Taiwan's flagship airline said it will buy 18 cargo and passenger jets from Boeing for $3.8 billion. But China Airlines also plans to buy $1.8 billion worth of passenger jets from Boeing's European rival, Airbus Industrie. Reports that the airline was planning to buy some passenger jets from Airbus instead of Boeing, its main supplier, have triggered angry warnings from Washington state lawmakers, who concluded that Taiwan was punishing the United States for tilting toward China in the recent flare-up in tensions between Beijing and Taipei.
ABC said its affiliated television stations agreed to help pay for the network's "Monday Night Football" in exchange for more advertising time and a stake in the Walt Disney unit's new Soap Opera Channel. The three-year accord calls for the stations to pay ABC $45 million a year and to give ABC 10 local ad spots during Saturday-morning children's programs. The affiliates will get eight extra prime-time ad spots a week plus ownership in the Soap Opera Channel, which is to debut in January.
A California jury has acquitted four men who were accused of running California's biggest-ever workers' compensation fraud mill. The verdict is considered a major blow to prosecutors and state insurance officials. Among those found not guilty were James W. Eisenberg, 58, a Santa Monica doctor who headed a medical chain called Amerimed Medical Corp., and Michael J. Lightman, 49, of Rancho Palos Verdes, who ran a network of legal, marketing and bill-collection businesses. Two personal injury attorneys, Robert Yale Libott of San Pedro and Ray Jones of Loomis, alleged participants in the mill, were also found not guilty. During a nine-week trial in Los Angeles Superior Court, prosecutors alleged that Eisenberg and Lightman meshed their businesses to form a sophisticated fraud mill that--at its peak--raked in a total of $43 million in a single year.
The Securities and Exchange Commission moved to oust ICN Pharmaceuticals Chairman Milan Panic and bar him from ever running a publicly traded company. The SEC filed a lawsuit in U.S. District Court in Los Angeles accusing Panic and two other current or former ICN executives of fraudulently misleading investors about the company's 1994 attempt to win federal approval for a new drug. The suit alleges that the company didn't publicly disclose until February 1995 that an application for ribavarin, which is used to treat hepatitis C, had been rejected by the Food and Drug Administration. The FDA rejected the application in November 1994.
The Transport Workers Union, which has been trying to unionize workers at Delta Air Lines for nearly five years, said it was gaining ground at the nation's third-largest airline. The union said Delta's pilots union was backing its organizing activities and said it has scheduled an election to represent 110 training pilots at the airline.
Nextel Communications said the Justice Department and the Federal Communications Commission endorsed its proposal to obtain wireless communications frequencies that are tied up in voluntary bankruptcy proceedings of NextWave Personal Communications. The frequencies, awarded to NextWave 2 1/2 years ago, cover areas of the United States where approximately 165 million people live.
Broadcom, the No. 1 maker of semiconductors for cable modems, agreed to buy closely held AltoCom for about $180 million in stock to gain software that mimics computer modems.
Federal safety regulators proposed fines totaling $621,200 against Concept Sciences, a Pennsylvania chemical firm that owns a plant where an explosion killed five workers and injured 13 in February. The Occupational Safety and Health Administration cited the company for 20 alleged safety violations, including willfully failing to protect employees from the explosive potential of hazardous chemicals. CSI denied that it had knowingly violated federal safety rules.
Sprint PCS said that beginning in late September it will offer customers World Wide Web access through its wireless phones.
A proposed African natural gas pipeline to be built by a consortium of energy companies led by Chevron fell through, a person familiar with the talks told Dow Jones News Service. Chevron's five partners, including Royal Dutch/Shell, refused to sign on to the venture after Nigeria demanded to be named project leader in place of Chevron, the report said.
EARNINGSFederated Department Stores' earnings rose 28 percent in the second quarter as sales increased in virtually all merchandise categories nationwide. Earnings for the quarter ended July 31 were $137 million, compared with $107 million in the same period a year ago. The results were better than analysts had forecast. Shares of Federated rose $1.12 1/2, to $50.12 1/2, in trading on the New York Stock Exchange.
Payless ShoeSource, the largest family footwear retailer in North America, said its second-quarter earnings rose 4 percent, to $51.3 million, thanks in part to strong sales of its sandals and casual footwear.
LOCAL BUSINESSTeligent of Vienna, which provides businesses data and voice services over its digital networks, reported a net loss of $123 million for the second quarter, blaming it on expansion of its local communications networks. A year ago Teligent lost $59 million in the quarter.
Novavax, a Columbia biopharmaceutical drug delivery company, reported a second-quarter net loss of $252,000, compared with a $1.7 million net loss for the same period a year ago. For the first six months, the company lost $2.4 million, vs. $3.8 million for the same period a year ago. The company attributed the improved performance to the licensing of a new drug and the rollout of newer versions of older ones.
America Online said it formed a deal with eToys of Santa Monica, Calif., in which eToys will pay AOL $18 million over three years to promote its children's books, toys and videos across several of Dulles-based AOL's online services.