg Brown (who replaced Ed Zander in Dec. 2007) will now be charged with not only regenerating sales but also reshaping the leadership ranks at the company.

By Megan O’Neil

15
May

United Airlines Weighs Possible Merger, Alliance Options at Latest Meeting

Author: Adam Fendelman, Category: Travel

CHICAGO – UAL Corp.’s board of directors will meet on Thursday and industry insiders say there will be three options up for discussion: pursue a full-blown merger with US Airways, negotiate an alliance with Continental Airlines or continue to operate on its own.

Embattled with rising fuel prices and fierce competition, the airline industry has anticipated a United merger since Delta Air Lines and Northwest Airlines announced on April 15, 2008 that they would join together.

Led by CEO Glenn Tilton (a strong proponent for consolidation in the airline industry) United has courted various potential partners. Top on its list was said to be Continental, but the Houston-based carrier backed out of talks on April 27, 2008. United then turned to its less-compelling second choice – US Airways – and negotiations for a potential deal are ongoing.

In the hours leading up to Thursday’s board meeting, however, various news sources reported that United has not completely abandoned hope of creating some sort of operational relationship with Continental.

Citing unnamed and inside sources, Bloomberg and the Associated Press have reported that United may now try to form an alliance with Continental that would allow the two carriers to increase revenue without the headaches of a formal merger. An official decision is not expected to be made at Thursday’s board meeting.

By Megan O’Neil

15
May

CTA to Pick Up Speed on Brown Line Construction at Fullerton, Belmont Stops

Author: Adam Fendelman, Category: Travel

CHICAGO – The Chicago Transit Authority (CTA) will inject $1.6 million into the Brown Line construction project in order complete the track realignment six months early, CTA officials said on Wednesday.

Southbound Brown, Red and Purple Line trains were routed onto one track at the Belmont and Fullerton stations starting on March 30, 2008 as the CTA rebuilt platforms and reconfigured tracks.

The project, which has slowed travel for tens of thousands of riders, was not scheduled to be completed until well into 2009. However, CTA President Ron Huberman says the cost of accelerating the pace of work will be offset by increased ridership and operational savings.

“Accelerating the construction schedule will cost $1.6 million. That will come out of capital funds for the Brown Line project budget,” Huberman said in a Wednesday statement. “It will reduce our operating costs since we are currently providing supplemental bus service and have additional staff deployed to the corridor to support a three-track operation.”

By Megan O’Neil

14
May

Second-Quarter Profits at Moline, Ill.-Based Deere & Co. Increase 22 Percent

Author: Adam Fendelman, Category: Business

MOLINE, Ill. – Farm equipment manufacturer Deere & Company in Moline, Ill. reported on Wednesday that company profits rose 22 percent in the second quarter despite a weakened U.S. economy. Warnings of rising materials costs, however, sent shares sliding more than 6 percent on Wednesday.

Deere said it earned a net income of $763.5 million (or $1.74 per share) in the second quarter ended April 30. This compares with $623.6 million (or $1.36 per share) earned in the same period in 2007.

“Advanced offerings that help efficiently meet the world’s growing need for farm products are lending strong support to our performance and are bringing John Deere quality and value to a growing global audience,” said Deere & Co. CEO Robert Lane in a Wednesday statement.

By Megan O’Neil

14
May

Evanston Northwestern Healthcare to Buy Rush North Shore Medical Center

Author: Adam Fendelman, Category: Health Care

SKOKIE, Ill. – Evanston Northwestern Healthcare (ENH) in Evanston, Ill. will acquire Rush North Shore Medical Center in Skokie, Ill., the hospitals confirmed on Wednesday. The boards of both organizations approved the acquisition on Tuesday. Terms of the deal were not disclosed.

“These are exciting times for the delivery of health care in the Chicago market. ENH continues to take the lead in managing the changes that surround us,” Rush North Shore Medical Center and ENH said in a joint statement.

In looking for funding to expand its 230-bed facility, Rush North Shore put itself up for sale in 2007. With the acquisition, ENH will add a fourth hospital in the north Chicago suburbs to its portfolio. ENH currently operates Chicago-area hospitals in Evanston, Glenview and Highland Park.

By Megan O’Neil

13
May

So Long, Cemetery: Court Approves Expansion at Chicago’s O’Hare Airport

Author: Adam Fendelman, Category: Travel

CHICAGO – The U.S. Supreme Court declined to hear an appeal on Monday from St. John’s United Church. This eliminated at least one of several legal obstacles facing Chicago’s O’Hare Airport as it takes steps to expand.

St. John’s has been fighting the construction of new runways at the airport because plans call for the relocation of the church’s 159-year-old St. Johannes Cemetery. The cemetery has 1,400 graves – all of which will be exhumed and reburied – according to the directions of the next of kin.

“We are extremely pleased with today’s U.S. Supreme Court order,” said Rosemarie S. Andolino, executive director of the O’Hare modernization program, in a Monday statement. “With the ruling [finalized], we will continue to move forward with [the] acquisition of the cemetery and will be contacting next of kin in order to begin the relocation process.”

Other legal battles for O’Hare include federal litigation in the Washington, D.C. circuit court that challenges the legality of FAA funding and the proper use of religiously affiliated property.

By Megan O’Neil

13
May

Walgreen Co. in Deerfield, Ill. Names Wade Miquelon CFO, Vice President

Author: Adam Fendelman, Category: Business

DEERFIELD, Ill. – Walgreen Co. on Monday named Wade Miquelon (formerly of Tyson Foods) its new senior vice president and CFO. Miquelon replaces William Rudolphsen. Rudolphsen was given the newly created title of senior vice president and chief risk officer.

Miquelon worked as executive vice president and CFO at Springdale, Ark.-based Tyson Foods since 2006. He also spent 16 years with the Proctor & Gamble working at various global offices including Cincinnati, Bangkok, Singapore and Geneva, Switzerland. Miquelon’s responsibilities at Walgreen Co. will include overseeing the company’s accounting and tax and treasury functions including investor relations.

“[Miquelon] brings an excellent combination of financial knowledge, strategic thinking and operational experience – including mergers and acquisitions – that will serve us well,” said Walgreen Co. CEO Jeffrey Rein in a Monday statement.

Originally from the St. Louis area, Miquelon has degrees in civil engineering from Purdue University and finance and marketing from Washington University in St. Louis.

By Megan O’Neil

13
May

Tribune Co.’s Sam Zell Plans to Sell Chicago Cubs, Wrigley Field Together

Author: Adam Fendelman, Category: Business

CHICAGO – Chicago’s Tribune Co. has rejected a proposed plan from the Illinois Sports Facilities Authority (ISFA) to buy Wrigley Field and will offer the Chicago Cubs and its diamond as a package deal, according to Tuesday reports by the Chicago Sun-Times and the Associated Press.

Tribune Co. CEO Sam Zell spent months exploring options to sell Wrigley Field and its baseball team separately. The ISFA’s $400 million offer for the stadium was turned down, however, due to concerns over an unusual ticket sales process that might violate Internal Revenue Code (IRC) and Major League Baseball (MLB) rules.

The ISFA proposal called for the sale of long-term rights to the best seats at Wrigley Field.

Such an arrangement would make the Cubs less attractive to suitors, however, as it would reduce the ticket revenue of the team’s new owner. Cubs Chairman Crane Kenney told the Associated Press that Tribune Co. will pursue selling the team and the park together and will release a descriptive memorandum to potential buyers in the next two weeks.

By Megan O’Neil

12
May

Virgin America Petitioning FAA For Landing Rights to Chicago’s O’Hare Airport

Author: Adam Fendelman, Category: Travel

CHICAGO – Virgin America says it will petition the FAA this week for landing rights to operate eight daily flights out of Chicago’s O’Hare Airport.

The San Francisco-based start-up, which is affiliated with Britain’s Virgin Atlantic, wants to start offering four daily flights each to Los Angeles and San Francisco in Nov. 2008 when the airport opens its new runway. A new runway means increased flight-traffic capacity at O’Hare.

If it does raise the O’Hare limit of 88 landings per hour, the FAA says it will give newcomers the first shot for landing rights. However, Virgin America will have to secure gates at O’Hare either by leasing them from an existing airline or from the city.

The airline would compete for the California routes with United Airlines and American Airlines, which are the carriers that have traditionally dominated the west coast routes out of Chicago. An announcement from the FAA is expected in June 2008.

By Megan O’Neil