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The Spokesman-Review Newspaper
Spokane, Washington  Est. May 19, 1883

Delphi wins delay on hearing

From Wire Reports The Spokesman-Review

In a development that raises hope that progress can be made in talks aimed at reaching a labor settlement and avoiding a possible strike, automotive parts supplier Delphi Corp. has received court approval to delay until Aug. 17 a hearing originally scheduled for Friday on its request to have labor contracts thrown out.

Delphi, which filed for bankruptcy in October, said its request to delay the hearing was intended to facilitate continuing discussions with former parent General Motors Corp., the United Auto Workers and other unions.

“There were productive and high-level meetings conducted all day, late into the day (Thursday),” Delphi spokesman Lindsey Williams said Friday. “Based on discussions, we feel that it’s prudent to provide the opportunity to further these discussions.”

Williams said multiple parties are participating in the talks, including various committees involved in the bankruptcy proceedings, such as the creditors’ committee.

•Apple Computer Inc. on Friday reiterated that its mishandling of past employee stock options will cause it to miss a regulatory deadline for filing its latest quarterly results as the iconic maker of iPod music players and Macintosh computers digs into its accounting troubles.

The Cupertino, Calif.-based company warned last week that a mandatory quarterly update with the Securities and Exchange Commission would be late because management needed more time to determine if Apple’s past stock option grants had distorted its financial results dating back to September 2002.

If the filing of the quarterly report is delayed long enough, regulators could try to delist Apple’s stock from the Nasdaq Stock Market. That’s what happened earlier this year to Mercury Interactive Corp., another Silicon Valley company embroiled in a stock option imbroglio.

Apple formally notified the SEC that it would miss the deadline in a Friday filing that initially caused some confusion because the wording of the document made it sound as if there would be a significant change to the company’s results for the most recent quarter ended July 1.

•Brazil’s CVRD, the world’s largest iron ore miner, said Friday it will offer 17.2 billion Canadian dollars ($15.3 billion U.S.) plus debt assumption for Toronto-based miner Inco Ltd. in an attempt to become the planet’s largest nickel producer.

The cash offer of 86 Canadian dollars per share ($76.54) by Companhia Vale do Rio Doce SA should be more attractive than bids by U.S.-based copper miner Phelps Dodge Corp. and Canada’s Teck Cominco Ltd. because the other offers involve both stock and cash, CVRD chief executive Roger Agnelli said.