Earnings up for Coeur d’Alene Mines

Coeur d’Alene Higher prices for silver and gold, along with lower production costs, helped Coeur d’Alene Mines Corp. post third-quarter earnings of $3.5 million.

The earnings, reported Wednesday, amounted to 1 cent per share. In comparison, the company reported a loss of $18.1 million, or 8 cents per share, for the third quarter of 2004. The 2004 losses included a one-time cost of nearly $15 million associated with a failed merger effort.

During the recent quarter, Coeur d’Alene Mine’s production costs declined by 18 percent, while shipments of gold and silver from most of the company’s mines increased, said Dennis Wheeler, company chairman.

At the Galena Mine in Idaho, however, silver production was down 41 percent due to lower than expected ore grades. Wheeler said the company has an exploration program under way to identify more productive mining areas at the Galena.

Coeur d’Alene Mines shares closed up 28 cents Wednesday, at $4.01 per share on the New York Stock Exchange.

GM credit rating further bruised

General Motors Corp.’s credit rating took another hit Wednesday as Fitch Ratings lowered its rating on the automaker’s debt deeper into “junk” status.

Fitch downgraded GM’s issuer default and senior unsecured debt ratings two levels to BB+ , one notch below investment grade. The ratings agency said it was concerned about the costs GM might incur as its former parts division, Delphi Corp., restructures in bankruptcy court.

Fitch didn’t lower the rating for GM’s finance arm, General Motors Acceptance Corp., because the automaker announced last month it wants to sell a controlling interest in GMAC to a strategic partner. Fitch said it will consider lowering GMAC’s rating if GM doesn’t make progress on that sale in the first quarter of 2006.

GM has said it could be liable for up to $12 billion in benefits for Delphi employees as part of the supplier’s restructuring. In addition to that financial burden, Fitch said GM also is at risk if Delphi and its unions fail to agree on wages and benefits.

WaMu drops surcharge-free ATMs

Washington Mutual Inc., which has touted its surcharge-free ATMs as a way to lure new customers, is abandoning the program next week.

Starting Nov. 17, Seattle-based WaMu will charge fees whenever noncustomers use one of its more than 3,500 cash machines for a transaction.

The fees will be $1.50 to $2 per transaction, depending on the location, said Libby Hutchinson, a spokeswoman for the Seattle-based thrift.

WaMu ATMs on Tuesday began notifying noncustomers of the impending change.

The new policy is consistent with those in place at most other banks. But it represents a major shift for WaMu, which has used its no-surcharge ATMs as a branding device designed to cultivate an image of an unconventional bank that cares about its customers.

Boeing gets firm order for new jets

Air Canada’s parent company has struck a deal with Boeing Co. to buy as many as eight dozen new widebody jets, after previously canceling a similar order because of a dispute with pilots, Boeing said Wednesday.

ACE Aviation Holdings Inc. said it had placed a firm order for 18 777s and 14 of Boeing’s new 787 Dreamliners. The Montreal-based company also said it had taken purchase rights for 18 more 777s and options and purchase rights for 46 more 787s.

Boeing said that at list prices, the firm orders were worth $6 billion. Airlines, however, typically negotiate steep discounts from list prices. ACE and Boeing did not disclose the actual price for the deal.

ACE said it would order a mix of 777s, including the 777-200LR, 777-300ER and 777 Freighter. The 777-200LR and 777-300ER sell for between $209 million and $253 million, while the 787 is listed at between $125 million and $135 million.