Market opens lower
The stock market opened lower today in New York after a weaker-than-expected report on factory orders for durable goods that sowed more concerns about the economy.
At 10 a.m. on Wall Street, the Dow Jones average of 30 industrial stocks was down 6.48 points to 3,225.74. Declining issues slightly outnumbered advancing ones on the New York Stock Exchange, with 546 up, 603 down and 616 unchanged.
Card issuers sue telemarketers
Visa U.S.A. and Mastercard are suing four telemarketing companies in what is being called the largest international credit-card fraud yet to date.
The lawsuit, unsealed yesterday in U.S. District Court in Los Angeles, accuses the telemarketers of laundering $3 million in phony credit-card charges through foreign banks. The suit says criminal investigations are under way in Austria and Singapore, where some laundering allegedly occurred.
The suit accuses two companies in California and two Florida-based companies of masterminding a laundering scheme involving 20 telemarketers of beauty aids, travel packages, luggage, vitamins and other products.
Maybaco to back consolidation
A group led by the Maybaco Co. of Maryland has agreed to vote its 9.64 percent or 8.75 million common shares in favor of a proposed consolidation between MNC Financial Inc. and NationsBank, a Charlotte, N.C., bank holding company. Maybaco an investment group controlled by Alfred Lerner, chairman of MNC.
Savin files for Chapter 11
Savin Corp., a distributor of copiers and facsimile products, said yesterday that it has filed for Chapter 11 bankruptcy protection in New York. William R. Krehbiel, Savin's chief executive officer, said it would let the company reorganize around its core business operations while cutting operating costs and improving debt structure.
Savin, which was founded in 1959, also announced a second-quarter loss of $940,000, compared with a loss of $12.8 million for the same quarter a year earlier. Revenues for the second quarter were $60.1 million, compared with $76 million for the second quarter of 1991.
Crown to buy back shares
Crown Cork & Seal Co. will buy back more than 4 million shares, or 4.6 percent of all outstanding shares, for nearly $135 million in cash and notes, the company announced yesterday. Crown, which has become one of the world's biggest makers of metal cans, is buying back shares from two large holders for $33.375 a share.
But the Connelly Foundation and Toronto-based CCL Industries
Inc. will continue to maintain stakes in the company, Crown said. Crown's stock closed yesterday at $33.675, up 75 cents.