APPOINTMENTS

Cerberus Capital Management, a New York hedge fund, demanded Option One maintain warehouse lines of at least $8 billion when it agreed to buy the unit in April.

ENVIRONMENT

Possible Successor to Kyoto

Harvard University began a two-year, $750,000 project to develop a successor to the Kyoto Protocol, the international treaty aimed at reducing greenhouse gases thought to be warming the temperature of the Earth and its atmosphere. The Harvard Project on International Climate Agreements will draw on business, government and academic leaders, as well as advocacy groups, to create a plan to replace Kyoto, according to a statement issued by the school.

The Kyoto Protocol, which ends in 2012, was signed by President Bill Clinton in 1997 and rejected by President Bush in 2001. The treaty sets carbon limits for 35 industrialized countries and has aroused opposition on the grounds it could hurt the U.S. economy.

ECONOMY

Service Activity Expands

The Institute for Supply Management said its index of business activity in the non-manufacturing sector, which includes banking, retail and travel, was 60.7 last month, up from 59.7 in May. It was the highest reading since April 2006. A reading above 50 indicates expansion, and one below indicates contraction.

MANUFACTURING

Boeing Increases Deliveries

Boeing delivered 18 percent more airliners in the second quarter, pushing the shipment tally so far this year to 114 planes, up from 97 a year earlier. Eighty-six of the planes are the next-generation version of the 737, and 21 are 777 wide-body jets.

COMMODITIES

Cheese Trading Vulnerable

Thin trading on the spot cheese market makes it ripe for manipulation, and that could affect the price of milk and other dairy products, the Government Accountability Office said.

The warning comes as block cheddar cheese reached $1.95 a pound on the Chicago Mercantile Exchange, up 67 percent from $1.17 a pound a year ago. Industry observers attribute the price surge to strong demand and higher milk prices.

Compiled from reports by Washington Post staff writers, the Associated Press and Bloomberg News.