Business news

Average gas price falls below $2-gal.

Washington

The average retail price of gasoline fell for the fourth week in a row to $1.937 per gallon, its lowest level since May 3, the government reported Monday.

The nationwide pump price for regular unleaded gasoline dropped by 4.8 cents, but prices still remain 44.1 cents above year-ago levels, according to the Energy Department’s statistical arm, the Energy Information Administration.

The biggest declines were registered in the Midwest, where prices fell by 6.8 cents. Fuel costs are highest on the West Coast, where prices average $2.20 per gallon.

Inland Asphalt gets airport contract

Inland Asphalt Co. has been awarded a $3.3 million contract to resurface Spokane International Airport’s main runway.

The Spokane company was the sole bidder for the project, which starts in July and involves a 3,000-foot first phase. That phase, to be completed by July 20, will force some departing flights to curtail weight to compensate for shorter runway distances.

Later this year, Inland will resurface the remaining 6,000 feet of the main runway. Flights will not be disrupted during that phase since they will use the airport’s secondary runway, which extends 8,600 feet.

The resurfacing should be concluded by November, airport officials said.

Planner will focus on revitalization

An urban planner hired by the city of Spokane using a state economic development grant will be looking for ways to revitalize business districts in Hillyard, South Perry and Broadway.

Genna Nashem, hired with the $35,000 grant from the state Community, Trade and Economic Development department, will start work on July 6. Nashem will be working for one year to help the city develop a new Neighborhood Business District Revitalization Program.

The program will target commercial areas in Hillyard, South Perry and Broadway, which need help generating economic activity, according to a city of Spokane news release.

Nashem has a master’s degree in urban planning with a certificate in historic preservation from the University of Washington. She spent the past year running the business-district revitalization program for the city of Enumclaw.

Wachovia to purchase SouthTrust operations

Charlotte, N.C. Banking giant Wachovia Corp. is buying competitor SouthTrust Corp. in a $14.3 billion deal that will make it the largest bank in the Southeast.

The deal, announced Monday, will give Wachovia entry to the large Texas market, where SouthTrust has 60 branches in key areas and bolster its business in eight other southern states.

Wachovia said it plans to close between 130 and 150 branch offices and eliminate about 4,300 jobs after the merger is completed. Many of the job cuts will be done through attrition, said Ken Thompson, Wachovia’s chief executive, chairman and president.

Former Vivendi boss taken into custody

Paris Jean-Marie Messier, the former chief executive of Vivendi Universal, was taken into police custody Monday in an investigation into financial wrongdoing during his time at the media and telecommunications giant, police said.

Police said Messier was being held by the financial crime brigade and could remain in custody for questioning for up to 48 hours.

Messier was ousted in July 2002 as the company’s finances crumbled and its debt spiraled out of control.

French investigating magistrates are probing a massive share buyback in which Vivendi allegedly spent over $1.2 billion to prop up its own share price in the weeks following the terror attacks of Sept. 11, 2001.

Messier and his top team are suspected of buying back Vivendi shares well above the authorized volumes even while the company was presenting its financial results — a practice strictly forbidden by stock market rules.

Coeur improves offer for Canadian company

Coeur d’Alene

Coeur d’Alene Mines has sweetened its $2 billion takeover offer to shareholders of a Canadian mining firm.

Coeur is willing to pay up to $1 cash in Canadian currency for each share of Wheaton River Minerals Ltd., with the remainder of the payment in stock from a new Canadian subsidiary of Coeur that would be created after the merger, company officials said Monday.

Wheaton River’s board of directors is urging shareholders to not accept Coeur’s proposal, citing the company’s history of financial losses. The board favors a merger with Iamgold Corp. of Toronto, which would create a large Canadian gold firm. Shareholders will vote on a merger with Iamgold on July 6.

Coeur has sent mailings to Wheaton River’s stockholders, urging them to vote against the proposal.